Hire a Temporary Foreign Worker in a High Wage Position

Cannot find suitable employees for the position you are hiring within Canada? Would like to hire a Temporary Foreign Worker in your company? There are many things that employers must determine before attempting to hire a temporary foreign worker. One of those things is the wage you will be paying this temporary foreign worker. Let's take a look at how the wages are determined.

Canadians who wish to hire a temporary foreign worker must first establish a shortage of the labour or skill that they are looking for in Canada. There are many ways of doing so that I have discussed in other Labour Market Impact Assessment (LMIA) related blogs. Once the shortage has been established, the employer gets the green signal to apply for a labour market impact assessment or an LMIA formerly known as a Labour Market Opinion (LMO). Apart from showing a shortage of skill within Canada, the LMIA application must prove the arrival of the foreign worker will have a positive or neutral effect on the Canadian market. One of the most important aspects of hiring a temporary foreign worker is to establish that you, as the employer, will adhere to federal and provincial standards of labour law and pay them with prevailing wages and benefits.

When LMO was changed to LMIA, the government basically divided the program into the provincial and territorial median wage rate for the position in which you are applying.

Does the same LMIA Process Apply to Everyone?

No, the LMIA process can be different based on many factors and one of them is the wages/salaries you are willing to pay the foreign worker. Application and its assessment become different once you determine the wages you will pay. For the purposes of this blog let's pick the high-wage positions.

How to Determine the Wages of the Temporary Foreign Worker?

Simply put, if the position for which you are hiring has a prevailing wage rate that is higher than the median rate offered provincially and territorially then you qualify under a high-wage position. If the position for which you are hiring has a prevailing wage rate that is lower than the median rate offered provincially and territorially then you qualify under a low-wage position. Hence, the application for both applicants will be different.

Before you attempt to establish yourself high or low wage, look at the below table provided by the government of Canada to determine eligibility. This will further help you figure out which temporary foreign worker program you can choose from. Notice, each province and territory offers different prevailing wages. The reason for the division is how the application will be processed and what kind of documentation will be requested from you.

Province/Territory

Wages prior to April 29, 2016

2015 wage ($/hour)

Wages as of April 29, 2016

2015 Wage ($/hour)

Alberta

25.00

25.38

British Columbia

22.00

22.60

Manitoba

19.50

20.00

New Brunswick

18.00

18.50

Newfoundland and Labrador

21.12

20.91

Northwest Territories

30.00

31.25

Nova Scotia

18.85

19.00

Nunavut

29.00

28.92

Ontario

21.15

22.00

Prince Edward Island

17.49

18.00

Quebec

20.00

20.60

Saskatchewan

22.00

22.80

Yukon

27.50

28.51


Source: Statistics Canada, Labour Force Survey, 2014 and 2015

Stream for High Wage Position

In order to apply under the high-wage stream the position being offered must accompany a wage/salary that is either the median wage or above the median wage in the location of the position being offered. These employers will be subject to fulfill the requirements of the Stream for the High-wage Positions.

Under the Canadian law, all workers in Canada are treated equally, all employers must adhere to the rules and regulations set by employment standards Canada, Human rights and labour laws. It is very important to find out what the Canadian law prescribes in terms of the wages and salaries for your position/occupation. Keep in mind wages are not standard across Canada, each province and territory have their own median wages and each occupation has its own criteria that employers are expected to follow. Employers must always check the average wage rate in their province, or territory or area before attempting to hire a TFW. Here are some of the steps of determining a wage/salary for high-wage positions.

Step one

You must determine whether the position is unionized or not. Depending on this, you will be taking different actions.

Step two

Using government approved websites, determine the median wage rate for the position and work location where the foreign worker will be employed. You can use the table provided in this blog to determine that. Remember the wages are not steady or standard so check regularly.

Step three

Find out if there are any other employees currently working in the same occupation and location where the foreign worker is intended to work. This is important as different actions will be taken depending on your case.

Step four

Find out the wages/salaries being paid to the workers who are currently employed in the same position and location as the foreign worker would. You have to determine your wage and salaries depending on how much current employees are getting paid.

One of the things you have to be mindful of is that a foreign temporary worker cannot be paid less just because they are not Canadian citizens or permanent residents. Workers must always be either paid the average wage or higher unless otherwise prescribed by the government. Remember all applications are not the same so all requirements will not be applicable to everyone in the same manner. Keep in mind, employers who offer wages that are below the prevailing wage rate in their locations will have a negative LMIA result.

What are some other program requirements?

There are many program requirements for this stream of positions and some of them are:

Want to Hire a Foreign Worker in Canada? Then Contact Akrami & Associates

Akrami & Associates has assisted many clients with different immigration matters from temporary to permanent applications. If you're looking to hire a foreign worker in Canada than contact Akrami & Associates for more details at 416-477-2545. Our immigration experts have submitted many successful immigration applications and we can help you achieve your immigration goals as well. Contact us today!

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