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New Canada LMIA Rules in Effect to Curb Fraud – What Employers and Workers Need to Know

ICC Immigration Inc > Blogs > Announcement > New Canada LMIA Rules in Effect to Curb Fraud – What Employers and Workers Need to Know

Canada has officially rolled out new LMIA rules to strengthen transparency in the hiring process and protect both Canadian workers and foreign employees. As of September 2025, employers applying for a Labour Market Impact Assessment (LMIA) must now use the Job Bank Direct Apply feature when advertising positions under the Temporary Foreign Worker Program (TFWP).

This change is designed to prevent fraudulent postings, reduce misuse of the LMIA system, and ensure that Canadian applicants are given fair access to job opportunities before employers turn to hiring from abroad.

What Changed Under the New LMIA Rules?

The most significant update is the mandatory use of Job Bank’s Direct Apply tool. This feature allows Canadian job seekers to apply directly through Job Bank, ensuring that employers cannot ignore or bypass domestic applications.

Employers are now required to:

  • Enable Direct Apply for all LMIA job postings.

  • Review resumes within 21 days of submission.

  • Offer at least one additional application method (such as email or company website).

  • Keep detailed records of applications reviewed, reasons for rejection, and all recruitment efforts for up to six years.

If employers fail to review applications within the required timeframe, their job ads may be removed from Job Bank, and LMIA applications risk being denied.

Why These LMIA Rules Matter

In recent years, Canada has seen a rise in the black market of LMIA jobs, where fraudulent recruiters and employers exploited loopholes. Some businesses posted jobs only as a formality, without truly considering Canadian applicants.

By enforcing Direct Apply and strict review timelines, the government aims to:

  • Prioritize domestic hiring.

  • Prevent fraudulent LMIA practices.

  • Protect temporary foreign workers (TFWs) from being misused in fake job offers.

  • Ensure employers hire ethically and transparently.

This shift is part of Canada’s broader commitment to building a fair, diverse, and well-regulated labour market.

Impact on Employers

For Canadian employers, the new LMIA rules mean greater accountability.

✅ Opportunities:

  • Easier access to qualified local candidates.

  • Transparent and centralized resume management through Job Bank.

  • A stronger foundation for LMIA approval if compliance is met.

⚠️ Challenges:

  • Administrative burden of reviewing applications within 21 days.

  • Stricter audits and potential delays if rules are not followed.

  • Increased HR workload for small and medium-sized businesses.

Employers in industries such as construction, hospitality, and agriculture will need to adapt quickly, as LMIA processing is essential to fill labour shortages.

Impact on Job Seekers and Temporary Foreign Workers

For Canadian job seekers, this update is a win. With Direct Apply, applications are submitted instantly, and employers are obligated to review them. This reduces the frustration of being ignored and increases chances of being considered.

For foreign workers, the system ensures that LMIAs are only issued when truly necessary—when no qualified Canadians are available. This makes the pathway to work permits and Permanent Residency (PR) more credible and secure.

Agriculture LMIA Advertising Rules Returning in 2026

Another key development is the end of the temporary advertising suspension for primary agriculture positions.

Starting January 1, 2026, employers in farming, livestock, and related sectors must once again post job ads with Direct Apply enabled and meet full recruitment requirements.

This ensures that Canadian workers—including youth, Indigenous communities, and persons with disabilities—are given priority in agricultural hiring.

How ICC Immigration Can Help You Secure Your Future in Canada

Navigating LMIA rules and Canada’s immigration pathways can be overwhelming. That’s where ICC Immigration comes in.

Our expert team helps you avoid uncertainty and choose the right pathway to Permanent Residency (PR) without the risks associated with asylum claims.

Our Services Include:

  • Permanent Residency Applications – Guidance through Express Entry, Provincial Nominee Programs (PNPs), and other PR streams.

  • Work and Study Permits – Helping you gain temporary entry to Canada while planning for permanent settlement.

  • Family Sponsorships – Reuniting you with your loved ones through Canada’s family-class immigration.

  • Expert Legal Advice – Ensuring compliance with current Canadian immigration laws and maximizing your approval chances.

👉 Instead of relying on uncertain routes, take control of your future with a clear, stable, and reliable path to PR.

📞 Contact ICC Immigration today at +1 (647) 850-9000 | +1 (905) 499-9500 and let us help you build your future in Canada.