Lost Your Job on a Closed Work Permit in Canada What To Do Next

Lost Your Job on a Closed Work Permit in Canada? What To Do Next

If you lose your job while working in Canada on a closed work permit, it’s easy to feel panicked, particularly because a closed work permit restricts you to working for one employer. A closed work permit (or employer-specific work permit) means you can only work for the specified employer, in the specified position, and at the specified location. But don’t panic: losing your job does not mean you have to leave Canada right away. You can continue to stay in Canada, legally, and make arrangements for your future.

What Happens When You Lose Your Job

First, it’s important to know that your work permit will be valid until it expires, regardless of whether you are still employed. So you can continue to remain in Canada, but you cannot work for a new employer without a new work permit.

Because of this limitation, it’s important to take swift action. Regardless of whether you were laid off, fired or resigned, your options involve staying in Canada and finding a new job. 

It is important to act sooner rather than later, be well-informed, and follow immigration regulations. By following the right strategy, you can make this transition smoothly and continue your career in Canada.

1: Apply for a New Employer-Specific Work Permit

The most obvious option when you lose your job is to secure a new employer-specific work permit. This requires finding a new employer. Your new employer will then have to undergo a Labour Market Impact Assessment (LMIA), unless an exemption applies.

If you have a valid work permit, you can apply for a new one while in Canada. It’s best to apply at least 30 days before your current permit expires, according to immigration authorities.

You will usually need to include:

  • A signed employment contract
  • A positive LMIA or exemption from LMIA
  • Supporting documents and application fees

The application process takes a long time (several months on average), so start early. You can start working for your new employer as soon as you’ve received a favourable decision.

Working While Waiting for Approval

For many workers, a key issue is the processing time for their applications. Typically, you can’t begin working for your new employer until your new work permit is approved. But a temporary public policy provides some flexibility.

This policy allows certain workers to apply to work for a new employer during the processing of their work permit. This could mean you can start work in a matter of weeks, rather than months.

To make this request, you need to apply via the immigration website and provide the necessary information. There’s no guarantee this will be granted, but it can help alleviate some of the financial pressures and help avoid employment gaps.

Option 2: Remotely Work for an International Employer

You can also work for a foreign employer from Canada. This approach is not subject to work permit requirements but it has limitations.

To qualify:

  • Your employer cannot have an office or operate a business in Canada
  • You must not have Canadian clients
  • You must earn money from outside of Canada

If you meet these requirements, your employment is not in Canada.

Freelancers, contractors or remote workers who can work with clients outside Canada can use this option.

Extending Your Stay in Canada

If you intend to stay in Canada to work remotely or look for work, you may have to change your status. To do this, you can apply for a visitor record.

This will let you stay in Canada after your work permit expires, but you will not be able to work for an employer in Canada. It’s best to apply before your current status expires.

It takes time to process applications, so apply as soon as possible.

What Maintained Status Means

Applying for a new work permit before the expiry date of your existing permit may entitle you to maintained status. This means you can remain in Canada while your application is processed.

But maintained status has some drawbacks. For example:

You may be unable to renew identification documents, such as a driver’s license or health card

You may be limited in what you can do with your Social Insurance Number (SIN)

Despite these restrictions, maintaining status ensures you comply with immigration rules while waiting for a decision.

What If Your Status Expires?

If your work permit expires before you apply, you can apply for restoration within 90 days. To do this, you must:

  • Apply for restoration
  • Provide reasons for why you didn’t meet the permit conditions
  • Be eligible for the original permit

Though restoration is not a sure thing, it offers another opportunity to become legal in Canada.

Priority Processing for Certain Occupations

Certain workers may be eligible for quicker processing of their work permit applications. The government will process applications from workers in critical industries, like health care and agriculture, more quickly.

If you work in one of these sectors, you may be able to have your application processed faster, allowing you to get back to work sooner.

Final Thoughts

It is unfortunate that you lost your job while on a closed work permit, but it is not the end of the road in Canada. Knowing your choices – such as applying for a new work permit, working from home, or changing your status – allows you to make informed decisions.

It is important to act sooner rather than later, be well-informed, and follow immigration regulations. By following the right strategy, you can make this transition smoothly and continue your career in Canada. Connect with us as we are the best immigration Consultants in Canada and we are 2mimmigration you will find us on Google too.

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