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Understanding Employer Obligations Under the Temporary Foreign Worker (TFW) Program – LMIA streams

The Temporary Foreign Worker (TFW) Program is an important resource for Canadian employers needing to address labour shortages. While the program provides companies access to skilled international workers, it also places specific responsibilities on employers to ensure fair and ethical treatment.

If you’re considering hiring through the TFW Program, understanding these obligations is essential to remain compliant and support a positive work environment for international employees. Here’s a guide to employer responsibilities under this program.

Jump ahead:

1. Compliance with Recruitment Requirements
2. Wage Requirements for Temporary Foreign Workers
3. Adhering to Employment Contract Terms
4. Providing Adequate Training and Orientation
5. Offering Safe and Suitable Accommodations
6. Following Health and Safety Requirements
7. Maintaining Records and Participating in Inspections
8. Ensuring Fair Treatment of Temporary Foreign Workers

1. Compliance with Recruitment Requirements

Employers must adhere to certain recruitment requirements before applying to the TFW Program. This includes making genuine efforts to recruit Canadian citizens and permanent residents first. You’ll need to prove this by meeting specific advertising requirements, often for at least four weeks, across recognized channels before moving forward with an application.

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2. Wage Requirements for Temporary Foreign Workers

Employers must pay TFWs at least the prevailing wage for the position being filled, as determined by the LMIA application. Acquiring an LMIA can be done from multiple streams, such as: the High-Wage Stream or the Low-Wage Stream, each with specific requirements:

  • High-Wage Stream: Employers will offer wages at or above the provincial or territorial wage threshold. This stream is designed for positions that require higher skill levels.
  • Low-Wage Stream: Employers in this stream will pay wages below the provincial or territorial wage threshold. This is typically applicable for positions that are less skilled or more entry-level.

Failure to meet the commitments to the temporary workers regarding their wages, working conditions and occupation, as listed in the offer of employment or LMIA can lead to serious penalties, including the revocation of the LMIA and restrictions on future hiring of TFWs.

3. Adhering to Employment Contract Terms

Once you hire a TFW, it’s essential to follow the employment contract terms outlined in your application. This includes paying the agreed-upon wage, providing the necessary benefits, and ensuring the working conditions meet Canadian labour standards. Any unjustified modifications in working conditions, wages, or hours may be the reason for employers to be found non-compliant and subject to consequences such as a warning, an administrative monetary penalty or a ban from the TWF Program.

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4. Providing Adequate Training and Orientation

It’s important to provide appropriate onboarding, training, and support to help TFWs adjust to the Canadian work environment. This may include job-specific training, safety protocols, and introducing them to workplace policies. Employers are responsible for ensuring that TFWs have the knowledge they need to work safely and efficiently.

5. Offering Safe and Suitable Accommodations

In some cases, especially in industries like agriculture, employers must provide housing for TFWs. Accommodations should be safe, meet local health and safety standards, and be reasonably priced. If housing is provided, it must align with the information in the LMIA application, and employers must keep records to demonstrate they’re meeting these requirements. In cases where it is not required to provide housing, it is still a good practice to provide TFWs with assistance in finding suitable and affordable accommodation.

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6. Following Health and Safety Requirements

Employers are responsible for providing a safe work environment for TFWs. This includes meeting all federal and provincial health and safety regulations, reporting injuries, and providing access to medical care in the event of an injury or illness. Employers must also ensure that TFWs are aware of their rights and protections under Canadian law.

7. Maintaining Records and Participating in Inspections

Employers must keep records related to TFW employment for up to six years, including payroll records, timesheets, and other employment-related documentation. This is essential as the government may conduct inspections to ensure compliance with the TFW Program regulations. Employers should be prepared to provide these records if requested.

8. Ensuring Fair Treatment of Temporary Foreign Workers

The TFW Program is designed to prevent exploitation and ensure fair treatment for international workers. Employers should treat TFWs with respect and not subject them to discrimination or unfair working conditions. Fair treatment includes adhering to the agreed-upon work hours, respecting personal time, and providing proper notice for any schedule changes. Additionally, TFWs have the right to leave their employer without any penalty.

Conclusion

Employing workers through the TFW Program can be highly beneficial, but it also involves important responsibilities. Understanding and meeting these obligations helps Canadian employers remain compliant, promotes a positive work environment, and supports the reputation of the TFW Program as a fair and reliable resource.

At IVEY Group, we assist Canadian employers in navigating the TFW Program to ensure smooth, compliant hiring of international talent. Whether you need help with LMIA applications or ongoing support to meet program requirements, our experts are here to help.

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