Don’t Leave Just Yet: What to Do if You’ve Been Laid Off on a Closed Work Permit

Global Skills Hub
2 min readMar 1, 2023
Image by Drazen Zigic on Freepik

With growing economic pressures causing global tech companies to initiate mass layoffs, thousands of workers in Canada are now newly job-less and out looking for a new employer. However, for Canadian temporary foreign workers with a closed work permit, this process comes with a few extra steps.

Closed work permits are employer-specific and allow the foreign applicant to work in Canada according to the conditions of the permit, limiting employer, time period, and sometimes location. This type of permit is most common among candidates with an LMIA-based permit or an intra-company transfer (ICT) permit.

Closed work permits are not able to be transferred to a new employer, and restrict the applicant from working with the same employer again after they have been laid off.

However, that doesn’t mean that closed work permit holders lose their current legal status with the loss of their employment. To continue to work in Canada, temporary foreign workers can apply for a new open or closed work permit before beginning work with a new employer. In the meantime, they can continue to live here for as long as their old work permit is valid or during the period pending their application.

The application process has been made easier by IRCC during the COVID-19 pandemic to speed up the process. New policies allow workers’ interim authority to begin working for a new employer while waiting for their new permit to be approved. The process involves simply sending a specific request to the IRCC and receiving approval prior to the new job’s start date, with a short turnaround time of approximately 10 business days.

The Canadian government has also made it easier for foreign talent to find work. The Canadian Job Bank is an excellent government resource to find employment opportunities targeted to foreign workers and includes in each posting whether or not the employer has received or applied for a positive LMIA.

Aside from applying for a new open or closed work permit, foreign temporary workers have a multitude of alternate options to continue working or living in Canada, including a study permit, obtaining an entrepreneur’s work permit, or applying for permanent residence through the Express Entry stream.

In addition, temporary foreign workers may be entitled to compensation depending on the nature of their layoff, opening up other options to them. Like every other worker in Canada, temporary foreign workers must receive termination pay if their employer failed to give reasonable notice prior to the layoff. They may also qualify for employment insurance benefits or a Vulnerable Worker Open Work Permit in cases of workplace abuse.

Are you on a closed work permit and been laid off in Canada? Reach out to immigration@globalskills.io for a free consultation.

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Global Skills Hub

We help companies hire top international technical talent, manage the immigration process, and ensure successful candidate integration into the workforce.