Canada’s Temporary Foreign Worker Program: Latest Median Wage Update

The Employment and Social Development Canada (ESDC) has recently announced an update to the median hourly wage for the Temporary Foreign Worker Program (TFWP), which will take effect on May 31, 2023. This update is an important development for both employers and foreign nationals seeking employment opportunities in Canada.

Understanding the LMIA Requirement

To work for an employer in Canada, foreign nationals must submit a Labour Market Impact Assessment (LMIA) along with their work permit application. The LMIA is a crucial document that assesses the impact of hiring a foreign worker on the Canadian labor market. Employers are required to apply to ESDC for an LMIA under either the high-wage or low-wage stream, depending on the pay and region associated with the job.

The Role of Median Hourly Wage

The provincial or territorial median hourly pay plays a significant role in determining whether a job is being offered at a higher or lower pay compared to the median hourly wage. This assessment helps ensure fair compensation for foreign workers and prevents the exploitation of cheap labor. By considering the regional and occupation-specific labor market data, ESDC can accurately evaluate the wage levels offered by employers.

Transition to the LMIA Online Portal

Starting from April 3, 2023, the Canada Temporary Foreign Worker Program (TFWP) has transitioned to the LMIA Online Portal as the primary platform for submitting LMIA applications. This online portal streamlines the application process, making it more efficient and accessible for Canadian employers and their representatives. By leveraging this reliable tool, employers can submit their LMIA applications to Service Canada with ease and confidence.

Province-Wise Median Hourly Wage For Temporary Foreign Worker Program Effective May 31

LMIA processing times 2023

In the table below are the average LMIA processing times for April 2023.

The Importance of the Temporary Foreign Worker Program

The Temporary Foreign Worker Program (TFWP) plays a vital role in Canadian industries when employers face difficulties in finding competent workers within the domestic labor market. It serves as a means for Canadian firms to recruit skilled foreign employees who possess the required expertise to fill specific job vacancies. The program operates under the purview of Employment and Social Development Canada (ESDC), which evaluates employer requests and conducts LMIA assessments to determine the potential impact on the Canadian labor market.

Comprehensive Evaluation Process

ESDC’s evaluation process is meticulous and takes into account various factors. These include regional and occupation-specific labor market data, employers’ recruitment and advertising activities, pay and working conditions, prevailing labor shortages, and the transfer of skills and knowledge to Canadians. Through this thorough assessment, ESDC ensures that hiring foreign workers does not negatively impact the Canadian labor market and promotes a fair and inclusive working environment.

Obtaining the LMIA

Upon successful evaluation, ESDC issues the LMIA to the employer, granting them permission to hire a foreign worker. This process signifies the approval of the job offer and confirms that hiring a foreign worker is justified based on the labor market conditions and the employer’s specific needs.

Accessing the Temporary Foreign Worker LMIA Employers List

For individuals seeking information about employers who have been issued positive LMIAs, the official list can be accessed easily. This list provides transparency and helps both potential employees and employers identify approved job opportunities within the Temporary Foreign Worker Program. Keeping track of this list is crucial for staying informed about the current job market for foreign workers.