Starting April 4, 2025, low-wage LMIA processing has been temporarily paused in 24 major Canadian cities due to rising unemployment rates. This decision, set to last until July 10, 2025, affects some of the most populated regions in Canada—including Toronto, Vancouver, and Montreal. For employers and temporary foreign workers relying on the TFWP, this announcement brings a significant change.
So, what does this mean for you? Whether you’re a foreign national seeking employment or an employer planning to fill labour shortages, understanding this temporary halt is crucial for your next steps.
Why Did Ottawa Pause Low-Wage LMIA Processing?
The Canadian government introduced this freeze to support domestic employment. In cities where the unemployment rate hits or exceeds 6%, Ottawa has decided not to process LMIA applications under the low-wage stream. The reasoning? Encouraging local hiring in regions already facing job scarcity.
Here are some of the major urban centers affected:
| City | Unemployment Rate |
| Toronto | 8.6% |
| Montreal | 6.7% |
| Vancouver | 6.6% |
| Calgary | 7.8% |
| Windsor | 9.3% |
| Edmonton | 7.3% |
| Kitchener-Cambridge-Waterloo | 8.5% |
A total of 24 CMAs are impacted during this three-month period. The full list is updated quarterly.
What Are Employers’ Options?
If you’re an employer in one of the restricted CMAs, you’re likely wondering: What now?
Here’s what you can do:
- Consider the high-wage stream: Raise the salary offered to meet high-wage thresholds, which remain unaffected.
- Delay your application: Wait until the next review on July 11, 2025, to see if your region is removed from the list.
- Target eligible regions: Post jobs in CMAs with unemployment rates below 6% where LMIA processing continues.
Before submitting an application, it’s essential to confirm if your job site falls within a restricted CMA. You can check using the postal code through the Census of Population tool.
Advice for Temporary Foreign Workers
Foreign nationals looking to work in Canada under the low-wage stream must now be more strategic. If you’ve already received an offer in a restricted CMA, here are a few suggestions:
- Talk to your employer about the possibility of increasing wages or waiting until the next review.
- Shift your job search toward cities where LMIA applications are still being processed.
- Stay informed: Keep track of the quarterly updates and prepare alternative plans in case the freeze continues in your region.
If your work permit is expiring and can’t be renewed due to the freeze, you must stop working. However, you can apply for a visitor record to stay legally in Canada while considering your next move.
What Is a CMA, and Why Does It Matter?
A CMA refers to a region that includes a city and its surrounding municipalities, with a core population of at least 50,000 and a total of 100,000. Once an area is declared a CMA, it keeps that label even if the population changes later.
This classification determines whether or not your job location falls under the current freeze. That’s why checking the CMA status of a work site before applying for a low-wage LMIA is vital.
Stay Prepared and Informed
This pause on low-wage LMIA processing is temporary but impactful. It highlights how shifting economic conditions influence immigration policy in real-time. Whether you’re a Canadian employer or a prospective foreign worker, adapting your strategy to these updates is key.
As always, ImmigCanada is here to help you make informed decisions. Stay updated with the latest policy changes and let us guide you toward the right pathway for your goals. Need help navigating LMIA changes or work permit options? Contact ImmigCanada for personalized immigration assistance tailored to your situation.
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