Service Canada Applications

Foreign Worker Program - Human Resources and Skills Development Canada

Labour Market Opinions

Individuals seeking to work in Canada must have their employment offers confirmed by HRSDC before applying for a work permit at a Canadian consulate or port of entry. Before confirming a job offer by a Canadian company to a foreign individual, HRSDC considers a list of factors that together form a labour market opinion. The factors include whether:

(1) the job offer is genuine;
(2) the wages and working conditions are comparable to those offered to Canadians working in the occupation;
(3) employers conducted reasonable efforts to hire or train Canadians for the job (including minimum advertising requirements);
(4) the foreign worker is filling a labour shortage;
(5) the employment of the foreign worker will directly create new job opportunities or help retain jobs for Canadians;
(6) the foreign worker will transfer new skills and knowledge to Canadians; and
(7) the hiring of the foreign worker will not affect a labour dispute or the employment of any Canadian worker involved in such a dispute.

If the above analysis results in a neutral or positive labour market opinion, HRSDC may approve the employment offer. In addition to a labour market opinion, certain regulated occupations (such as doctors, engineers and trade persons) require additional licensing and certification requirements before HRSDC will grant an employment authorization.

Once a positive LMO is issued, the second step is to apply to Citizenship and Immigration Canada for the actual work permit. As Canada’s labour market is constantly adjusting to changes in economic conditions, the wages, recruitment efforts and professions that Service Canada will consider for a Labour Market Opinion also vary.

Not all work permits require Service Canada's approval. LMO exempt permits are discussed here.

Arranged Employment Opinions

In addition to Labour Market Opinions, Service Canada has an Arranged Employment Opinion (AEO) program which is specifically designed to help Canadian employers bring skilled workers to Canada, not as temporary workers, but as Canadian immigrants. In other words, instead of obtaining a work permit for a foreigner, the Canadian company helps facilitate the actual immigration process, with the employment commencing as soon as the foreigner obtains their Canadian immigrant status. In effect, this means that as long as a foreigner obtains an offer of employment from a Canadian company (even if the foreigner is not present in Canada), the offer of employment can be formally approved by Service Canada, greatly facilitating and fast-tracking the individual’s immigration process.

Here is how it works: A Canadian employer makes a permanent job offer to a foreign national who has already applied for Canadian immigration as a Skilled Worker or is hoping to apply. The employer then submits that offer of employment and accompanying documents to Service Canada who decides whether or not to issue an Arranged Employment Opinion.

Service Canada considers the following factors when adjudicating an application for an Arranged Employment Opinion:

• Whether the job offer is permanent;
• Whether the job offer is genuine;
• Whether the wages and working conditions offered for the job are comparable to those offered to Canadians working in the occupation;
• Whether the employment is full-time.

In addition, the Canadian employer must be willing to submit certain financial documents such as payroll account information.

Once the AEO has been issued, the future employee adds the confirmation to their immigration application, which serves two primary functions. First, it potentially adds another fifteen points to the immigration application (skilled workers must meet a minimum threshold of 67 points to qualify under the program), second, the immigration application may benefit from priority processing, greatly reducing the time it takes to obtain an immigrant visa.

Accordingly, the Arranged Employment Opinion essentially functions like a “job promise” that is vetted and approved by the Government of Canada and which begins only after the foreigner has become a Canadian permanent resident. This is in contrast to Labour Market Opinions which are designed to bring foreign workers to Canada on a temporary basis.

Problems with Arranged Employment Opinions

The Arranged Employment Opinion program is not without its critics. Unfortunately, the program has been a poster child for immigration fraud and abuse, with eager foreigners paying Canadian companies thousands of dollars for fake job offers in order to facilitate their immigration applications. In many cases, a foreigner will only reach the minimum 67 points if they have the benefit of the extra 15 points that an AEO helps secure.

The Canadian government has reacted to the program abuse by strengthening their screening and monitoring initiatives to make sure the offers of employment are bona-fide. While some have called for the abolition of the AEO program, its policy goal of helping Canadian companies attract permanent skilled workers to Canada remains a laudable goal.

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