Canada Updates Low-Wage LMIA Rules for July to October 2026

Jul 14, 2026 / 2 min readIshita Soni

Canada Updates Low-Wage LMIA Rules

Canada has updated its unemployment rates for different cities (CMAs), and these changes will affect low-wage LMIA applications submitted between July 10 and October 8, 2026. As a result, some regions have become eligible again, while others are now restricted.

Here’s what you need to know.

What Is the 6% Unemployment Rule?

Since September 2024, Canada has followed a simple rule for low-wage LMIA applications.

  • If a city’s unemployment rate is 6% or higher, low-wage LMIA applications for that area will not be processed.
  • However, if the unemployment rate is below 6%, employers can apply for a low-wage LMIA.

In short, this rule decides whether employers in certain regions can hire temporary foreign workers through the low-wage stream.

More Cities Are Eligible Again

The latest update brings good news.

Now, 15 Canadian cities are eligible, compared to only 11 in the previous quarter.

Additionally, 8 cities that were previously restricted have become eligible again, including:

  • Halifax, Nova Scotia
  • Saint John, New Brunswick
  • Fredericton, New Brunswick
  • Drummondville, Quebec
  • Kingston, Ontario
  • St. Catharines–Niagara, Ontario
  • Winnipeg, Manitoba
  • Regina, Saskatchewan

Therefore, employers in these regions can once again submit low-wage LMIA applications.

Four Cities Are Now Restricted

On the other hand, 4 cities have crossed above the 6% unemployment mark, making them ineligible for low-wage LMIA applications.

These cities are:

  • Saskatoon, Saskatchewan
  • Red Deer, Alberta
  • Kamloops, British Columbia
  • Chilliwack, British Columbia

As a result, employers in these locations cannot apply for new low-wage LMIAs during this period.

What Employers Should Do

Before submitting a low-wage LMIA application, employers should:

  • Check whether the work location is in an eligible CMA.
  • Confirm that the offered wage falls under the low-wage category.
  • Submit applications as early as possible if their city has recently become eligible, as rules can change again in October.

Furthermore, employers should keep all required recruitment records and follow LMIA advertising requirements.

What Foreign Workers Should Know

If you’re planning to work in Canada through an employer-supported work permit, these changes may affect your opportunities.

  • Job opportunities may increase in the 8 newly eligible cities.
  • However, hiring may slow down in the 4 newly restricted cities.
  • Existing work permits are not affected. These rules only apply to new low-wage LMIA applications.

Therefore, it’s important to check your employer’s location before making plans.

Some Jobs Are Still Exempt

Even in restricted cities, some occupations can still apply for an LMIA.

These include:

  • Agriculture
  • Construction
  • Food manufacturing
  • Hospitals and healthcare facilities
  • Certain caregiver positions
  • Some short-term jobs
  • LMIA applications submitted only to support permanent residence

So, not every low-wage job is affected by the unemployment rule.

Final Thoughts

Overall, this update is positive for many employers and foreign workers, as more Canadian cities have reopened for low-wage LMIA applications.

However, because unemployment rates are reviewed every three months, eligibility can change again. Therefore, both employers and workers should stay updated and plan their applications before the next review on October 8, 2026.

Get in touch with SPS Global

Receive advice on any of your questions regarding immigration. Get in touch with us, experienced immigration consultants from SPS Global. For additional information, contact support@spscanada.com (Canada) or support.amd@spscanada.com (Ahmedabad), or by phone at (1) 905-362-9393 (Canada) or +919586226232 (Ahmedabad).