AURA VISA & EDUCATION CONSULTANCY

Canada to End LMIAs in Low-Wage Stream for High Unemployment Areas

The Government of Canada has announced significant changes to the Temporary Foreign Worker Program (TFWP) that will take effect on September 26, 2024. These changes specifically target the Low-Wage stream of the program, which is designed for jobs that pay below the provincial or territorial median hourly wage.

Key Changes:

  1. Refusal to Process LMIAs in High-Unemployment Areas: Starting September 26, 2024, the government will no longer process Labour Market Impact Assessments (LMIAs) for the Low-Wage stream in census metropolitan areas where the unemployment rate is 6% or higher. This policy aims to prioritize Canadian workers and reduce reliance on foreign labor in regions where sufficient local workers are available.
  2. Exceptions for Critical Sectors: Despite the new restrictions, exceptions will be made for essential sectors such as primary agriculture, food processing, fish processing, construction, and healthcare. These industries are critical to Canada’s food security and public welfare, thus they will continue to have access to the TFWP even in high-unemployment areas.
  3. Reduction in the Cap on Foreign Workers: The government has also reduced the cap on the number of low-wage foreign workers an employer can hire. Previously set at 20%, this cap will be lowered to 10% of the total workforce for most industries. However, the same critical sectors mentioned above will be exempt from this cap reduction.
  4. Shortened Employment Duration: Another significant change is the reduction in the maximum duration of employment for workers hired under the Low-Wage stream. The employment period will be shortened from two years to one year, after which employers will need to apply for a new LMIA if they wish to retain the worker.

These measures reflect the government’s effort to encourage businesses to invest more in the Canadian workforce, particularly in regions with higher unemployment. For employers who rely heavily on low-wage temporary foreign workers, this shift in policy will require a rethinking of their workforce strategies and hiring practices.

At Aura Visa & Education Consultancy, we understand that these changes may impact your plans to work in Canada. We are here to provide guidance on navigating these new rules and exploring alternative immigration options that align with your goals. Contact us today to learn more about how we can assist you.


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These updates emphasize the government’s intent to prioritize local workers while ensuring that critical sectors continue to thrive with necessary foreign labor. As the landscape of Canadian immigration evolves, we remain committed to helping you stay informed and prepared for any changes.

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