Canada Extends Grace Period for TFWP Work Permit Applications Submitted Without Positive LMIAs

Canada has extended the amount of time

certain foreign nationals have to provide a positive or neutral Labour Market Impact Assessment (LMIA) after submitting an in-Canada work permit application through the Temporary Foreign Worker Program (TFWP).

Under the updated rules, eligible applicants now have 90 days, instead of 60 days, to provide the required LMIA documentation after submitting their work permit application. The change took effect on August 21, 2026.

The extension is intended to give employers and foreign workers additional time to complete the LMIA process while helping eligible workers maintain authorization to work in Canada under maintained status.

Canada Extends TFWP Concurrent Processing Period

Normally, a foreign national applying for a TFWP work permit needs a positive or neutral LMIA before submitting the work permit application. However, concurrent processing provides an exception for certain foreign nationals already in Canada whose work permits are close to expiring.

Under this process, an eligible worker can submit a work permit application while the employer’s LMIA application is still being processed. The applicant can then provide the LMIA decision to IRCC once it becomes available. The previous period for providing the missing LMIA was 60 days. Canada has now extended that period to 90 days.

Requirement	Updated Rule
Program	Temporary Foreign Worker Program
Application location	Inside Canada
Processing mechanism	Concurrent processing
Previous LMIA submission period	60 days
New LMIA submission period	90 days
Effective date	August 21, 2026
Required LMIA result	Positive or neutral
Current work permit expiry	Two weeks or less

Who Can Use Concurrent Processing?

The concurrent-processing option is not available to every work permit applicant. A foreign national generally needs to meet specific conditions, including:

Their current work permit expires in two weeks or less.
Their employer has submitted a complete LMIA application.
The LMIA application is still awaiting a decision.
The LMIA application was submitted with enough lead time that a decision could reasonably have been expected before the worker’s permit expired.

The applicant must also submit the required work permit application and supporting documents. Meeting these conditions does not guarantee approval of the work permit.

What Is an LMIA?

A Labour Market Impact Assessment is a document issued through Employment and Social Development Canada (ESDC) that assesses whether hiring a foreign worker is expected to have a positive or neutral impact on Canada’s labour market.

A positive LMIA generally confirms that there is a need for a foreign worker and that no Canadian citizen or permanent resident is available to fill the position. For an LMIA-required employer-specific work permit, the worker normally needs the employer’s LMIA documentation before applying.

Why Was the Grace Period Extended?

LMIA applications can take time to process. Employers may need to complete recruitment and advertising requirements before submitting an LMIA application, and processing times vary depending on the LMIA stream and application volume.

Without concurrent processing, a worker whose permit is about to expire could face a difficult situation if the employer’s LMIA has not yet been finalized. The 90-day period gives eligible applicants an additional 30 days to provide the required LMIA documentation. This can be particularly important where the worker has submitted their application before their current permit expires and is eligible for maintained status.

How the 90-Day Period Works

When an eligible worker submits a TFWP work permit application through concurrent processing, IRCC can hold the application while waiting for the employer’s LMIA decision. The applicant then has up to 90 days from the date the work permit application was submitted to provide proof of the positive or neutral LMIA.

Once the LMIA becomes available, the applicant should provide the document to IRCC through the appropriate process. If the required LMIA is not provided within the applicable period, the work permit application may be refused as incomplete. Canada’s current guidance confirms that applicants who submit a work permit extension without the required LMIA must provide it within 90 days.

Maintained Status Can Help Eligible Workers Continue Working

One of the most important aspects of applying before a current work permit expires is maintained status. If an eligible worker submits an application to extend their work permit before the existing permit expires, they can generally remain in Canada while IRCC processes the application. They can also continue working under the same conditions as their existing permit while awaiting a decision, provided they remain eligible for maintained status.

For an employer-specific work permit, this generally means the worker must continue working for the same employer, in the same job and at the same work location. The worker should not assume that maintained status allows them to change employers or occupations.

The 90-Day Period Does Not Guarantee LMIA Approval

The extension gives applicants more time to provide the required documentation, but it does not change the underlying LMIA requirements. The employer must still obtain a positive or neutral LMIA for the TFWP work permit to be issued through this process.

An employer’s submission of an LMIA application does not guarantee a positive decision. ESDC assesses the LMIA application under the requirements applicable to the position and employer.

Employers Should Apply for LMIAs Early

Employers should not rely on concurrent processing as a substitute for timely LMIA planning. Canada recommends that employers consider LMIA processing times and submit applications as early as possible. LMIA applications can generally be submitted up to six months before the expected employment start date, depending on the circumstances.

Employers should also account for the time required to meet applicable recruitment and advertising requirements before submitting the LMIA.

What Happens if the LMIA Is Not Submitted Within 90 Days?

If the required LMIA is not provided within the applicable 90-day period, the work permit application may be refused for being incomplete. Applicants should therefore monitor the status of the employer’s LMIA application and provide the required documentation to IRCC as soon as it becomes available.

The 90-day period should not be interpreted as an automatic extension of the worker’s existing work permit itself. It is the period provided to supply the missing LMIA documentation in an eligible concurrent-processing application.

How This Differs From a Regular Work Permit Extension

A regular LMIA-required work permit extension normally involves the employer obtaining the necessary LMIA before the worker submits the work permit application. Concurrent processing is a special mechanism that can allow certain workers whose permits are expiring soon to submit their applications while the employer’s LMIA remains under processing.

Regular Process	Concurrent Processing
Positive/neutral LMIA generally obtained first	LMIA application can still be pending
Worker then submits work permit application	Eligible worker can submit work permit application while LMIA is pending
No special concurrent-processing period	Applicant gets up to 90 days to provide LMIA
Standard application process	Available only to qualifying applicants

The applicant must satisfy the requirements of the applicable process.

What This Means for Temporary Foreign Workers

The extension may provide additional flexibility for temporary foreign workers already in Canada whose permits are approaching expiry. The additional 30 days can reduce the risk that a worker’s application will be refused simply because the employer’s LMIA decision has not arrived within the previous 60-day period.

However, workers should still begin the renewal process early and work closely with their employer to ensure the LMIA application is complete and submitted on time.

What This Means for Canadian Employers

For employers, the change provides additional time for employees using concurrent processing to submit the required LMIA decision. However, employers remain responsible for following the applicable LMIA requirements, including recruitment, advertising, wage and employment conditions, and other program obligations.

A delayed LMIA should not be assumed to qualify automatically for concurrent processing.

Key Takeaways

Canada’s latest TFWP update means:

The concurrent-processing period has been extended from 60 to 90 days.
The change took effect on August 21, 2026.
It applies to eligible in-Canada TFWP work permit applicants.
Applicants can use concurrent processing when their current work permit expires in two weeks or less and other requirements are met.
The employer must have submitted a complete LMIA application.
The applicant must provide proof of a positive or neutral LMIA within the applicable 90-day period.
The additional period gives applicants 30 more days compared with the previous rule.
Applying before the current work permit expires may allow an eligible worker to benefit from maintained status.
Maintained status generally allows an employer-specific permit holder to continue working under the same conditions while the application is processed.
The 90-day grace period does not guarantee LMIA approval or work permit approval.
Employers should submit LMIA applications as early as possible and account for recruitment and processing requirements.

Start Your Canada Work Permit Journey Today!

If you are currently working in Canada and your employer is applying for an LMIA, understanding the latest work permit extension and concurrent-processing rules can help you plan your next steps. Canada Immigration Global provides guidance for individuals and employers exploring Canadian immigration pathways, including Temporary Foreign Worker Program, LMIA-based Work Permits, Express Entry, Provincial Nominee Programs, Study Permits, and Permanent Residence.

Our experienced immigration professionals provide personalized eligibility assessments, document guidance, and end-to-end application support to help you navigate Canada’s immigration system with confidence.

Need help with your Canada immigration application?

Request an Immigration Assessment today.

Call / Whats App : +1 639 307 3007

Email: info@canada-immigration.global

Website: www.canada-immigration.global

Canada Immigration Global — Your Trusted Partner for Canadian Immigration Success.

Disclaimer
This article is provided for informational and educational purposes only and does not constitute legal or immigration advice. Immigration programs, processing times, eligibility requirements, and application procedures may change without notice. Readers should consult official Government of Canada resources or seek professional immigration advice before making any immigration decisions.