Canada Updates Work Permit Policies for Pending LMIAs

Immigration authorities in Canada announced that work permit applicants will no longer face rejection due to delayed LMIA processing.

NationPulse Desk

Oct 29, 2026 · 12:23 PM 2 min read

Key takeaways

Immigration, Refugees and Citizenship Canada updated rules so work permit applicants will not be refused if employer LMIA processing takes too long.

On October 28, 2026, officers were directed not to decide on Temporary Foreign Worker Program permit applications until an LMIA decision is reached.

The change affects concurrent processing rules allowing in-Canada workers to apply while employer LMIA applications are pending.

On August 21, 2026, the concurrent processing time limit was raised from 60 days to 90 days.

Employers in thirty urban areas face an LMIA application ban for non-exempt jobs paying less than 120 percent of the median wage from October 9, 2026, to January 7, 2027.

Immigration, Refugees and Citizenship Canada adjusted its policies to prevent work permit refusals when government processing for an employer Labor Market Impact Assessment takes longer than anticipated.

Immigration officers received updated directives on October 28, 2026, instructing them to wait for an LMIA decision before concluding a Temporary Foreign Worker Program work permit application.

Public instructions are now available on the official web page titled Labor Market Impact Assessment Review, Temporary Foreign Worker Program.

Earlier guidelines instructed staff to keep work permit requests pending for up to 90 days while waiting for the LMIA outcome.

This policy adjustment impacts work permit submissions made through concurrent processing rules, which permit individuals already in Canada to apply for a Temporary Foreign Worker Program permit while the employer LMIA remains undecided.

Eligibility for concurrent processing requires the applicant current permit to expire within two weeks or less, alongside an employer LMIA submission timed so that Employment and Social Development Canada can reasonably process it prior to the permit expiration.

Applicants who submit requests prior to permit expiration receive maintained status, allowing continued employment under current permit conditions until a final ruling is reached.

The concurrent processing duration limit was previously extended from 60 days to 90 days by Immigration, Refugees and Citizenship Canada on August 21, 2026.

Issuance or extension of a work permit via the Temporary Foreign Worker Program requires employers to hold a positive or neutral LMIA, which Employment and Social Development Canada uses to verify that no qualified Canadian citizens or permanent residents are available.

In a separate measure, employers across thirty urban regions face a moratorium on Labor Market Impact Assessment submissions for non-exempt positions offering wages below 120 percent of the median provincial or territorial wage.

Impacted census metropolitan areas include Toronto, Vancouver, Montreal, Edmonton, Calgary, Ottawa-Gatineau, Halifax, Fredericton, and Regina, with restrictions effective from October 9, 2026, until January 7, 2027.

This restriction affects locations experiencing unemployment rates of six percent or higher, following a federal moratorium introduced in September 2024.

Questions and answers

What happens to work permit applications when LMIA processing is delayed?

Officers are instructed not to make a decision on a Temporary Foreign Worker Program work permit application until a decision has been reached on the LMIA.

What are the requirements for concurrent processing?

A worker's existing permit must expire in two weeks or less, and their employer must have submitted the LMIA application with enough lead time for Employment and Social Development Canada to process it before the permit expires.