Labour Market Opinion LMO Compliance

Posted in Labour Market Impact Assessment LMIA

Service Canada takes the integrity of the temporary foreign worker unit very seriously and actively enforces compliance with its regulations. Employers that hire temporary foreign workers are expected to be compliant and uphold the agreement outlined in the Labour Market Opinion that they previously had to of acquired, including:

  • wages (including deductions);
  • working conditions (hours of work, overtime, and workplace safety insurance); and
  • identified occupation (job duties and skill level).

Will employers be asked to prove they are compliant?

Yes, returning employers seeking to hire temporary foreign workers, including live-in caregivers, have to demonstrate compliance before they are granted a positive LMO. To determine whether or not an employer is compliant, Service Canada staff examine previous offers of employment within the two years preceding the date of the receipt of a new Labour Market Opinion application.

How can employers demonstrate they are compliant?

To be considered compliant, employers must demonstrate that terms set out in previous Labour Market Opinions were met. Employers may be asked to provide additional documentation during a review of compliance process. Failure to provide requested documents may result in a negative LMO.

What documents demonstrate compliance?

To demonstrate compliance, employers may be asked to provide:

  • Payroll records – To ensure the appropriate prevailing wage and overtime are being paid, deductions are being made (Canada Pension Plan, Employment Insurance, Income Tax) and to explain any non-standard deductions
  • Time sheets – To ensure that workers are working the number of hours set out in the Labour Market Ooinion.
  • A job description – To ensure temporary foreign workers are working in approved occupations and under the same labour standards as other Canadians.
  • The temporary foreign worker's work permit
  • Registration with provincial/territorial workplace safety

What happens if employers are found to be non-compliant?

Service Canada and employers both have a responsibility to ensure temporary foreign workers are working under the terms and conditions of employment set out in the LMO confirmation letter and annex. If it appears the employer has not fully upheld the terms of the labour market opinion, the employer will have the opportunity to provide a reason and undertake compensation. Service Canada will work with the employer to implement appropriate corrective action. Employers may be found non-compliant if they refuse or only partially implement compensation.

Can a Labour Market Opinion be refused because of noncompliance?

If an employer is found to be non-compliant:

  • Service Canada may issue a negative Labour Market Opinions and revoke any positions
  • CIC may deem the employer ineligible to hire Temporary Foreign Workers for two years.

Tags: Labour Market Opinion LMO Work Permit Canadian Temporary Residence Canadian Immigration

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