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IRCC Stops Processing Low-Wage LMIA Applications in 24 Canadian Cities with High Unemployment

Austin Campbell

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Low-Wage LMIA Applications

As of April 4, 2025, Immigration, Refugees and Citizenship Canada (IRCC) has announced a major update to how low-wage LMIA applications are handled across the country. In response to rising unemployment in certain areas, the federal government will not process low-wage Labour Market Impact Assessments (LMIAs) in 24 Census Metropolitan Areas (CMAs) where the unemployment rate is 6% or higher.

This quarterly update directly affects both employers and foreign workers under the Temporary Foreign Worker Program (TFWP). Without an LMIA, employers can’t hire foreign workers, and current workers under this stream cannot renew their work permits.

List of Ineligible CMAs for Low-Wage LMIA Applications

Between April 4 and July 10, 2025, the following CMAs are excluded from processing low-wage LMIA applications due to elevated unemployment:

ProvinceCMAUnemployment Rate
NLSt. John’s7.6%
NBSaint John7.7%
NBFredericton6.9%
QCDrummondville8.0%
QCMontréal6.7%
ONKingston7.2%
ONPeterborough9.9%
ONOshawa8.0%
ONToronto8.6%
ONHamilton7.3%
ONSt. Catharines-Niagara7.7%
ONKitchener-Cambridge-Waterloo8.5%
ONBrantford7.2%
ONGuelph6.2%
ONWindsor9.3%
ONBarrie7.5%
ABCalgary7.8%
ABRed Deer8.4%
ABEdmonton7.3%
BCKelowna6.7%
BCKamloops7.1%
BCAbbotsford-Mission6.2%
BCVancouver6.6%
BCNanaimo6.0%

The next update to this list will be published on July 11, 2025.

See also  Canada Immigration and the Future of Temporary Foreign Workers

What Employers and Workers Should Do Now

Employers should verify the unemployment rate in their job’s CMA before applying for a low-wage LMIA. If the area is listed above, the application will not be processed unless adjustments are made.

Options available include:

  • Increasing wages to meet the high-wage LMIA stream requirements.
  • Delaying applications in the hope of a future update to the CMA’s unemployment status.
  • Exploring eligible CMAs where LMIA applications are still being processed.

Workers currently on low-wage permits may consider transitioning to visitor status if unable to renew their permits or seek new job offers in eligible regions.

Low-Wage LMIA Applications Face Temporary Block in Key Canadian Regions

As the labour market continues to shift, employers and foreign workers must stay updated on the LMIA processing rules to avoid delays and disruptions. These new restrictions on low-wage LMIA applications are part of a strategy to balance local employment needs with temporary foreign labour demands.

See also  Payroll Employment in Canada July 2025 Added 21,600 Jobs

For regular updates on LMIA applications and work permit options, follow Canada Immigration News!

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