How Employment Genuineness Is Assessed in LMIA Applications: Key Factors and Required Documentation

When submitting a Labour Market Impact Assessment (LMIA) application, employers must demonstrate that the job offer made to a Temporary Foreign Worker (TFW) is genuine.

Under IRPR 200(5), Service Canada assesses genuineness using four core factors.

1. Employer Is Actively Engaged in Business

The employer must prove that the business legally exists and is actively operating in Canada in a manner connected to the job being offered.

• Operate an active and functioning business
• Provide goods or services related to the offered position
• Normally employ at least one worker
• Maintain a Canadian work location where the TFW will perform duties

First-time LMIA applicants may be required to provide business licences, CRA records, business contracts, payroll/source-deduction records, and financial documentation.

2. Reasonable Employment Need

The job offer must reflect a legitimate and reasonable business need. Service Canada assesses whether the position aligns with the employer’s normal business activities and whether hiring a TFW is justified based on operational requirements.

3. Employer’s Ability to Fulfill the Job Offer

• Provide full-time work consistent with the job description
• Pay wages and benefits offered in the LMIA application
• Meet applicable program obligations
• Comply with applicable employment standards

Financial and payroll records may be used to assess whether the employer can support the offered employment.

4. Employer Compliance History

Employers must demonstrate compliance with applicable federal and provincial or territorial laws, including employment standards, foreign-worker recruitment requirements, and past Temporary Foreign Worker Program obligations.

Key Takeaway

A genuine job offer under the LMIA program is assessed through the employer’s operations, business need, financial capacity, and compliance history. This article should be checked against current Service Canada requirements before publication.