A Growing Trend: Work Permit Refusals Caused by the LMIA Processing Delays – What Are Your Options?

Over the past several months, we have seen a significant increase in clients coming to see us following a work permit refusals where they had submitted a work permit without the LMIA in hopes of receiving a positive LMIA and adding it promptly to the work permit application.

The common issue? The Labour Market Impact Assessment (LMIA) was still pending when Immigration, Refugees and Citizenship Canada (IRCC) assessed the work permit application. This is the main problematic as we cannot predict when the Immigration officer will review and assess the file.

We had observe a trend of officer giving a 60days of extension to wait for the LMIA in many application but the 60 days no longer reflects the current processing time of Service Canada for LMIA which is now above 6 months in many applications.

As such, with LMIA processing times now frequently approaching six months in many cases, applicants are finding themselves caught between two government processes that do not always move at the same pace. Unfortunately, this can result in a work permit refusal, loss of status, loss of authorization to work in Canada, loss of revenue and considerable uncertainty and anxiety.

The good news is that a refusal does not always mean the end of your immigration journey. Depending on your circumstances, there may still be viable options available.

Why is this happening?

Many foreign workers submit a work permit application after their employer has applied for an LMIA because the employer often delayed the LMIA application and their work permit is about to expire. As we know to maintain your interim work authorization, it is crucial that you apply for a new work permit before the expiration of the previous work permit.

However, if IRCC reaches the work permit application before Employment and Social Development Canada (ESDC) has finalized the LMIA, IRCC may refuse the application because there is no positive LMIA available at the time of the decision. This situation has become increasingly common as LMIA processing times have lengthened significantly since March 2026.

Each case is unique of course, but three of the most common options are outlined below.

Option 1 – Apply Again During the Restoration Period

If your status as a worker has expired and you are still within the 90-day restoration period, you may be able to submit:

• an application to restore your status; and

• a new work permit application once the positive LMIA has been issued-if received on time.

This option may be appropriate if:

• the LMIA is expected shortly or has already been approved.

It is important to remember that a person applying for restoration cannot work until a new work permit has been approved, and as such you should remain informed about your obligations.

Option 2 – Apply for a Temporary Resident Permit (TRP)

Some individuals may have engaged in a period of unauthorized work because they received the refusal only after their previous work authorization had expired. They may also be outside of their 90 days restoration period when the refusal is received.

Depending on the facts, a Temporary Resident Permit (TRP) may be an appropriate solution, and we have been successful in several cases.

A TRP asks an immigration officer to overcome a ground of inadmissibility or non-compliance were justified by the circumstances.

As such, it is crucial that you submit a well-supported TRP application which generally explains the inadmissibility, non-compliance, exemption requested and justifying circumstance as per section 24 of the Act (IRPA). TRPs are highly discretionary and require careful preparation.

Option 3 – Leave Canada and Apply from Your Home Country or leave and reenter Canada when the WP is issued abroad.

For some applicants, the most practical option is to leave Canada and submit a new work permit application from abroad after the LMIA has been approved. If you have a valid US visa, this could be a viable solution.

Although returning home is often disappointing, this approach may:

• avoid additional immigration complications;

• simplify the application process;

• eliminate issues relating to restoration of status; and

• provide a clearer procedural path to obtaining a new work permit.

In some situations, leaving Canada promptly may strengthen the overall application by demonstrating continued compliance with Canadian immigration laws.

Factors to Consider Before Choosing an Option

There is no single solution that works for everyone. Before deciding how to proceed, consider factors such as:

• How much time has passed since your status expired? Are you still eligible for restoration?

• Has the LMIA been approved, or is it still pending?

• Have you worked without authorization? If so, for how long?

• Can you remain in Canada legally while a new application is processed?

• How urgent is your need to begin or resume work?

• What are the current processing times for applications inside and outside Canada?

• Will leaving Canada affect your family members or future immigration plans?

• Do you have any previous refusals, inadmissibility issues, or other factors that require additional legal analysis?

These considerations can significantly affect which strategy offers the strongest chance of success.

Seek Advice Before Reapplying

A work permit refusal caused by LMIA processing delays is not always straightforward. Filing the wrong application—or delaying too long—can reduce your options. We can help you strategically navigate the process and recommend the best solution based on your personal circumstances.

As always, every case should be assessed individually to determine the most appropriate strategy based on your immigration status, the LMIA stage, your employment history, and your long-term immigration goals, etc.

If you have recently received a work permit refusal because your LMIA was still pending, obtaining legal advice early can help you identify the best path forward and avoid additional complications.

Do not hesitate to contact us for further information:

abeaudoin@beaudoinimmigration.com

Article written by Annie Beaudoin, Retired Immigration Officer and Regulated Canadian Immigration Consultant - license #R533869