Refusal to Process Low-Wage LMIA Applications

The Canadian government's policy to limit both permanent and temporary residence admissions to Canada results in additional restrictions for hiring temporary foreign workers (TFWs) in low-wage positions. If you are an employer or a TFW applicant, understanding these regulations is crucial to a successful Labour Market Impact Assessment (LMIA) application.

Foreign nationals, who are neither citizens nor permanent residents of Canada, require a valid work permit to legally work in Canada. There are generally two options to obtain a work permit:

  • the Temporary Foreign Worker Program (TFWP), wherein the Canadian employer applies for an LMIA in order to hire a foreign worker, and
  • the International Mobility Program (IMP), which covers various exemptions that let employers hire a foreign worker without an LMIA.

Since September 2024, Employment and Social Development Canada (ESDC) is refusing to process certain low-wage LMIA applications. This measure targets jobs in Census Metropolitan Areas (CMAs) where the local labour market is facing higher unemployment.

The New Refusal-to-Process Rule

Your low-wage LMIA application will not be processed if it meets two key criteria simultaneously:
  • The wage offered is below the provincial or territorial median wage threshold.
  • The work location is in a Census Metropolitan Area (CMA) with an unemployment rate of 6% or higher at the time of LMIA submission.
This change is designed to ensure that available positions in regions with elevated unemployment are primarily offered to Canadian citizens and permanent residents.

Understanding the Wage Threshold

The designation of a position as "low-wage" is based on the provincial or territorial median wage. Note: This is not to be confused with the minimum hourly wage in a province or territory. If the offered hourly wage is below this median wage threshold, it is considered a low-wage position and subject to the restrictions.

The following table provides the provincial and territorial median hourly wages, based on the latest available updates for LMIA purposes.
Province / TerritoryMedian Hourly Wage
Alberta$36.00
British Columbia$36.60
Manitoba$30.16
New Brunswick$30.00
Newfoundland and Labrador$32.40
Northwest Territories$48.00
Nova Scotia$30.00
Nunavut$42.00
Ontario$36.00
Prince Edward Island$30.00
Quebec$34.62
Saskatchewan$33.60
Yukon$44.40

Identifying Affected Locations

To determine if a work location falls under the new restrictions, the complete postal code of the work location can be entered here to check if it falls within a CMA. (Note: If the result is a Census Agglomeration or the geographic level is not listed, the application remains eligible for processing.) 

If the location is in a CMA, check the official unemployment rate table for the relevant period. If the rate is 6% or higher, your low-wage application will be refused for processing (unless an exemption applies). The unemployment rate table is updated every three months. The rates shown in the table below are applicable for applications submitted from July 11, 2025, to October 9, 2025. The following CMAs have an unemployment rate of 6% or higher for the current LMIA processing period.

Census Metropolitan Area Unemployment Rate (%)
(July 11, 2025 – October 9, 2025)
St. John's, Newfoundland and Labrador7.2
Halifax, Nova Scotia6.2
Moncton, New Brunswick6.4
Saint John, New Brunswick7.4
Fredericton, New Brunswick6.2
Montréal, Quebec6.9
Ottawa-Gatineau, Ontario/Quebec6.4
Kingston, Ontario7.2
Belleville - Quinte West, Ontario7.1
Peterborough, Ontario9.9
Oshawa, Ontario9.2
Toronto, Ontario8.9
Hamilton, Ontario6.6
St. Catharines-Niagara, Ontario6.4
Kitchener-Cambridge-Waterloo, Ontario6.9
Brantford, Ontario6.8
London, Ontario6.9
Windsor, Ontario11.0
Barrie, Ontario7.3
Calgary, Alberta7.3
Edmonton, Alberta7.6
Kamloops, British Columbia8.7
Chilliwack, British Columbia6.3
Abbotsford-Mission, British Columbia6.1
Vancouver, British Columbia6.3
Nanaimo, British Columbia7.3

Exemptions: When the Rule Doesn't Apply

Certain applications are exempted from this refusal-to-process measure, even if the position is low-wage and in a high-unemployment CMA. These critical sectors and situations include:
  • Primary Agriculture occupations.
  • Positions in Construction (NAICS 23).
  • Positions in Food Manufacturing (NAICS 311).
  • Positions in Hospitals (NAICS 622).
  • Positions in Nursing and Residential Care Facilities (NAICS 623).
  • Specific In-Home Caregiver positions (NOC 31301, 32101, 44100, 44101). Note: Special medical criteria apply for caregiver exemptions in Quebec CMAs.
  • Positions supporting Permanent Residency only (no work permit application).
  • Short-duration positions (generally 120 calendar days or less) that are truly temporary or highly mobile (e.g., travelling fairs, proprietary equipment repair technicians). A written request and explanation must be submitted for this exemption.

Ready to Navigate the LMIA Landscape?

New and changing LMIA restrictions and requirements introduce complexity for both employers and TFWs. The experienced team at From Far and Wide Immigration Consultancy specializes in navigating these rules, identifying exemptions, and ensuring your LMIA application is compliant. Contact us today for a confidential assessment and let us help you plan your next steps.

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