Canadian employers face longer LMIA waits in several streams, while permanent-resident applications see a notable improvement.

Canadian employers using the Temporary Foreign Worker Program are facing slightly longer waits for Labour Market Impact Assessments, with processing times rising across most streams in July 2026.

Employment and Social Development Canada, which reviews LMIA applications, published its latest monthly update on August 7. The figures show average business-day processing times and vary by stream, application quality and the number of files already waiting for review.

High-Wage Stream Sees Biggest Increase

The largest monthly increase came in the high-wage stream, where the average processing time climbed to 88 days in July from 79 days in June, a nine-day jump.

That wait has also grown sharply since February, when high-wage LMIAs were taking about 60 days.

The low-wage stream rose by two days, reaching 73 days compared with 71 days in June. In February, the same stream had an average processing time of 48 days.

Other streams saw smaller changes. Global Talent Stream applications increased from nine to 10 days, while the agricultural stream moved from 22 to 23 days.

Seasonal Agricultural Worker Program applications improved slightly, falling from nine days to eight.

Permanent Resident Stream Improves

The permanent resident stream moved in the opposite direction. Its processing time dropped from 99 days in June to 86 days in July, a 13-day improvement.

Despite that decline, it remains one of the longest LMIA processing periods. Its wait time has, however, fallen substantially since February.

Employers should also note that published LMIA processing times do not include the required advertising period before an application is submitted. Depending on the stream, recruitment requirements can add another two to eight weeks.

The federal government also does not process low-wage LMIA applications in regions where unemployment is six per cent or higher. The list of affected regions is updated every quarter, with the next update expected October 10.

Why Employers Need an LMIA

In most cases under the Temporary Foreign Worker Program, a Canadian employer needs a positive or neutral LMIA before a foreign national can apply for an employer-specific work permit.

The assessment confirms that the employer made the required effort to recruit Canadians or permanent residents and that hiring a temporary foreign worker is not expected to negatively affect the Canadian labour market.

After approval, the employer provides the worker with the LMIA decision letter and a job offer. The worker then uses those documents to apply for a work permit.

An LMIA can remain valid for up to six months, so the work permit application must be filed before it expires.

Temporary Worker Admissions Decline

Canada plans to admit 60,000 temporary foreign workers through the TFWP in 2026, down from the 82,000 target for 2025.

From January through April 2026, 19,240 workers entered Canada through the program. That was 29.1 per cent lower than the same period in 2025 and 54 per cent below 2024 levels.

The federal government has also reduced its International Mobility Program target to 170,000 in 2026 from 285,750 in 2025. Lower admissions could eventually reduce LMIA demand and ease some pressure on processing times.

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