Canada Work Permits & Visas: Processes for Employers

Work permits and visas in Canada include the Temporary Work Permit, Open Work Permit, LMIA-Based Work Permit, and Post-Graduation Work Permit. Learn the differences and requirements for employers, including how to sponsor a visa for foreign workers.

Iconic landmark in Canada

Capital City

Ottawa

Currency

Canadian Dollar

(

C$

)

Timezone

NST/AST/EST/CST/MST/PST

(

GMT -3:30/-4/-5/-6/-7/-8

)

Payroll

Biweekly

Employment Cost

8.23% to 16.864% (varies by province)

Jordan Goldstone

Research Associate

Last Updated

December 11, 2024

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Navigating the complexities of work permits and visas in Canada can be challenging for employers, especially when hiring or relocating international talent. Employers must understand the various types of visas and work permits available in Canada, as well as the detailed requirements, application processes, and associated costs. Whether you’re looking to hire skilled foreign workers or transfer an employee to a Canadian office, having a clear understanding of the visa process will ensure you stay compliant and streamline your hiring practices.

Who Needs a Work Permit in Canada

In Canada, any foreign national looking to work temporarily will generally need a work permit, unless they fall into a specific exempt category. Employers hiring foreign workers must verify whether their employees require a work permit before they can start working.

Foreign nationals who are seeking employment in Canada must apply for a work permit unless they are a citizen of one of the countries under the Temporary Foreign Worker Program (TFWP) or the International Mobility Program (IMP). Certain types of workers, such as business visitors or individuals working on short-term projects, may not need a permit, but this varies depending on their specific situation.

Types of Work Visas in Canada

Canada offers a variety of work visa options depending on the type of employment and the applicant's nationality. Understanding the different visa types is essential for employers seeking to hire workers from abroad. Below is a breakdown of the key work visas available in Canada:

Visa Type Description
Temporary Work Permit Allows foreign nationals to work in Canada for a limited time in a specific occupation.
Open Work Permit Allows workers to work for any employer in Canada, with no specific job offer required.
Intra-Company Transfer Visa Enables employees of multinational companies to transfer to a Canadian branch or affiliate.
Post-Graduation Work Permit Issued to international students who have completed a program of study in Canada, allowing them to work temporarily in the country.
LMIA-Based Work Permit Requires an employer to obtain a Labour Market Impact Assessment (LMIA) to demonstrate the need for a foreign worker.

Requirements For a Work Permit in Canada

To obtain a work permit in Canada, certain requirements must be met. These vary depending on the type of work permit being applied for. Generally, applicants will need a job offer from a Canadian employer, proof of identity, and evidence that they meet the job’s requirements. Some permits may also require a Labour Market Impact Assessment (LMIA), while others are open work permits that do not need this approval.

  • Job Offer: The applicant must have a confirmed job offer from a Canadian employer.
  • Proof of Identity: A valid passport or travel document.
  • Labour Market Impact Assessment (LMIA): In some cases, employers will need to demonstrate that hiring a foreign worker will not negatively affect the Canadian labor market.
  • Education and Skills Documentation: Applicants may need to prove they have the necessary skills or educational qualifications for the position.
  • Health and Character Requirements: Medical examinations and background checks may be required, depending on the visa type.

Canada Work Permit Application Process

The process for applying for a work permit in Canada can be broken down into several steps:

  1. Ensure the job offer is valid and meet any LMIA requirements (if applicable).
  2. The foreign worker applies for a work permit online or at a Canadian consulate, depending on their location.
  3. Submit required documents, including proof of identity, job offer, and any LMIA details.
  4. Pay the application fee and submit biometrics if necessary.
  5. Wait for a decision on the work permit application. If approved, the worker can travel to Canada and begin working.

Process for Visa Sponsorship In Canada

When sponsoring an international worker for a Canadian work permit, employers must provide the necessary documentation that proves the job offer is legitimate. This can include providing a positive Labour Market Impact Assessment (LMIA), ensuring the applicant meets the requirements of the job, and complying with all regulations regarding foreign workers. Employers must also demonstrate that they have made efforts to hire Canadian citizens or permanent residents before turning to foreign talent.

What Are the Fees for a Work Permit or Visa in Canada

The fees for work permits and visas in Canada can vary depending on the type of visa being applied for and the applicant's circumstances. Generally, application fees range from several hundred to over a thousand dollars, with additional fees for biometric collection or other processing requirements.

Visa Type Application Fee
Temporary Work Permit $155
Open Work Permit $255
Post-Graduation Work Permit $255
Intra-Company Transfer Visa $155
LMIA-Based Work Permit $230

Processing Time for a Work Permit Or Visa in Canada

Processing times for work permits and visas in Canada can vary widely based on the type of visa, the applicant’s country of origin, and the volume of applications being processed. Typically, work permit applications may take anywhere from a few weeks to several months.

For example, the average processing time for a temporary work permit is around 2-3 months, while a Post-Graduation Work Permit may take up to 4-6 weeks. Delays can occur if additional documentation is required or if the application is incomplete.

Work Permit Renewal Periods in Canada

In Canada, the length of a work permit depends on the job offer and type of permit granted. Some work permits are issued for the duration of the employment contract, while others may be renewable. Employers and foreign workers must apply for a renewal if the work permit is close to expiring, and it’s recommended to start this process 3-4 months before the expiration date.

Visa Requirements For Digital Nomads in Canada

Digital nomads are increasingly attracted to Canada’s diverse and vibrant cities. However, unlike other countries, Canada does not have a specific "digital nomad visa." Digital nomads wishing to stay in Canada can apply for a visitor visa, but they are not allowed to work for Canadian employers unless they meet the requirements for a work permit.

Employers looking to hire digital nomads in Canada must be aware that remote work for foreign-based companies may not require a work permit if the employee is not entering the Canadian labor market. However, if the worker is providing services to Canadian clients, a work permit may be required.

  • Requirement 1: Proof of remote employment or freelance work for a foreign company.
  • Requirement 2: Evidence of sufficient funds to support themselves during their stay in Canada.
  • Requirement 3: A valid passport or other travel documents.

Common Challenges and Tips for Employers Hiring in Canada

Hiring foreign workers in Canada can present challenges, such as dealing with bureaucracy, meeting specific immigration requirements, and the potential delay in processing times. Understanding the different visa options, keeping up to date with regulatory changes, and working closely with immigration consultants can help alleviate these challenges.

  • Challenge 1: Navigating complex visa requirements and documentation for various work permits.
  • Challenge 2: Waiting for processing times, which may delay the hiring or relocation process.
  • Challenge 3: Managing compliance with immigration and labor laws to avoid legal issues.

Hire Global employees without hassle with an EOR solution

Expanding your workforce across international borders is an exciting step, but it can be a logistical nightmare to hire and pay employees in different countries. That’s the advantage of using a trusted Employer of Record like Playroll. They can:

  • Handle your international payroll: An EOR will act as your payroll provider, paying your employees on your behalf in the local currency. The company will also have in-depth knowledge of local tax codes, regulatory practices, and everything else that goes into managing global payroll.
  • Alleviate compliance concerns: Different countries each have their own federal and local laws governing employee payments. An EOR helps ensure that you are compliant with the unique set of laws for any country in which your company operates. This is extremely important since a compliance slip-up can result in heavy fines or even a lawsuit.
  • Hire and pay international contractors: Sometimes a particular project or role doesn’t require hiring a full-time employee. An EOR gives employers the flexibility to also hire contractors as needed, and avoid the potential for misclassification under local labor law.

Disclaimer

THIS CONTENT IS FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSTITUTE LEGAL OR TAX ADVICE. You should always consult with and rely on your own legal and/or tax advisor(s). Playroll does not provide legal or tax advice. The information is general and not tailored to a specific company or workforce and does not reflect Playroll’s product delivery in any given jurisdiction. Playroll makes no representations or warranties concerning the accuracy, completeness, or timeliness of this information and shall have no liability arising out of or in connection with it, including any loss caused by use of, or reliance on, the information.

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ABOUT THE AUTHOR

Jordan Goldstone

Jordan is an experienced Research Associate at Playroll, a leading Employer of Record (EOR) provider. An admitted attorney, Jordan has a strong background in legal compliance, data analysis and market research, specializing in identifying emerging trends and driving innovation in global HR solutions.

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FAQS

FAQs about Work Permits & Visas in Canada

Questions and Answers

What is the difference between a work permit and a work visa in Canada?

A work permit in Canada is a document that authorizes a foreign national to work in the country. A work visa, on the other hand, refers to the visa required to enter Canada for the purpose of working. While the terms are sometimes used interchangeably, a work visa is generally needed to enter Canada, whereas a work permit is required to perform work while in the country.

How long does it take to process a work permit or visa in Canada?

Processing times for Canadian work permits and visas can vary widely. For a Temporary Work Permit, processing typically takes 2 to 3 months, but this can change depending on factors like the applicant's country of origin, the visa type, and the volume of applications. For a Post-Graduation Work Permit, the processing time is generally faster, ranging from 4 to 6 weeks. Delays may occur if additional documentation is required.

What are the requirements for sponsoring a work permit or visa in Canada?

To sponsor a work permit or visa in Canada, employers must provide a valid job offer to the foreign worker and meet any necessary Labour Market Impact Assessment (LMIA) requirements. In addition, employers must demonstrate that they have made reasonable efforts to hire Canadian citizens or permanent residents before hiring foreign talent. Compliance with Canadian labor and immigration laws is critical in this process.

What types of work permits and visas are available in Canada?

Canada offers a variety of work permits and visas, each with specific eligibility criteria. The main types include the Temporary Work Permit, which is for foreign workers hired for a limited period; the Open Work Permit, which allows workers to work for any employer; the Post-Graduation Work Permit for international students who have completed their studies in Canada; and the LMIA-Based Work Permit, which requires employers to obtain a Labour Market Impact Assessment.