For Canadian families considering a Labour Market Impact Assessment (LMIA) to hire a caregiver, one of the biggest worries is whether they are “stuck” once the LMIA is approved. The process is often misunderstood, leading to myths about employer flexibility.
Here’s what families really need to know in 2025.
Myth 1: Once LMIA Is Approved, You Cannot Change the Caregiver
Reality: Employers can change the caregiver’s name on an LMIA if:
- The LMIA is still valid (usually up to 6 months).
- The work permit application has not been submitted or approved.
- The request is made at least 15 business days before LMIA expiry.
This requires submitting Form ESDC-EMP5661 to Service Canada. In Quebec, employers must also notify MIFI.
Myth 2: You Are Locked Into the Caregiver Forever
Reality: An LMIA ties you to the job details and employer obligations, not necessarily to one person forever.
- If the caregiver leaves after arriving, you may need to apply for a new LMIA to hire another foreign worker.
- If you wish to change wages, duties, or location beyond approved limits, a new LMIA is required.
Myth 3: Employers Can Get a Refund if They Change Their Minds
Reality: The $1,000 LMIA fee is non-refundable — even if you withdraw, change your mind, or the caregiver doesn’t come. Families should only apply when certain of their need for a caregiver.
Myth 4: Employers Have No Control Once Caregiver Arrives
Reality: Employers must honour the employment contract, but they still have legal rights:
- The employment relationship can be ended according to provincial labour laws.
- Caregivers are entitled to notice or pay in lieu if terminated.
- Abuse or exploitation can result in penalties for the employer.
Key Takeaways
- Employers are not permanently stuck with one caregiver after an LMIA.
- Names can be changed under certain conditions, but major job changes require a new LMIA.
- The LMIA fee is non-refundable, so families should be confident before applying.
- Both caregivers and employers are protected by Canadian labour laws.
👉 Families should see the LMIA as a commitment to fair employment, not a permanent lock-in.