Canada Scraps Time Limit for Work Permit Applicants Awaiting LMIA Decisions: What Foreign Workers Need to Know in 2026
Canada has introduced an important change to its Temporary Foreign Worker Program (TFWP), removing the previous 90-day time limit for certain work permit applications submitted while an employer’s Labour Market Impact Assessment (LMIA) is still under review. The change, announced through updated Immigration, Refugees and Citizenship Canada (IRCC) instructions on October 28, 2026, is expected to provide additional flexibility to eligible foreign workers already living and working in Canada.
Previously, immigration officers could hold an eligible work permit application for a maximum of 90 days while waiting for the employer’s LMIA decision. If the assessment was not completed within that period, the work permit application could be refused. Under the updated instructions, officers are now directed not to make a decision on the application until the LMIA decision has been issued.
This development is particularly relevant for temporary foreign workers whose existing permits are approaching expiry and whose employers have already submitted LMIA applications. It may help reduce the risk of refusal caused solely by government processing delays.
For foreign workers, Canadian employers, and individuals planning to extend their employment authorization, understanding the updated rules is essential. This article explains what has changed, who may benefit, how concurrent processing works, and what applicants should consider before submitting a work permit application.
1. What Has Changed in Canada’s LMIA and Work Permit Rules?
On October 28, 2026, Immigration, Refugees and Citizenship Canada updated its instructions concerning work permit applications under the Temporary Foreign Worker Program.
The most important change is the removal of the previous 90-day waiting limit for certain applications submitted through concurrent processing.
Under the earlier instructions, immigration officers could hold an eligible work permit application for up to 90 days while waiting for Employment and Social Development Canada (ESDC) to issue a decision on the employer’s LMIA application.
If ESDC had not completed its assessment within that period, the worker’s application could be refused because the required LMIA decision was unavailable.
The revised instructions direct IRCC officers not to make a decision on the work permit application until the LMIA decision has been received.
This means that eligible applications can remain pending beyond the previous 90-day period while the employer’s LMIA application is being assessed.
The change is important because LMIA processing times can vary considerably depending on the application stream, the completeness of the submission, and the volume of applications received.
However, removing the waiting limit does not mean that every foreign worker can apply for a work permit without an LMIA or automatically receive an extension.
Applicants must still meet the eligibility requirements for concurrent processing and satisfy the applicable work permit conditions.
2. Understanding Concurrent Processing Under the TFWP
Concurrent processing allows certain foreign workers already in Canada to submit a work permit application while their employer’s LMIA application is still being processed.
Normally, an employer must receive a positive or neutral LMIA before a foreign worker can obtain a new employer-specific work permit under the Temporary Foreign Worker Program.
However, IRCC provides an exception for eligible workers whose existing work permits are close to expiry.
Under this arrangement, the employee can submit their work permit extension application before receiving the final LMIA decision, provided the required conditions are met.
This process is intended to help eligible workers maintain their authorization while the government completes the employer’s labour market assessment.
For example, imagine a foreign worker employed by a Canadian company whose work permit is due to expire in ten days. The employer has already submitted a complete LMIA application, but ESDC has not issued a decision.
If the worker meets the concurrent processing requirements, they may submit their work permit extension application before the current permit expires rather than waiting for the LMIA decision.
Under the updated instructions, IRCC will wait for the LMIA decision before deciding the work permit application.
The October 2026 update makes this process more flexible by eliminating the previous 90-day limit.
3. Who Is Eligible for the Updated LMIA Processing Rule?
The revised policy applies to eligible foreign workers in Canada who submit work permit applications under the Temporary Foreign Worker Program while their employer’s LMIA application remains pending.
However, applicants must meet specific requirements.
The main eligibility conditions include:
1. The worker must already be in Canada.
The concurrent processing provision is intended for eligible workers who are already in Canada and are applying to extend or change their existing work authorization under the relevant TFWP rules.
2. The existing work permit must expire within two weeks or less.
The worker must be approaching the expiry of their current work permit. The application must be submitted when the existing permit expires in two weeks or less.
3. The employer must have submitted an LMIA application.
The employer must have submitted the required LMIA application to Employment and Social Development Canada.
4. The LMIA application must have been submitted with sufficient lead time.
The employer must have submitted the LMIA application early enough that there was a reasonable expectation ESDC could process it before the worker’s existing permit expired.
5. The worker must submit the work permit application before the current permit expires.
Applying before expiry is important because eligible applicants may benefit from maintained status while IRCC processes their extension application.
Meeting these requirements does not guarantee approval. The worker must still satisfy the applicable immigration and work permit requirements.
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4. What Is Maintained Status and Why Does It Matter?
Maintained status is an important part of Canada’s temporary residence system.
When a foreign worker applies to extend their work permit before the current permit expires, they may be allowed to remain in Canada while IRCC processes the application.
In qualifying circumstances, the worker can also continue working under the same conditions as their previous work permit.
For example, if a worker holds an employer-specific work permit, maintained status generally allows them to continue working for the same employer, in the same occupation and under the same conditions.
This is particularly important for workers whose employers are waiting for an LMIA decision.
Without a timely extension application, a worker could lose their authorization to work when their existing permit expires.
The October 2026 policy update helps eligible concurrent processing applicants by allowing IRCC to keep their applications pending until the LMIA decision is available.
However, maintained status does not mean that the worker has received a new work permit.
It is a temporary legal status that applies while an eligible application is being processed.
Applicants should also understand that leaving Canada while on maintained status can affect their ability to resume working when they return. Their individual circumstances should be reviewed before making travel arrangements.
Official IRCC guidance explains the rules for maintaining status when applying to extend a work permit.
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5. Why Did Canada Remove the 90-Day LMIA Waiting Limit?
One of the major reasons behind the change is the uncertainty associated with LMIA processing delays.
Employers hiring foreign workers must complete several steps before a work permit can be issued.
Depending on the job and LMIA stream, employers may need to advertise the position, demonstrate recruitment efforts, provide business information, and establish that hiring a foreign worker is justified.
After receiving the application, ESDC assesses whether the employment opportunity meets the requirements of the Temporary Foreign Worker Program.
This process can take longer than expected.
Under the previous policy, a work permit application submitted through concurrent processing could be held for only 90 days. If the LMIA remained pending after that period, the worker could face refusal even though the delay was outside their control.
The August 21, 2026 update had already increased the concurrent processing waiting period from 60 days to 90 days.
The October 28 announcement goes further by removing the fixed waiting period.
The change may provide several practical benefits:
- Reduces the risk of refusal solely because an LMIA decision takes longer than 90 days.
- Provides additional flexibility for eligible foreign workers.
- Helps employers manage workforce continuity.
- Gives ESDC additional time to assess pending LMIA applications.
- Reduces uncertainty for workers approaching their permit expiry dates.
The change does not eliminate LMIA requirements or guarantee a positive assessment. It addresses the timing of the work permit decision while the employer’s LMIA application remains pending.
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6. Current LMIA Processing Times in Canada in 2026
LMIA processing times are an important consideration for employers and foreign workers planning work permit applications.
According to Employment and Social Development Canada, the average processing times for applications processed in September 2026 varied by stream.
The following figures show the average number of business days required for processing:
| LMIA stream | Processing time |
| Global Talent Stream | 9 business days |
| Agricultural Stream | 22 business days |
| Seasonal Agricultural Worker Program | 7 business days |
| High-Wage Stream | 98 business days |
| Low-Wage Stream | 82 business days |
| Permanent Residence Stream | 79 business days |
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These figures demonstrate why the removal of the 90-day limit is significant.
For example, the average processing time for an LMIA under the High-Wage Stream was 98 business days in September 2026. This is longer than the previous 90-day concurrent processing limit when measured in calendar days, although the two periods are not directly comparable because one is measured in business days.
As a result, some employers and foreign workers could experience difficulties when an LMIA decision was delayed beyond the previous waiting period.
The updated instructions provide greater flexibility by allowing eligible work permit applications to remain pending until the LMIA decision is received.
It is important to remember that processing times are averages, not guaranteed timelines. Individual applications may take longer or shorter depending on their circumstances.
7. How the New Rule Affects Canadian Employers
Canadian employers who rely on temporary foreign workers may benefit from the revised instructions.
Businesses in industries experiencing labour shortages often depend on foreign workers to maintain operations, meet customer demand, and manage staffing requirements.
When a foreign worker’s permit approaches expiry, an employer may need to submit a new LMIA application to continue employing that individual.
If the LMIA decision is delayed, the worker’s employment authorization and the employer’s workforce planning can become uncertain.
The removal of the 90-day limit may help employers manage this situation more effectively.
Some potential benefits include:
Improved workforce planning: Employers may have more flexibility when an LMIA decision takes longer than expected.
Reduced risk of application refusal due to waiting time: Eligible work permit applications will no longer face the previous 90-day decision deadline while awaiting the LMIA.
Better employment continuity: Workers who qualify for maintained status may continue working under their existing permit conditions while their extension application is pending.
More predictable immigration planning: Employers can prepare documentation and coordinate work permit extensions without relying on the previous fixed waiting period.
Nevertheless, employers must continue meeting their obligations under the Temporary Foreign Worker Program.
They must submit accurate LMIA applications, comply with recruitment requirements, provide genuine employment opportunities, and follow applicable wage and working-condition rules.
The policy change should not be interpreted as permission to employ foreign workers without the required authorization.
8. LMIA Restrictions Continue in Several Canadian Cities
Although Canada has removed the 90-day waiting limit, other restrictions affecting LMIA applications remain in place.
The federal government continues to apply restrictions in certain regions with higher unemployment rates.
As reported on October 28, 2026, employers in 30 urban areas were subject to restrictions on LMIA applications for non-exempt positions paying less than 120% of the applicable provincial or territorial median wage.
The restrictions applied from October 9, 2026, to January 7, 2027, in the affected areas.
Some of the major cities included:
- Toronto, Ontario
- Vancouver, British Columbia
- Montreal, Quebec
- Edmonton, Alberta
- Calgary, Alberta
- Ottawa-Gatineau, Ontario and Quebec
- Halifax, Nova Scotia
- Fredericton, New Brunswick
- Regina, Saskatchewan
The restrictions are connected to the federal government’s policy of refusing to process certain low-wage LMIA applications in census metropolitan areas where the unemployment rate reaches 6% or higher.
Certain exemptions may apply depending on the occupation, industry, and applicable program rules.
Montreal and Laval also remain subject to a separate moratorium established at the request of the Quebec government.
This means that employers cannot assume that the removal of the 90-day waiting period makes every LMIA application eligible for processing.
They must first determine whether the position and location meet the current LMIA requirements.
For employers, reviewing the latest ESDC restrictions before submitting an application is essential.
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9. What Should Foreign Workers Do Before Their Work Permit Expires?
Foreign workers who are approaching the expiry of their current work permits should plan their next steps carefully.
The revised policy provides additional flexibility, but applicants must still follow the correct procedure.
Here are some important steps to consider.
Step 1: Check Your Current Work Permit Expiry Date
Review your work permit and identify the exact expiry date.
If you are planning to use concurrent processing, remember that your existing permit must expire in two weeks or less when applying under the relevant provision.
Do not wait until the last day to prepare your documents.
Step 2: Confirm That Your Employer Has Submitted an LMIA
Speak with your employer and confirm whether the LMIA application has been submitted to ESDC.
Request relevant submission information, including the confirmation or receipt details.
The employer should also confirm that the application was submitted with sufficient lead time to reasonably expect a decision before the existing work permit expires.
Step 3: Review Your Concurrent Processing Eligibility
Not every temporary foreign worker qualifies for concurrent processing.
Review your immigration history, existing work permit conditions, employer information, and LMIA submission details.
If you do not meet the requirements, you may need to consider another appropriate immigration option.
Step 4: Submit Your Work Permit Extension Application on Time
If you qualify, submit your work permit extension application before your current permit expires.
A complete and properly documented application is important.
Applicants should include the required information about the pending LMIA, the employer, and the intended employment.
Step 5: Understand Your Maintained Status Rights
After submitting an eligible extension application before your existing permit expires, you may benefit from maintained status.
If you are authorized to continue working, you must follow the conditions of your previous work permit.
For example, an employer-specific work permit generally does not allow you to start working for a different employer simply because you have submitted an extension application.
Step 6: Monitor Your Application
Continue checking your IRCC online account for correspondence, document requests, and application updates.
Once ESDC issues an LMIA decision, the information can be used in the work permit application process.
If the LMIA is positive or neutral and the worker meets all applicable requirements, IRCC can continue assessing the work permit application.
10. What Happens If the LMIA Is Approved?
A positive or neutral LMIA is an important requirement for many employer-specific work permits issued under the Temporary Foreign Worker Program.
When ESDC approves the employer’s LMIA application, the employer receives a decision letter containing information about the approved employment opportunity.
The foreign worker can then use the relevant LMIA information to support their work permit application.
However, an approved LMIA does not automatically mean that the foreign worker will receive a work permit.
IRCC must still assess the applicant’s eligibility.
Depending on the circumstances, officers may review:
- The validity and details of the job offer.
- The employer’s LMIA approval.
- The worker’s qualifications and employment background.
- Passport validity.
- Previous immigration history.
- Admissibility requirements.
- Compliance with work permit conditions.
- Other documents required for the application.
If the worker meets the requirements, IRCC may approve the work permit.
If the LMIA is refused, the applicant may no longer meet the LMIA requirement for the requested employer-specific work permit under this route. They may need to consider their available immigration options and take appropriate action before their authorization expires.
11. Does Removing the 90-Day Limit Guarantee Work Permit Approval?
No. This is one of the most important points foreign workers should understand.
Canada has removed the previous time limit for IRCC officers to wait for a pending LMIA decision before deciding an eligible concurrent processing work permit application.
It has not removed the other eligibility requirements.
The change does not:
- Guarantee work permit approval.
- Automatically extend an expired work permit.
- Allow every foreign worker to apply without an LMIA.
- Remove employer recruitment requirements.
- Guarantee that an employer’s LMIA will be approved.
- Allow workers to change employers without authorization.
- Provide permanent residence status.
- Eliminate the need to meet immigration admissibility requirements.
The policy primarily addresses the risk of work permit refusal caused by an LMIA decision taking longer than the previous 90-day waiting period.
Foreign workers should therefore avoid assuming that the updated rule gives them unlimited permission to remain or work in Canada.
Their individual eligibility and maintained status rights must be assessed separately.
12. How the October 2026 Change Fits into Canada’s Temporary Foreign Worker Program
Canada’s Temporary Foreign Worker Program is designed to help employers address labour shortages when qualified Canadian citizens and permanent residents are not available to fill particular positions.
The LMIA process plays an important role in this system.
Before hiring a foreign worker through an LMIA-required position, an employer generally needs to demonstrate that the proposed employment meets the program’s requirements.
This includes providing information about the position, wages, recruitment efforts, and working conditions.
The federal government has also introduced measures to manage temporary resident levels and strengthen oversight of employer hiring practices.
In this environment, the October 2026 change represents an adjustment to the processing of work permit applications rather than a broader relaxation of the Temporary Foreign Worker Program.
It recognizes that an eligible worker’s application should not necessarily be refused simply because an employer’s LMIA assessment takes longer than anticipated.
For temporary foreign workers, the change offers a more flexible process during an uncertain waiting period.
For employers, it highlights the importance of submitting LMIA applications early and maintaining proper documentation.
For immigration applicants, it reinforces the need to understand the difference between an LMIA application, a work permit extension, and maintained status.
Conclusion
Canada’s decision to remove the 90-day LMIA waiting limit in October 2026 is an important development for eligible foreign workers and Canadian employers. With changes to the LMIA decision waiting period, Canada work permit applicants may have greater flexibility when their employer’s LMIA application is still pending. However, understanding eligibility requirements, LMIA processing time Canada, and the rules for Canada work permit extension 2026 remains essential to avoid complications. If you are dealing with an LMIA pending work permit application or need guidance on the latest Canada work permit LMIA changes 2026, New Jain Immigration Services can help you understand the available options. Whether you need a Canada immigration consultant Toronto, an experienced LMIA work permit consultant Etobicoke, a Canada work permit consultant Brampton, or a trusted Immigration consultant Toronto, our team provides professional immigration guidance. Contact New Jain Immigration Services for assistance with LMIA immigration services Ontario, work permit extensions, and LMIA-related applications. Get reliable support to understand your immigration options and take the next step toward maintaining your legal work status in Canada.
Frequently Asked Questions (FAQs)
1. Has Canada removed the 90-day limit for LMIA-related work permit applications?
Yes. On October 28, 2026, IRCC updated its instructions and removed the previous 90-day limit for eligible concurrent processing applications awaiting an LMIA decision.
2. What is concurrent processing in Canada?
Concurrent processing allows eligible foreign workers already in Canada to submit a work permit extension application while their employer’s LMIA application is still being processed.
3. Who can benefit from the new LMIA rule?
Eligible foreign workers in Canada whose existing work permits expire in two weeks or less and whose employers have submitted an LMIA application with sufficient lead time may benefit.
4. Can I continue working while waiting for my LMIA decision?
If you submit an eligible work permit extension application before your existing permit expires, you may benefit from maintained status and continue working under the conditions of your previous permit.
5. Does the new rule guarantee work permit approval?
No. The removal of the 90-day limit does not guarantee approval. IRCC must still assess the LMIA decision and the applicant’s eligibility for a work permit.
6. What happens if my employer’s LMIA takes longer than 90 days?
Under the updated instructions, IRCC officers will not make a decision on an eligible concurrent processing application until the LMIA decision is received.
7. What happens if the LMIA application is refused?
A refused LMIA generally means the worker cannot obtain the requested LMIA-required work permit through that application. The worker may need to explore other eligible immigration options.
8. When should I apply for a work permit extension?
For concurrent processing, you must meet the specific eligibility requirements, including having two weeks or less remaining on your existing permit. You should prepare your documents in advance and submit before expiry.
9. Does the new policy apply to workers outside Canada?
The concurrent processing provision discussed in this update concerns eligible workers already in Canada. It does not create the same application option for foreign nationals applying from outside Canada.
10. Where can I get assistance with a Canadian work permit extension?
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