Following the imposition of intake caps on international student admissions to Canada this year, many Indians hoping to emigrate have been turning to alternative routes. For many, the Labour Market Impact Assessment (LMIA) permit has emerged as a preferred option.
As The Indian Express earlier reported, the Canadian government imposed an intake cap on international student permit applications in January. It will be enforced for two years amid high levels of immigration that have reportedly put a strain on local resources. For 2024, the cap is expected to result in approximately 3,60,000 approved study permits, a decrease of 35 per cent from 2023.
Here’s what you need to know about LMIA.
What is LMIA?
The LMIA programme allows Canadian employers to hire foreign workers if recruitment efforts for hiring local employees fail. Employers need to post their job requirements on the official Canadian portal (https://www.jobbank.gc.ca/findajob/foreign-candidates), and eligible foreign workers can apply through it.
According to the Canadian government’s website, “A positive LMIA will show that there is a need for a foreign worker to fill the job. It will also show that no Canadian worker or permanent resident is available to do the job. A positive LMIA is sometimes called a confirmation letter.”
Once an employer gets the positive LMIA, workers can apply for the job. If they get selected, they will then need Canadian work permits. To apply for a work permit, a worker needs a job offer letter, a contract, a copy of the LMIA, and the LMIA number.
Why is LMIA becoming popular among Indians, and who is applying under it?
Several factors are responsible. First, there is the increasingly competitive nature of the international student visa process, due to caps on international admissions.
Second, given labour shortages, roles such as farm/dairy workers, cooks, welders, plumbers, carpenters, and caregivers are being recruited for. Sectors such as healthcare and technology also have vacancies.
“The LMIA program offers a viable pathway for individuals who may not meet the criteria for student visas or other immigration streams. It provides them with the opportunity to gain valuable Canadian work experience and establish themselves in the labour market,” Gurpreet Singh, an immigration consultant based in Kapurthala, told The Indian Express.
He added that as the demand for skilled labour in Canada continues to grow, the popularity of the LMIA route among prospective immigrants is expected to rise further.
Why is LMIA is being preferred over the student visa route?
The rising costs associated with student visas, including living expenses and tuition fees, are also deterring some people from seeking that route since their main goal for immigrating may be to work in Canada.
“The official processing fee for an LMIA application is CAD 1,000 or around Rs 61,000, which has to be paid by the employer. But in several cases applicants are not only bearing the processing fee but also paying CAD 5,000 each to employer, agents and lawyers to get the LMIA and enter Canada,” said another consultant requesting anonymity. Some immigration hopefuls can pay as much as Rs 15 to 20 lakhs to get an LMIA permit to Canada, he said.
In comparison, a student visa requires at least $38,000 (around Rs 23 lakhs), including $20,635 for the Guaranteed Investment Certificate (GIC), a necessary document for obtaining a student visa which shows that an applicant can sustain themselves for a year and manage their living expenses. Beyond this, there is the tuition fee and other expenses.
People who struggle to achieve the required scores in English proficiency tests for study visas are also turning to the job route.
While study permits often require higher language proficiency scores, many jobs under LMIA accept lower scores in English proficiency tests like the International English Language Testing System (IELTS). Scores between the 4.5 and 5.5 bands each in the four modules of speaking, reading, writing, listening are acceptable for some jobs.
Can LMIA lead to permanent residency?
While a positive LMIA, indicating compliance with all rules and regulations by the employer, is a step forward, it does not guarantee permanent residency. Skilled foreign workers must still meet all requirements under the Express Entry immigration process.
Under this system, there are various requirements as per each profession, in terms of educational qualifications, age, work experience, English proficiency test, and so on.
Canada remains a preferred destination for Indians wanting to settle abroad. (Express photo by Nirmal Harindran) 
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