The Ultimate Employer’s Guide to Work Permits for Employees in Canada [2024]
When hiring in Canada or expanding your company’s operations to the Great White North, it’s essential to ensure that all your employees are fully authorized to work there
Employing workers without proper work authorization is illegal and can lead to serious consequences, such as hefty fines, imprisonment, or even a ban on hiring foreign workers
Before hiring your first Canadian employee or transferring an existing worker to Canada, consult our guide. It covers essential information, including who requires a work visa, the application process, and answers to frequently asked questions about work permits for employees in Canada.
What is a Canadian work permit?
A work permit (or work visa) in Canada is an official document issued by the Canadian government that authorizes foreign nationals to work legally in Canada for a designated period. After this period, they must either renew their work permit or return to their home country.
These permits are issued by Immigration, Refugees and Citizenship Canada (IRCC), the government agency responsible for assisting newcomers in settling in Canada.
Typically, work permits in Canada are granted based on a job offer from a Canadian employer who has proven that they have made reasonable efforts to hire a Canadian citizen or permanent resident but were unsuccessful.
Who needs a Canadian work visa?
Foreign nationals who are neither Canadian citizens nor permanent residents typically need a work permit to work in Canada.
However, there are some exceptions:
Temporary business visits where the worker is not participating in the Canadian labor market.
Students with a study permit, which allows them to work up to 20 hours per week during the academic term without needing a separate work permit.
Artists, performers, coaches, news reporters, or similar individuals entering Canada for specific activities like performances or competitions, provided they meet certain exemption criteria.
When extending a job offer to a new hire in Canada, it’s important to include a clause stating that the offer is contingent upon their eligibility to work in Canada.
How long does it take to obtain a work permit in Canada?
The processing time for a Canadian work permit depends on several factors, including the applicant’s country of origin, whether an LMIA is needed, the specific work permit program applied for, and other variables. You can find processing times for various visa types here.
Types of Work Visas in Canada
Canada offers two primary types of work permits. If your business intends to bring foreign nationals to work in Canada, you’ll likely encounter employer-specific work permits. Conversely, if you plan to hire employees who are already residing in Canada, you may deal with open work permits.
Employer-Specific Work Permits: As the name indicates, these permits authorize foreign nationals to work for a specific employer only. The permit details the employer, the work location, and the duration of employment. Typically, foreign nationals apply for this type of permit after receiving a job offer from a Canadian company.
Open Work Permits: These permits offer greater flexibility, allowing foreign nationals to live in Canada and seek employment with various employers. They are often issued to recent graduates looking for work after completing their studies in Canada or to spouses of individuals who hold an employer-specific work permit.
Canada provides work permits through two main programs:
- Temporary Foreign Worker Program: This program aims to address labor shortages and skill gaps in Canada by bringing in skilled foreign workers.
- International Mobility Program: This program is designed to support Canada’s economic, social, and cultural interests. It allows specific foreign nationals to live and work in Canada, fostering international relations and enhancing the country’s arts, culture, sports, and religious sectors.
Regardless of the type of work permit, each permit will have specific stipulations and conditions tailored to the individual’s situation, including their reason for immigrating, education and experience, and the province in which they reside.
Application process for Canada work visas
Before the worker applies, their employer needs to find out if they need a Labor Market Impact Assessment, or LMIA (formerly known as a Labor Market Opinion, or LMO). Foreign nationals applying for visas under the Temporary Foreign Worker Program require an LMIA. Those applying under the International Mobility Program do not.
The employer must provide a copy of the positive LMIA (if applicable) along with a detailed job offer letter, which doubles as an employment contract, with information about the role, salary, working location, and other relevant details.
The worker applies for the visa. They can start the process online. They’ll be required to submit documents including their positive LMIA, job offer, proof of identity, health records, financial records, and biometrics. They may also need to meet with a visa officer.
If the worker meets the eligibility requirements for a visa, they’ll receive an approval letter. They can present this letter at the port of entry when they arrive in Canada, where they’ll receive their work permit.
After working for at least one year with a temporary work permit, the worker can apply for a permanent work permit. The government of Canada offers three programs for foreign nationals to obtain permanent work permits:
Federal Skilled Worker Program
Federal Skilled Trades Program
Canadian Experience Class
Workers can apply for any of the three programs through the online Express Entry system for Canadian immigration. The exact requirements vary by visa program and by each applicant’s circumstances, but some requirements are standard for all three programs and all applicants. All application packets require:
Work permit application forms
Passport or travel documents
Education credential assessment report
Language test results
A written job offer letter from a Canadian employer
Police certificate
Medical exam
Proof of funds
The Federal Skilled Worker program also uses a point-based system called the Comprehensive Ranking System (CRS), where applicants are awarded points for their English or French language skills, education, work experience, adaptability, and arranged employment. Applicants must score a minimum of 67 out of 100 points to qualify for the visa program.
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