New LMIA Wage Threshold Takes Effect on July 17

New LMIA Wage Threshold -- July 2026 -- What It Means for You

What Happened

On July 14, 2026, a new Labour Market Impact Assessment (LMIA) wage threshold was announced, set to take effect on July 17, 2026. This change affects employers applying for a Labour Market Impact Assessment, which is a necessary step for obtaining a work permit Canada 2026. According to IRCC, the new wage threshold will impact the way employers hire foreign workers. The LMIA process is designed to ensure that foreign workers are not taking jobs away from Canadian citizens and permanent residents. As of July 17, employers will need to meet the new wage threshold in order to be eligible for an LMIA. This change is significant for employers who rely on foreign workers to fill labour gaps in their businesses.

Who Is Affected

The new LMIA wage threshold will primarily affect employers who are seeking to hire foreign workers. However, this change will also have an indirect impact on international students, Post-Graduation Work Permit (PGWP) holders, and work permit holders. For example, a PGWP holder in Toronto who is working in a job that is classified under the National Occupational Classification (NOC) code 6311, which is food service supervisor, may be affected if their employer needs to apply for an LMIA to extend their work permit. According to IRCC, the new wage threshold will be based on the median hourly wage for each occupation in each region. This means that employers will need to pay their foreign workers at or above the median hourly wage for the occupation in order to be eligible for an LMIA. For instance, a work permit holder in Vancouver who is working as a software engineer, which is classified under NOC code 2173, may need to have their salary adjusted to meet the new wage threshold.

What This Means in Plain English

The new LMIA wage threshold means that employers will need to pay their foreign workers a higher wage in order to be eligible for an LMIA. This change is intended to ensure that foreign workers are not being underpaid and that Canadian citizens and permanent residents are not being displaced by lower-paid foreign workers. For example, if an employer in Montreal is seeking to hire a foreign worker as a web developer, which is classified under NOC code 2175, they will need to pay the worker at or above the median hourly wage for that occupation in the Montreal region. If the median hourly wage for web developers in Montreal is $35 per hour, the employer will need to pay the foreign worker at least $35 per hour in order to be eligible for an LMIA. This change will help to protect the wages of Canadian workers and ensure that foreign workers are being paid fairly. As explained in our previous article, Low-wage LMIA processing restrictions lifted for eight regions, the LMIA process is an important step in ensuring that foreign workers are not being exploited.

Historical Context

The new LMIA wage threshold is not the first time that IRCC has made changes to the LMIA process. In the past, IRCC has implemented various measures to ensure that foreign workers are not being exploited and that Canadian citizens and permanent residents are not being displaced. For example, in 2020, IRCC introduced changes to the LMIA process that required employers to demonstrate that they had made efforts to recruit Canadian citizens and permanent residents before hiring foreign workers. According to IRCC, these changes were intended to ensure that foreign workers were only being hired when there were no qualified Canadian citizens or permanent residents available to fill the job. The new LMIA wage threshold is another step in this direction, and it reflects IRCC's ongoing efforts to protect the wages and working conditions of Canadian workers. As noted in our recent article, Ontario launches three new pathways to permanent residence -- July 2026 -- What It Means for You, the Canadian immigration system is constantly evolving, and changes like the new LMIA wage threshold are an important part of this evolution.

What to Do Right Now

Employers who are seeking to hire foreign workers should review the new LMIA wage threshold and ensure that they are meeting the requirements. This may involve adjusting the salaries of their foreign workers to meet the new wage threshold. International students, PGWP holders, and work permit holders who are affected by this change should also review their employment contracts and ensure that they are being paid fairly. If you are an employer or a foreign worker who is affected by this change, you should Ask Ikovia your immigration question to get personalized advice on how to navigate the new LMIA wage threshold. It is also a good idea to review the IRCC website for the latest information on the LMIA process and the new wage threshold. Additionally, employers should ensure that they are complying with all other requirements of the LMIA process, including demonstrating that they have made efforts to recruit Canadian citizens and permanent residents.

What to Expect Next

Based on the pattern of this announcement, it is likely that IRCC will continue to monitor the labour market and make adjustments to the LMIA process as needed. IRCC may also conduct consultations with stakeholders, including employers and foreign workers, to ensure that the LMIA process is working effectively. As noted in our previous article, Quebec announces July 2026 intake for family sponsorship, exempts adult dependent children from cap, the Canadian immigration system is complex and constantly evolving, and changes like the new LMIA wage threshold are an important part of this evolution.

How Ikovia Can Help

Ikovia can help employers and foreign workers navigate the new LMIA wage threshold and the LMIA process more generally. Our team of experts can provide personalized advice and guidance on how to comply with the requirements of the LMIA process, including the new wage threshold. If you have questions about the new LMIA wage threshold or any other aspect of the Canadian immigration system, you can Ask Ikovia to get the help you need. Get personalized alerts when news like this affects your specific profile. Start free at Ikovia.

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This article is for informational purposes only and does not constitute legal advice. Information is based on official IRCC announcements and may change. Always verify current requirements at canada.ca or consult a Regulated Canadian Immigration Consultant (RCIC).