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IRCC UpdatesJuly 14, 2026· 7 min read

Canada Raises LMIA Wage Thresholds on July 17, 2026 — How Employers and Workers Are Affected

By Vedant · Founder & Editor, BecomeACitizen.caLast reviewed July 16, 2026
AI-assisted and reviewed by the BecomeACitizen.ca team. Facts are checked against official IRCC and Government of Canada sources before publication.

Not legal or immigration advice. This article is for educational and informational purposes only. Immigration laws and IRCC policies change frequently — always verify with IRCC directly or a licensed immigration consultant before making any immigration decisions.

Quick Answer

Starting July 17, 2026, Canada’s LMIA wage thresholds rise across most provinces, pushing some job offers from the high-wage to the low-wage stream. Employers must either adjust wages or follow stricter advertising rules, accept shorter work permits, and meet regional restrictions.

What Changed on July 17, 2026?

On July 17, 2026, Canada adjusts the wage thresholds for Labour Market Impact Assessments (LMIAs) in nearly every province and territory. These thresholds determine whether a job offer qualifies as low-wage or high-wage under the Temporary Foreign Worker Program (TFWP). Both employers applying for LMIAs and temporary foreign workers relying on these permits will feel the impact.

The wage threshold is the provincial or territorial median hourly wage plus 20 percent. If the offered wage is below this threshold, the position moves to the low-wage stream, which carries tighter rules. If the wage meets or exceeds the threshold, it stays in the high-wage stream, with longer work permits and fewer regional limits.

For example, in Ontario, the threshold jumps from $36.00 to $36.92 per hour. A job offer at $36.50 per hour, once considered high-wage, now falls into the low-wage stream. Employers must either raise the wage to meet the new threshold or accept the stricter low-wage rules.

Province/TerritoryOld Threshold (Before July 17)New Threshold (After July 17)
Alberta$36.00$37.50
British Columbia$36.60$38.40
Manitoba$30.16$31.33
New Brunswick$30.00$31.73
Newfoundland and Labrador$32.40$33.60
Northwest Territories$48.00$48.00
Nova Scotia$30.00$31.96
Nunavut$42.00$45.00
Ontario$36.00$36.92
Prince Edward Island$30.00$31.20
Quebec$34.62$36.00
Saskatchewan$33.60$34.62
Yukon$44.40$45.60

3 years

Maximum work permit duration for high-wage LMIAs

1 year

Maximum work permit duration for low-wage LMIAs

6%

Unemployment rate cutoff for low-wage LMIAs in CMAs

📅 Key Date

July 17, 2026: LMIA applications submitted on or after this date will be assessed against the new wage thresholds. Applications submitted before this date still use the old thresholds.

Who This Affects

Employers

Employers planning to hire temporary foreign workers need to review job offers before submitting an LMIA. If the wage falls below the new threshold, the position moves to the low-wage stream, bringing added requirements:

Employers must now advertise for eight weeks instead of four, must target wider audiences, and must submit a transition plan showing how they’ll reduce reliance on temporary foreign workers over time. Low-wage LMIAs also face regional restrictions—no processing occurs in Census Metropolitan Areas (CMAs) where unemployment hits 6 percent or higher. And employers face strict caps on the share of low-wage temporary foreign workers they can hire, generally 10 percent of their workforce (20 percent in certain sectors).

Take Raj, a Toronto restaurant owner offering $36.50 per hour for a chef position. Under the old threshold, this qualified as a high-wage LMIA. After July 17, it falls into the low-wage stream, forcing Raj to either raise the wage to $36.92 or follow stricter advertising rules and regional limits. If Toronto’s unemployment rate stays at 6 percent or higher, his LMIA application won’t move forward at all.

Temporary Foreign Workers

Workers will see changes in permit duration. High-wage LMIAs support permits up to three years, while low-wage LMIAs cap permits at one year. This cuts into long-term planning, especially for those aiming for permanent residency through the Canadian Experience Class (CEC).

Maria, a construction worker from Mexico with a Calgary job offer at $37.00 per hour, once qualified for a three-year permit under Alberta’s old $36.00 threshold. After July 17, her wage sits just below the new $37.50 threshold, trimming her permit to one year. Her employer must either increase the wage or accept the shorter permit.

Workers in roles below the provincial median wage face even tighter limits. Low-wage LMIAs aren’t processed in CMAs with unemployment rates of 6 percent or higher, shrinking job options in major cities. A Montreal retail worker offered $30.00 per hour, for instance, could see their LMIA rejected if Montreal’s unemployment rate hits 6 percent or above.

International Students and Post-Graduation Work Permit (PGWP) Holders

International students and PGWP holders looking to transition to permanent residency may also feel the squeeze. Many rely on Canadian work experience to qualify for Express Entry or provincial nominee programmes. A shorter permit under the low-wage stream limits the time they have to build that experience.

Amit, a recent Indian graduate from a Vancouver college, had a $37.00-per-hour job offer that once qualified as high-wage. After July 17, British Columbia’s threshold jumps to $38.40, pushing his offer into the low-wage stream. His work permit will now max out at one year, cutting short his chance to gain the work experience he needs for Express Entry.

Your Action Plan

If your job offer or hiring plans are in play, take these steps before July 17:

Check your province’s new wage threshold. If your offer is close, bump the wage to stay in the high-wage stream. Adjust advertising plans if your offer now falls into the low-wage stream. Confirm your CMA’s unemployment rate—low-wage LMIAs won’t process if it’s 6 percent or higher. Review your workforce to ensure you’re within the low-wage cap (10 percent, or 20 percent for certain sectors). If possible, submit your LMIA before July 17 to lock in the old thresholds. Prepare a transition plan if you’re aiming for the high-wage stream. And consider talking to an RCIC or immigration lawyer if you’re unsure how the changes affect your plans.

Pro Tip

Employers in rural areas outside CMAs have a temporary advantage. Until March 2027, they can hire low-wage temporary foreign workers for up to 15 percent of their workforce, compared to the 10 percent cap in CMAs. That’s worth considering if your business is in a smaller community.

Frequently Asked Questions

Q: What happens if I submit my LMIA application on July 16, 2026?

A: Your application will be judged against the old wage thresholds. For example, an Ontario employer offering $36.50 per hour would still see that as a high-wage LMIA under the old $36.00 threshold.

Q: Can I still apply for a low-wage LMIA if my CMA’s unemployment rate is 6 percent or higher?

A: No. If your job sits in a CMA with unemployment at 6 percent or more, ESDC won’t process your low-wage LMIA. You’ll need to raise the wage to reach the high-wage threshold or move the position outside the CMA.

Q: How do I find the current unemployment rate for my CMA?

A: Check the latest numbers on Statistics Canada’s website. Always verify the rate for your specific CMA before filing a low-wage LMIA.

Q: What is the cap on low-wage temporary foreign workers?

A: Most employers face a 10 percent cap on low-wage temporary foreign workers in their workforce. Sectors with documented labour shortages, like agriculture or food processing, can reach 20 percent. Rural employers outside CMAs can hire up to 15 percent until March 2027.

Q: Does the wage threshold include benefits or bonuses?

A: No. The threshold covers only the base hourly wage. Bonuses, benefits, and overtime pay aren’t counted. So an offer of $35.00 per hour plus bonuses in most provinces still falls below the new threshold.

Q: What if my job offer is for a part-time position?

A: The hourly rate sets the threshold, whether the role is full-time or part-time. A part-time job in Quebec at $35.00 per hour, for instance, still misses the new $36.00 threshold and counts as low-wage.

📋 Official Source

Verified against the official Employment and Social Development Canada (ESDC) source. Always confirm details with canada.ca before submitting any applications.

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BecomeACitizen.ca Editorial Team

Our editorial team cross-checks every article against official IRCC sources and the Discover Canada study guide. We've helped thousands of permanent residents prepare for the Canadian citizenship test since 2023. Learn more about us →

Frequently Asked Questions

What happens if I submit my LMIA application on July 16, 2026?+

Your application will be assessed against the old wage thresholds. For example, if you’re in Ontario and offering $36.50 per hour, your job offer will still qualify as high-wage under the old threshold of $36.00.

Can I still apply for a low-wage LMIA if my CMA’s unemployment rate is 6 percent or higher?+

No. If the position is located in a CMA with an unemployment rate of 6 percent or higher, Employment and Social Development Canada (ESDC) will not process low-wage LMIA applications. You must either increase the wage to qualify for the high-wage stream or relocate the position to a non-CMA area.

How do I find the current unemployment rate for my CMA?+

The latest unemployment data is available on Statistics Canada’s website. Check the unemployment rate for your specific CMA before submitting a low-wage LMIA application.

What is the cap on low-wage temporary foreign workers?+

Most employers are capped at 10 percent of their workforce being low-wage temporary foreign workers. Certain sectors with demonstrated labour shortages may qualify for a 20 percent cap. Employers in rural areas outside CMAs can hire up to 15 percent until March 2027.

About the author

Vedant

Founder & Editor, BecomeACitizen.ca

Vedant built BecomeACitizen.ca after helping family members prep for the Canadian citizenship test. Every post is cross-checked against the official Discover Canada guide and current IRCC policy.

View full profile →

Sources

This article is for educational purposes. For official requirements, consult IRCC directly.