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The answer depends on the type of application that was made and the work permit that was issued.

Specifically, terminations must be reported if a foreign worker is issued a Labour Market Impact Assessment (“LMIA”) based work permit under the Temporary Foreign Worker Program (“TFWP”) or was nominated under the Provincial Nominee Program (“PNP”).

Any changes in the employment status of foreign workers issued an LMIA-based work permit under the TFWP, including terminations, layoffs and resignations, must be reported to Employment and Social Development Canada (“ESDC”). Similarly, under the PNP, changes in employment status must be reported to the relevant provincial PNP office.

Employers are not, however, under a strict statutory requirement to report terminations of employment for foreign workers who are working without the requirement for an LMIA.  This is most commonly the case when individuals are working under the International Mobility Program (“IMP”).

Setting this aside, if an employer has reasonable grounds to believe that an employee is working illegally, it is advisable for the employer to report the change of employment status for that individual with either Immigration, Refugees and Citizenship Canada (“IRCC”) or Canada Border Services Agency (“CBSA”).

If you are thinking about terminating a foreign worker’s employment and want to understand the legal obligations associated with this, or if you have reason to believe that your former employee may engage in illegal work in Canada and need assistance, please contact Toronto employment and immigration lawyers, Sultan Lawyers, at (416) 214-5111 or via email to mlahert@sultanlawyers.com.