What Is a High-Wage LMIA?
A high-wage Labour Market Impact Assessment (LMIA) lets a Canadian employer hire a foreign worker when the job pays at or above the wage threshold for its province or territory. Employment and Social Development Canada (ESDC) must first confirm that no qualified Canadian or permanent resident is available. With a positive LMIA, the worker can apply for an employer-specific work permit.
Key points of High-Wage LMIA
Key takeaway
In many large cities, the high-wage stream is now the main LMIA route, because ESDC refuses to process most low-wage applications where unemployment is 6% or higher. It is not a shortcut. You still need genuine recruitment, a fair wage and a transition plan you can follow through on.
Does Your Job Qualify as a High-Wage Position?
Two separate wage tests apply. The first decides which LMIA stream you use. The second sets the lowest wage you can pay. You must pass both.
Provincial wage threshold
What it is
The median hourly wage for the province or territory plus 20%. Pay at or above it and the job is high-wage; pay below it and the low-wage stream applies.
What to check
The threshold in force on the day you submit. ESDC updates the figures once a year.
Prevailing wage
What it is
The higher of the Job Bank median wage for your occupation (NOC code) and location, or what you pay your own staff in the same job.
What to check
Only guaranteed wages count. Overtime, tips, bonuses and commissions do not.
Example thresholds (from July 17, 2026)
For applications received on or after July 17, 2026, the high-wage threshold is $36.92/hour in Ontario, $38.40 in British Columbia and $37.50 in Alberta. Rates differ in every province and territory and change each year, so confirm the current figure on ESDC’s high-wage page before you file.
Don’t raise the wage just to switch streams
ESDC warns that changing the offered wage to fit a stream, or to avoid a requirement, can lead to a negative LMIA. The wage should reflect the real job. Also, once approved, the wage can never drop below the amount in your LMIA. Review it each year against new Job Bank data, by January 1 of the following year.
What Does ESDC Assess in a High-Wage LMIA?
ESDC looks at four things: your business, your recruitment, the wage and the worker. A gap in any one of them can sink the application.
Your company must be a real, active Canadian business that provides a product or service in Canada.
- The job must fit the reasonable needs of the business
- You must be able to pay the wage and meet every term of the job offer
- You must have no unresolved compliance issues and not be on the list of ineligible employers
- Typical proof: T2 Schedules 100 and 125, T4 Summary, the latest PD7A and a business licence
You must show real efforts to hire Canadians and permanent residents first.
- At least 3 recruitment activities: Job Bank plus 2 other methods, one of them national in scope
- Advertise for at least 4 consecutive weeks within the 3 months before you apply
- Invite Job Match candidates rated 4 stars or higher within the first 30 days of the Job Bank posting
- Keep at least 1 activity running until ESDC issues a decision
- Keep all recruitment records for 6 years
The offer must meet both wage tests described above.
- Pay at least the prevailing wage for the occupation and location
- Use guaranteed wages only, not tips, bonuses or commissions
- Match what you pay your own staff in the same job, if that is higher
- For unionized positions, offer the same terms as the collective agreement
The worker you plan to hire must be able to do the job and enter Canada.
- Education, experience and any licences the role requires
- Enough English or French to do the job
- Admissible to Canada under the Immigration and Refugee Protection Act (no criminal, security or medical bars)
Hiring in BC, Manitoba, Saskatchewan or Nova Scotia?
Some provinces require employers to register with the province, or obtain a certificate, before recruiting foreign workers. Check your province’s rules before you start advertising. Quebec employers also follow a separate provincial process with MIFI.
What Is a Transition Plan and When Do You Need One?
A transition plan is your commitment to recruit, train and keep Canadians and permanent residents, so your business relies less on foreign workers over time. It is mandatory for most high-wage positions, including dual-intent LMIAs that also support permanent residence. If you filed a plan before for the same job and location, ESDC will ask how you delivered on it.
What a strong plan includes
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Training programs that build skills in your Canadian workforce
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Partnerships with colleges, universities or training bodies
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Wider recruitment aimed at Canadians, including under-represented groups
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Support for the foreign worker’s permanent residence
Who is exempt?
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In-home caregivers and certain health care providers
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Seasonal Agricultural Worker Program and primary agriculture positions
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Certain Quebec facilitated LMIA occupations (first request only)
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Limited-duration positions, and positions that need unique skills
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LMIAs that only support permanent residence, with no work permit
How Does the High-Wage LMIA Process Work?
Most delays come from steps done out of order. Here is the sequence we use.
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1
Confirm the stream and wage
Check the provincial threshold and the prevailing wage for your NOC code and location.
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2
Start recruiting
Post on Job Bank and at least 2 other channels, one national. Run ads for at least 4 consecutive weeks.
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3
Prepare the file
Use the advertising period to draft the transition plan and gather business documents.
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4
Assess Canadian applicants
Review and interview qualified Canadians, permanent residents and eligible work permit holders. Record why each was or wasn’t hired.
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5
Submit and pay
File through the LMIA Online portal and pay the $1,000 fee per position. Keep 1 ad running.
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6
Respond to ESDC
An officer may call you for an interview or ask for more documents. Answer quickly and consistently.
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7
Decision and work permit
With a positive LMIA, the worker applies to IRCC for an employer-specific work permit.
How Long Does a High-Wage LMIA Take?
Plan for three stages. Only the first is fully in your control. For current figures, see ESDC’s LMIA processing times.
Recruitment
What happens
Your ads run and you assess Canadian applicants.
Tip
Prepare the application during this period so you can file as soon as the 4 weeks end.
ESDC processing
What happens
An officer reviews the file and may interview you. In our practice this has often taken 8 to 12 weeks, but times vary.
Tip
Check ESDC’s current processing times before you promise the worker a start date.
Work permit
What happens
The worker applies to IRCC with the positive LMIA.
Tip
Timing depends on where the worker applies from. Build this into your hiring plan.
What Are Your Obligations After Approval?
A positive LMIA comes with conditions that last for the whole work permit. ESDC and IRCC can inspect you during or after that period.
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Sign an employment agreement by day one
Give the worker a signed agreement on or before their first day. It must match the LMIA on occupation, wages and conditions, in English or French as the worker prefers.
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Keep wages and conditions the same
Pay at least the LMIA wage and review it each year against Job Bank data.
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Pay for private health insurance if needed
In applicable provinces, cover emergency care from the worker’s first day until provincial coverage starts.
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Never recover fees from the worker
You, and any recruiter acting for you, cannot charge the worker recruitment fees, the LMIA fee or your representative’s fees.
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Treat the worker as an employee
Since September 18, 2026, ESDC states that you cannot classify a temporary foreign worker as an independent contractor, before or after approval.
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Deliver your transition plan
Carry out the activities you committed to.
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Provide a safe, abuse-free workplace
Meet federal, provincial and territorial employment and safety laws.
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Keep records for 6 years
Keep recruitment records, the application, ESDC correspondence and the decision letter.
What non-compliance costs
Penalties range from a warning letter to administrative monetary penalties of up to $100,000 per violation, to a maximum of $1 million per year. Serious cases can lead to a ban from the program and your business name on the public list of non-compliant employers.
What Mistakes Lead to a Refused High-Wage LMIA?
These are the problems we see most often in files that come to us after a refusal.
Weak or short advertising
Why it hurts
Ads that run under 4 weeks, miss a national channel or ignore Job Match fail the recruitment test.
What works instead
Plan all 3 activities before you post, and keep one running until the decision.
Wage below the prevailing rate
Why it hurts
An offer below the prevailing wage leads to a negative LMIA.
What works instead
Check Job Bank and your own payroll for the same role before you set the wage.
A generic transition plan
Why it hurts
Vague promises are hard to defend, and ESDC checks past plans on later applications.
What works instead
Commit to specific, measurable activities you will actually carry out.
Charging the worker fees
Why it hurts
Recovering recruitment or LMIA costs from the worker results in a negative decision.
What works instead
Put cost rules in writing with any recruiter you use.
Inconsistent answers
Why it hurts
Job duties or numbers that don’t match across documents raise doubts about the job.
What works instead
Use one consistent job description everywhere, and prepare for the officer’s call.
High-Wage vs. Low-Wage LMIA: What Is the Difference?
The wage you offer decides the stream, and the stream decides the rules.
| High-wage | Low-wage | |
|---|---|---|
| Wage | At or above the provincial threshold | Below the provincial threshold |
| Cap on foreign workers | No cap | 10% of staff at the worksite (20% in some sectors) |
| Transition plan | Required, with some exemptions | Not required |
| Maximum duration | Up to 3 years | Up to 1 year |
| High-unemployment cities | Processed | Most refused where unemployment is 6% or higher |
Rules as published by ESDC. Low-wage rules have changed often since 2024, so check the current version before you file.
Read more in our guide to low-wage LMIA workers.
Frequently Asked Questions About High-Wage LMIA
Short answers to the questions employers ask us most.
Yes. One application can request several positions if they are identical in job title, duties, wage and work location. There is also no limit on how many high-wage LMIA applications you can file.
No. To keep the worker longer, you apply for a new LMIA, with new recruitment, and the worker then applies for a new work permit.
You must consider them fairly. If a qualified Canadian, permanent resident or eligible work permit holder accepts the job, ESDC is unlikely to see a need for a foreign worker.
No, not anymore. Since March 25, 2025, job offers, including LMIA-supported ones, no longer add points in Express Entry. The Canadian work experience the worker gains can still help them qualify through the Canadian Experience Class or a Provincial Nominee Program.
In applicable provinces and territories, yes. You must buy private insurance for emergency care from the worker’s first day until they qualify for provincial coverage. You cannot recover the cost from the worker.
You must raise the worker’s pay to match. Review the wage each year against updated Job Bank data, by January 1 of the following year. The wage can never fall below the amount in your LMIA, even if the prevailing wage drops.
Yes. The foreign worker must receive the same wages and conditions as the collective agreement provides for that position.
Sometimes. Depending on the role and the worker, the Global Talent Stream, an Intra-Company Transfer or tech worker options may be faster. A lawyer can tell you which fits your situation.
Is the High-Wage LMIA Right for Your Business?
The high-wage stream works well for employers who pay fairly, recruit properly and plan for the long term. Most refusals come from rushed recruitment and weak paperwork, not from the job itself. Start with the wage tests, plan your 4 weeks of advertising, and keep compliance in place for the whole permit.
