Canada doubles maximum duration of low-wage TFWP work permits
Workers under the low-wage stream of the Temporary Foreign Worker Program (TFWP) can now be issued permits for up to two years.
On Nov. 6, 2026, Employment and Social Development Canada (ESDC) published a press release announcing it was raising the maximum duration of low-wage Labour Market Impact Assessments (LMIAs) from one year to two years.
Schedule a Free Work Permit Consultation
The change is effective for LMIAs submitted through the low-wage stream of the TFWP on or after Nov. 6, according to ESDC's press release.
A position falls under the low-wage stream of the TFWP if it pays less than 120% of the hourly median wage in the province or territory in which the job is located. As of the time of writing, the low-wage threshold is $36.92 for Ontario, $38.40 for British Columbia.
For a foreign worker to be issued a work permit through the TFWP, their employer requires a positive or neutral LMIA, which is issued by ESDC to show that no qualified Canadian citizen or permanent resident was available to fill the position.
The duration of the LMIA also establishes the maximum duration for which a TFWP work permit can be issued by Immigration, Refugees and Citizenship Canada (IRCC).
If a worker wishes to apply to extend an existing TFWP work permit, their employer must obtain a new LMIA.
As of the time of writing, the federal government continues to maintain a moratorium under which ESDC will not process low-wage LMIAs for non-exempt jobs* in Census Metropolitan Areas (CMAs) with 6% unemployment or higher.
Once a CMA’s unemployment rate hits 6% and the region has been added to ESDC’s list, employers are no longer able to get the LMIAs their low-wage foreign workers require to extend their work permits, with the result that many workers with expiring permits will face loss of status.
As of the time of writing, the low-wage moratorium encompasses 30 CMAs, including Toronto, Vancouver, Montreal, Calgary, Edmonton, and Halifax.
ESDC updates the list of affected CMAs quarterly; the next update is scheduled to take place on Jan. 8, 2027.
If a worker's permit is set to expire in two weeks or less and their employer has yet to receive a decision on the LMIA application, IRCC allows for concurrent processing: provided that their employer had applied for the LMIA with sufficient lead time, the worker may apply for an extension while the LMIA remains pending.
If a worker applies for a work permit extension prior to the expiry of their existing permit, they benefit from maintained status, which authorizes them to continue working under the conditions of their expired permit until they receive a decision on their application.
Under concurrent processing, IRCC puts the decision on the TFWP work permit application on hold, providing the work permit applicant the opportunity to attach the LMIA to the work permit application the LMIA has been issued. Once a positive or neutral LMIA has been attached to the application, the officer may issue a positive decision on the TFWP work permit.
On Oct. 28, 2026, IRCC eliminated the time limit on concurrent processing.
On Aug. 21, 2026, IRCC had raised the time limit on concurrent processing from 60 days to 90 days.
*The moratorium exempts roles in certain in-demand sectors, including construction, agriculture, and healthcare.
In the same press release, ESDC added early childhood educators to the list of exempt occupations.
ESDC established the low-wage moratorium on Sept. 26, 2024.
On Nov. 8, 2024, the government raised the wage threshold to 120% of the median provincial or territorial wage; prior to that, the threshold had been set at the median.
- Do you need Canadian immigration assistance? Contact the Contact Cohen Immigration Law firm by completing our form
- Send us your feedback or your non-legal assistance questions by emailing us at media@canadavisa.com
