Canada Removes LMIA Points to Prevent Immigration Fraud

Written by

Mynaz Altaf

Fact check by

Afreen Abbasi

Updated on

Jan 22,2025

Canada Removes LMIA Points to Prevent Immigration Fraud - TerraTern

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In a landmark reform of Canada's immigration system, the federal government announced its decision to eliminate different incentives for foreign workers under the Labor Market Impact Assessment (LMIA) process. The policy reform is intended to address arising concerns about fraud within the immigration system while sustaining equity and integrity.

What is The Change?

The LMIA is central to Canada's immigration structure. It is the tool that employers use to demonstrate that hiring a foreigner will not negatively affect the local labour market. In the past, the LMIA allowed foreign workers to obtain between 50-200 points under the Comprehensive Ranking System (CRS) within Express Entry programs. Specific fraudulent activities, such as fake job offers and exploitation of vulnerable persons, arose from this points generation scheme.

Fraudulent Activities

Currently, fraudulent job offers are a chronic concern, with some persons also paying exorbitant amounts to get LMIA from unethical employers. This practice undermines the system's integrity and leaves many foreign workers in precarious situations. By doing away with LMIA points in CRS, the government intends to lessen the inducement for fraud and position genuine candidates at the forefront.

 

New Focus on Qualifying Talent

The recommendations of the federal government represent a turn toward offering more preference for people highly skilled with Canadian contributions. Rather than handing out points added to the Express Entry pool, all candidates will be comprehensively assessed based on skill sets, education, language competency, and work experience. 

A Merit-Based Approach

By focusing on a merit-based immigration process, Canadian reforms represent yet another step in the right direction toward the national immigration policy of welcoming the best talent available from around the globe. It will:

  •  Provide greater credence to the immigration process.

  •  Provide further transparency surrounding candidate selection.

  •  Moat's additional reliance on employer-driven pathways.

Implications for Employers

Employers will also feel the consequences stemming from this change. With the LMIA-related points in the CRS gone, it will be up to those luring proactive workers to make sure that they really give job offers and work permits to skilled people.

Balancing The Needs of Employers

While the policy intends to curb abuse, it recognizes that it must assist in alleviating labour shortages in other sectors. Measures are underway to make it easier for temporary foreign workers under the TFWP to be available to employers needing foreign workers.

Stricter Enforcement

So as to create the needed accompanying changes, the government is ramping up enforcement measures to expose and punish illegal acts. Employers and immigration consultants found to violate any of the rules against which the Department has filed complaints will face stricter penalties, donor fines, and bans from the program. 

Impact on Foreign Workers

Foreign workers will have clearer and fairer options regarding permanent residency due to the removal of the LMIA points, but the more critical focus will be on the individual qualifications and achievements and not upon employer-sponsored residency applications.

Preparation for the Change

To prepare for this new system, immigrants are encouraged to do the following:

  •  Improve their levels of English and/or French.

  •  Attend studies and/or training in-demand fields.

  •  Get work experience in Canada through legitimate means.

Promoting vulnerable workers

One of the government's priorities is to offer protection to foreign workers against exploitation. Additional resources would need to be provided in:

  •  Raising standards about employer supervision.

  •  Providing services to workers facing abuse.

  •  Ensuring that all persons within the immigration system are treated fairly.

Responses of Stakeholders

The announcement was met with mixed responses from various stakeholders. While several hailed the government for trying to tackle fraud, other employers and immigration consultants raised concerns about possible delays and challenges in meeting labour needs.

Call for Collaboration

The experts emphasized that the government, employers, and advocacy groups need to work together to ensure a smooth transition. By working together, stakeholders can minimize labor shortages while at the same time keeping Canadian immigration systems free and fair. 

A Long-Term Vision

This is part of a broader agenda to overhaul Canada's immigration system by removing the factors linked to LMIA. The government aims to modernise the system under the core tenets of boosting real talent and dealing with structural weaknesses, thereby positioning it to be stronger and more resilient in the future.

 

Conclusion

While these changes are being implemented by the federal government, its focus continues to be a fair, transparent, and efficient immigration program whose overhaul is seen as a way to help protect Canada's reputation as a destination for immigrants. To learn more about Canada's latest immigration policies and to find assistance for Canada immigration, you must contact TerraTern right away!

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Frequently Asked Questions

Why is the federal government removing LMIA-related points from the CRS?

To put an end to fraudulent activities like fake job offers and to give priority to proper candidates in the immigration system.

How does this affect employers?

Employers will be expected to provide genuine job offers and issue work permits to qualified applicants. More strict measures will be taken against fraud offences.

What does this mean for prospective immigrants?

Candidates should rely less upon LMIA award points and, therefore, must orient themselves more towards employability in skills, education, and work experience.

How does the government plan to support vulnerable foreign workers?

More resources will be made available to protect workers from exploitation, increase supervision of employers, and provide support services for those facing abuse.

What does the government want to achieve through broader changes?

The government wants to build a fair, transparent, efficient immigration scheme, address labor shortages, and maintain integrity.