Canada Extends TFWP LMIA Grace Period to 90 Days

Canada has extended the time some temporary foreign workers can use to add a Labour Market Impact Assessment to an in-Canada work permit application.

Immigration, Refugees and Citizenship Canada (IRCC) updated its guidance on August 21, 2026, increasing the concurrent processing period from 60 days to 90 days. The measure applies to eligible workers under the Temporary Foreign Worker Program (TFWP) whose employers are still waiting for a decision on an LMIA.

How the 90-Day Period Works

Under concurrent processing, an eligible foreign worker can submit a TFWP work permit application before the employer receives a positive or neutral LMIA.

The applicant then has up to 90 days to provide proof of the LMIA result. A positive or neutral LMIA is generally required before a TFWP work permit can be approved because it shows that the employer was unable to fill the position with a qualified Canadian citizen or permanent resident.

The reviewing officer holds the work permit application during that period and returns to it after the deadline or once the required LMIA evidence has been submitted.

The change gives applicants 30 more days than under the previous 60-day period.

Why the Change Matters

LMIA applications can take several months to process. Without concurrent processing, a worker could have to wait for the LMIA before applying to extend a work permit.

That delay can create problems when an existing permit is close to expiring. A worker who cannot submit a new application in time may have to stop working and could face difficulties maintaining legal status in Canada.

Concurrent processing can help reduce that risk by allowing a qualifying worker to file the work permit application while the LMIA remains pending.

If the worker applies from inside Canada before the current permit expires, they may qualify for maintained status, previously known as implied status. This can allow them to keep working under the same conditions as their existing permit until a decision is made, provided they remain in Canada.

Who Can Qualify

IRCC says concurrent processing is available only in specific situations.

The foreign worker’s current work permit must expire within two weeks or less. The employer must already have submitted a complete LMIA application, and no decision on that application can have been made.

The LMIA also must have been filed early enough that a decision could reasonably have been expected before the worker’s permit expired.

The policy is intended to help workers whose employers acted in time but are still waiting for Employment and Social Development Canada to complete the LMIA process.

What Happens After Submission

Once the TFWP work permit application is filed under concurrent processing, the officer can pause the decision for up to 90 days.

During that period, the applicant must update the application with proof that the employer received a positive or neutral LMIA.

If the required LMIA evidence is not provided, the officer will return to the application after the 90-day period and make a decision based on the information available.