In Canada, employer compliance inspections are conducted by Immigration, Refugees and Citizenship Canada (IRCC) and Employment and Social Development Canada (ESDC) to ensure employers meet the requirements of the Temporary Foreign Worker Program (TFWP) and International Mobility Program (IMP).
Inspections may be triggered by suspicion of non-compliance, previous violations, random selection, or other specific reasons. During an inspection, officers review employment offers, LMIA decision letters, annexes, records, and adherence to federal and provincial employment laws. Employers may be asked to provide documents, answer questions, and grant access to premises for verification.
Consequences of Non-Compliance:
Violations can lead to fines, prohibitions on hiring foreign workers, and placement on the Employer Blacklist. Common issues include:
Failing to maintain proper records or meet LMIA/offer conditions, including wages and working conditions.
Not providing workers with information on rights or access to health care when injured or ill.
Breaching program conditions without acceptable justification.
Severe violations, including abuse of workers, can result in revocation of work permits, fines up to $100,000 per violation (maximum $1 million per year), and permanent bans from TFWP or IMP. Findings related to human rights or employment standards may also be shared with relevant authorities.
Responding to Inspections:
Employers may address inspection findings by:
Reviewing the inspection report thoroughly.
Gathering evidence to support compliance.
Responding to non-compliance allegations and explaining discrepancies, including “good faith” or administrative errors.
Requesting a re-inspection once issues are resolved.
Seeking legal advice for complex cases or serious penalties.
Maintaining compliance with LMIA conditions, program requirements, and relevant employment and human rights legislation is essential to avoid penalties and protect your ability to hire foreign workers.
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