The Temporary Foreign Worker Program (TFWP) allows Canadian employers to hire foreign nationals to fill temporary labour and skill shortages when qualified Canadian citizens and permanent residents are not available. The defining feature of the TFWP is the requirement for a positive Labour Market Impact Assessment (LMIA) — a determination by Employment and Social Development Canada (ESDC) that hiring the foreign worker will not have a negative impact on the Canadian labour market. The LMIA process requires employers to demonstrate genuine recruitment efforts to hire Canadians first.

The TFWP is distinct from the International Mobility Program (IMP), which covers LMIA-exempt work permits (under CUSMA/USMCA, intra-company transfers, IEC, etc.). For current TFWP requirements, application processes, and employer obligations, refer to the ESDC TFWP page.

• Immigration and Refugee Protection Regulations, s 203 — the LMIA assessment criteria
• ESDC: Hire a temporary foreign worker with an LMIA — canada.ca/tfwp
• ESDC: High-wage positions — canada.ca/tfwp-high-wage
• ESDC: Low-wage positions — canada.ca/tfwp-low-wage
• ESDC: TFWP overhaul — canada.ca/tfwp-overhaul

The LMIA requirement — demonstrating labour market need

Before a Canadian employer can hire a foreign worker through the TFWP, they must obtain a positive LMIA from ESDC. The LMIA process requires the employer to demonstrate:

• There is a genuine need for the position
• The employer has made reasonable efforts to recruit Canadian citizens and permanent residents first
• Hiring the foreign worker will not displace Canadian workers or negatively affect wages and working conditions
• The employer can pay wages at or above the prevailing wage for the occupation in the relevant region

The LMIA application fee is $1,000 per position. A positive LMIA is issued to the employer — the foreign worker then uses the LMIA to support a work permit application to IRCC. For current LMIA application requirements, refer to the ESDC TFWP page.

Two wage-based streams — high-wage vs. low-wage

TFWP applications are classified by the wage offered relative to the provincial or territorial median wage for the occupation and region:

High-wage stream (at or above the median wage)

Employers offering wages at or above the median wage for the occupation and province/territory apply under the high-wage stream. Key features:

• Employment duration: up to 3 years per LMIA
• No cap on the proportion of TFWs in high-wage positions
• Transition plan requirement: employers must include a plan to reduce reliance on TFWs over time

Low-wage stream (below the median wage)

Employers offering wages below the median wage apply under the low-wage stream. Key features and 2026 changes:

• Employment duration: maximum 1 year per LMIA
• Cap on TFW proportion: Employers are limited to having TFWs in low-wage positions comprise no more than 10% of their workforce at the work location. From April 1, 2026 to March 31, 2027, employers in rural areas (outside census metropolitan areas, in participating provinces/territories) may be eligible for a temporary 15% cap
• Advertising requirement (from April 1, 2026): Employers must advertise the position for a minimum of 8 consecutive weeks in the 3 months before submitting the LMIA application. Recruitment efforts must also demonstrate active outreach to youth
• Housing: employers must make reasonable efforts to assist low-wage TFWs with finding affordable housing

Recruitment and advertising requirements

All TFWP LMIA applications require evidence of genuine recruitment efforts to hire Canadians before resorting to a TFW. Minimum requirements include advertising the position on the Government of Canada's Job Bank and at least two other recruitment methods (job fairs, community newspapers, professional associations, etc.). The advertising must run for a minimum period before the LMIA application is submitted. For the low-wage stream, the minimum advertising period increased to 8 consecutive weeks from April 1, 2026. For current advertising requirements by stream, refer to the ESDC TFWP page.

Agriculture streams

The TFWP includes specific streams for the agricultural sector:

• Seasonal Agricultural Worker Program (SAWP): Bilateral arrangement with Mexico and Caribbean countries for seasonal farm workers; annual contracts; accommodation provided by employer
• Agricultural stream: For agricultural positions not covered by SAWP — including countries not covered by SAWP arrangements and year-round agricultural positions

Agricultural streams have specific requirements including accommodation and transportation obligations. For details, refer to the ESDC TFWP agricultural page.

Recognized Employer Pilot

The Recognized Employer Pilot (REP) streamlines the LMIA process for employers who have a strong track record of TFWP compliance and workforce management. Eligible employers can receive a simplified LMIA process with longer-validity approvals. For current REP eligibility, refer to the ESDC REP page.

TFWP vs. International Mobility Program (IMP)

The TFWP and the IMP are Canada's two main temporary work pathways, but they operate differently:

• TFWP: Requires a positive LMIA; employer-driven; primarily for positions where no Canadian/PR is available; administered jointly by ESDC and IRCC
• IMP: LMIA-exempt; covers work arrangements that provide broader Canadian or bilateral benefits (CUSMA, ICTs, IEC, intra-company transfers, significant benefit to Canada, etc.); administered primarily by IRCC

Whether a position requires an LMIA depends on the specific exemption code applicable under IRPR s 204–208. For LMIA-exempt categories, see the LMIA exemptions page.

The TFWP has been subject to ongoing reform and scrutiny since 2014 — particularly around low-wage positions in food service, retail, and accommodation. The 2026 changes to low-wage advertising requirements (8 weeks minimum) and rural employer caps are part of a continuing effort to ensure the program addresses genuine labour shortages rather than displacing Canadian workers. The Recognized Employer Pilot provides a meaningful incentive for compliant employers. For current LMIA requirements, application fees, processing times, and employer compliance obligations, refer to the ESDC TFWP page.