Canada’s Temporary Foreign Worker Program (TFWP) allows employers to hire foreign workers when no qualified Canadians or permanent residents are available.?However, participation in the TFWP comes with strict legal obligations. Employers must comply with employment standards, immigration conditions, and ongoing monitoring requirements. Failure to do so can result in fines, bans, and reputational damage.
This article explains the key responsibilities employers must meet under the TFWP.
1. Obtain a Valid Labour Market Impact Assessment (LMIA)
Most TFWP streams require employers to secure a positive or neutral LMIA from Employment and Social Development Canada (ESDC).
Employers must demonstrate that:
• They made genuine efforts to hire Canadians or permanent residents
• The job offer meets prevailing wage standards
• Hiring a foreign worker will not negatively impact the Canadian labour market
The LMIA must remain valid throughout the hiring process.
2. Provide Accurate Job Offers and Employment Conditions
Employers must ensure that:
• Job duties match the LMIA and work permit
• Wages meet or exceed the prevailing wage
• Working hours, benefits, and conditions are consistent with Canadian labour laws
Employers cannot reduce wages, change duties, or worsen conditions after the worker arrives.
3. Pay the Foreign Worker Correctly and On Time
Employers are obligated to:
• Pay wages as stated in the job offer and LMIA
• Follow provincial or territorial employment standards
• Provide overtime pay, statutory holiday pay, and vacation entitlements where applicable
Withholding wages or charging illegal fees is strictly prohibited.
4. Ensure a Safe and Respectful Workplace
Under the TFWP, employers must:
• Provide a workplace free from abuse, harassment, and exploitation
• Follow occupational health and safety regulations
• Address complaints or safety issues promptly
Abuse or mistreatment can lead to severe penalties and permanent bans from the program.
5. Cover Mandatory Costs
Employers must not recover certain costs from workers, including:
• LMIA application fees
• Recruitment or placement fees
• Costs related to compliance
In some streams, employers must also provide or help arrange:
• Return transportation
• Suitable accommodation (especially for agricultural streams)
6. Maintain Records and Documentation
Employers must keep detailed records for at least six years, including:
• Employment contracts
• Payroll records
• Proof of recruitment efforts
• Work schedules and conditions
These records may be requested during inspections or audits.
7. Cooperate With Inspections and Audits
Employers under the TFWP may be subject to:
• Random or targeted inspections
• On-site visits
• Document requests
Employers must fully cooperate and provide accurate information. Obstructing an inspection can result in penalties.
8. Notify Authorities of Changes
Employers must inform ESDC and Immigration, Refugees and Citizenship Canada (IRCC) if:
• Employment ends earlier than expected
• Business ownership changes
• Job conditions significantly change
Failure to report changes may be considered non-compliance.
9. Respect Worker Rights
TFWP workers have the same rights as Canadian workers, including:
• Protection under employment standards legislation
• Access to workplace safety protections
• The right to change employers (with a new permit)
• Protection from retaliation for reporting abuse
Employers must not threaten, intimidate, or penalize workers for exercising their rights.
10. Consequences of Non-Compliance
Employers who fail to meet TFWP obligations may face:
• Administrative monetary penalties
• Suspension or revocation of LMIAs
• Bans from hiring foreign workers (up to permanent)
• Public listing on Canada’s non-compliant employer registry
Compliance is essential to continue participating in the program.
Key Takeaway
Employers under the TFWP must meet strict obligations related to wages, working conditions, safety, documentation, and cooperation with inspections.?Compliance protects not only foreign workers, but also the employer’s ability to legally hire international talent in the future.
Disclaimer
This article is for informational purposes only and does not constitute legal advice.?TFWP requirements may change, and obligations can vary by stream and province. Always consult official Canadian government sources or a qualified immigration professional.
December 17, 2025