Hiring Foreign Caregivers

Employer Flexibility: What You Should Know Before Supporting a Caregiver’s Application

Hiring a foreign caregiver in Canada through a Labour Market Impact Assessment (LMIA) and supporting their work permit is a major responsibility. But families often ask: How much flexibility do I actually have as an employer once I support a caregiver’s application?

Here’s what you should know before you begin.

1. Flexibility Before the Work Permit Is Issued

Employers can make certain adjustments if the caregiver has not yet applied or received approval for their work permit:

  • Change the caregiver’s name on the LMIA by filing Form ESDC-EMP5661 (must be at least 15 business days before expiry).
  • Withdraw from the process, though the $1,000 LMIA fee is non-refundable.

This gives families some room to reconsider if circumstances change early in the process.

2. After the Work Permit Is Approved

Once the caregiver’s work permit is approved:

  • The caregiver is tied to the employer and job listed in the LMIA.
  • Employers still retain the right to end the employment relationship, but must comply with provincial labour laws (termination notice or pay in lieu).
  • A new LMIA is usually required if the family wants to hire a different caregiver.

3. After the Caregiver Arrives

If the caregiver has started working:

  • Employers can increase wages, add benefits, or improve conditions without needing a new LMIA.
  • Employers can end the employment if it’s not working out, provided labour standards are respected.
  • Employers cannot recover LMIA fees or recruitment costs from the caregiver.

4. Limits to Flexibility

There are important limits families should know:

  • Employers cannot lower wages below the provincial median or change the NOC duties without a new LMIA.
  • Employers cannot stop caregivers from seeking permanent residence or from changing employers later with a new LMIA.
  • Compliance inspections may still occur even if the caregiver leaves.

Key Takeaways

  • Employers have flexibility before the work permit is issued to withdraw or change the worker’s name.
  • Once the permit is approved, employers can end employment, but must follow labour law obligations.
  • Major job changes require a new LMIA, but improvements in pay or benefits are always allowed.

👉 Before supporting a caregiver’s application, families should be confident in their decision while understanding both their rights and limits.