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ImmPulse™ Newsletter

Canada Updates Prevailing Wages – Considerations for Employers and Foreign Workers

The ‘prevailing wage’ (or median wage) determined by the Canadian government for occupations across the country, is an important part of Canadian immigration matters. Among other issues, the prevailing wage for particular jobs in particular regions, must, in almost all cases, be the minimum wage offered to a foreign worker. The job in question will depend on a comparison to the job definitions set under the National Occupational Classification (NOC) code. NOC code descriptions can be searched at https://noc.esdc.gc.ca/. The new prevailing wage for each job can be searched at https://www.jobbank.gc.ca/trend-analysis/search-wages.

Canada has just updated its prevailing wage information, and employers (and foreign workers) must therefore ensure that they take the new wages into account.

Among other considerations:

  • Employers must ensure wage compliance at all stages of LMIA-based work permit matters. Specifically:
    • Employers must ensure that current job postings in support of an LMIA (but pre-application) are compliant with the new requirements.
    • LMIA applications already filed may also require reposting if the percentage change is considered sufficiently substantial.
    • Where a foreign worker is already employed, his/her salary must be raised if the salary now falls below the new prevailing wage.
  • Similar considerations may exist for IMP/non-LMIA work permits as well, notably in the realm of intra-company transferees (please see our recent ImmPulse™ on the topic, at https://bit.ly/4dHd6uL).

In addition to the above, employers are reminded of their obligation to review foreign workers’ salaries annually, to ensure that salaries are indeed at or above median wage.