Canada has widened its restrictions on low-wage work permits, bringing more major cities under the Labour Market Impact Assessment (LMIA) processing freeze.
Effective April 10, 2026, low-wage LMIA applications will not be processed in 30 Census Metropolitan Areas (CMAs) across the country, up from 24 regions in the previous quarter. Newly affected cities include Vancouver, Winnipeg, and Halifax, where unemployment rates have crossed the 6% threshold.
These restrictions will remain in place until July 9, with the next update expected on July 10.
What Changed This Quarter?
The Canadian government updates its LMIA processing list every quarter based on unemployment rates in different regions.
Cities removed from the freeze (now eligible):
- Lethbridge (Alberta): 7.2% → 5.9%
- Red Deer (Alberta): 8.9% → 5.9%
- Kamloops (British Columbia): 6.6% → 5.2%
- Chilliwack (British Columbia): 7.3% → 5.7%
Cities newly added to the freeze:
- Halifax (Nova Scotia): 6.1%
- Moncton (New Brunswick): 7.4%
- Fredericton (New Brunswick): 6.5%
- Montréal (Quebec): 6.8%
- Kingston (Ontario): 6.2%
- Peterborough (Ontario): 6.3%
- Vancouver (British Columbia): 6.5%
- Winnipeg (Manitoba): 6.0%
Despite earlier changes, Montréal continues to face restrictions due to Quebec’s separate policy blocking low-wage LMIA processing in Montréal and Laval until December 31, 2026.
Major Cities with High Unemployment
Some of the highest unemployment rates among affected regions include:
- London (Ontario): 9.3%
- Kitchener–Cambridge–Waterloo (Ontario): 9.1%
- Windsor (Ontario): 8.8%
- Barrie (Ontario): 8.8%
- Toronto (Ontario): 7.9%
Overall, all 30 listed CMAs will remain under the low-wage LMIA freeze for this quarter.
What It Means for Employers
Employers planning to hire foreign workers must now carefully check the unemployment rate in their region.
- If the rate is 6% or higher, low-wage LMIA applications will not be processed.
- Employers can still hire through the high-wage stream by offering salaries above provincial thresholds.
Examples of high-wage thresholds (CAD):
- British Columbia: $36.60
- Ontario: $36.00
- Alberta: $36.00
- Quebec: $34.62
What It Means for Foreign Workers
For foreign nationals, this update could limit job opportunities in major cities under the low-wage category.
However, there are still options:
- Wait for the next update in July
- Look for jobs in regions with lower unemployment
- Apply for roles in exempt sectors
Jobs That Are Still Allowed
Certain sectors are not affected by the LMIA freeze, including:
- Agriculture
- Construction
- Food manufacturing
- Healthcare and caregiving
- Short-term jobs (under 120 days)
In addition, rural areas outside major cities are seeing increased hiring flexibility, with employers allowed to hire up to 15% of their workforce under the low-wage stream.
Why Canada Is Limiting LMIAs
The policy was introduced in August 2024 to ensure that Canadian citizens and permanent residents are given priority for jobs in regions with higher unemployment.
Since then, the government has been updating the list every three months, making it essential for both employers and foreign workers to stay informed.
Canada’s latest LMIA update signals tighter control over low-wage hiring in major cities. While opportunities may be shrinking in urban areas, alternative pathways such as high-wage roles, rural jobs, and exempt sectors continue to offer options for foreign workers.
Stay tuned to VisasTimes.com for the latest updates.