Maple News reports that, beginning January 2025, employers in several Canadian cities will no longer be able to apply for low-wage Labour Market Impact Assessments (LMIAs) under the Temporary Foreign Worker Program (TFWP). This policy change follows a federal government announcement on August 26, 2024, aimed at better aligning temporary foreign labor with evolving labour market conditions across the country.
Effective January 10, 2025, LMIAs in the low-wage category will not be processed in census metropolitan areas (CMAs) where the unemployment rate meets or exceeds 6%. The government has released an initial list of 15 such CMAs affected by the policy. These areas will be reassessed quarterly, with the next scheduled update set for April 4, 2025.
Among the most impacted urban centres are Toronto (7.9%), Windsor (8.8%), and Calgary (7.5%), all significantly above the 6% unemployment threshold. Other affected cities include Montréal (6.2%), Edmonton (6.8%), Hamilton (6.3%), London (6.4%), and Saint John (6.1%). The complete list underscores a recalibration of Canada’s immigration strategy, particularly in response to regional labour surpluses.
LMIAs are a critical requirement for Canadian employers seeking to hire foreign nationals through the TFWP. Without a valid LMIA, employers cannot legally recruit temporary foreign workers under this program, and existing workers under the TFWP may be unable to renew their work permits.
The government’s decision is aimed at ensuring that foreign worker programs respond more precisely to regional labour needs and do not interfere with employment opportunities for Canadian citizens and permanent residents, particularly in areas experiencing higher levels of joblessness.
The measure marks a significant shift in Canada’s approach to managing low-wage foreign labour positions, placing greater emphasis on local workforce integration. Employers in affected areas are encouraged to explore alternative solutions, such as upskilling domestic workers or considering different immigration pathways.
For wider context, Maple News notes that this move is part of a broader series of reforms introduced in 2024 to reshape the TFWP, improve oversight, and ensure that labour immigration addresses real and current economic needs across all regions in Canada.
Stakeholders—including employers, temporary foreign workers, and immigration consultants—are advised to monitor the updates to the CMA list and plan accordingly.