In-home caregivers are professionals hired to assist with the care of children, elderly individuals, or persons with disabilities in private residences, typically without direct supervision. This role is particularly crucial as it supports families who might not have the means or ability to provide constant care themselves. There has been a longstanding practice among many families in Canada of employing in-home caregivers. These caregivers play a vital role in supporting the familial structure by taking care of children or elderly parents, especially when the primary family members are engaged in full-time employment or other commitments. However, this sector faces a significant labor shortage. The reasons for this shortage are multifaceted. Firstly, the job is often demanding, requiring a high level of patience, empathy, and physical and emotional stamina. Moreover, with an aging population in Canada, the demand for in-home caregivers who specialize in elderly care is on the rise. This increasing demand, coupled with a lack of trained professionals, exacerbates the labor shortage.
Families can hire a foreign caregiver to provide care to children under 18 years of age, seniors, or persons 65 years of age or older with certified medical needs when Canadians and permanent residents are not available. There are 2 categories under this program.
Families or individuals can apply under this category to take care of their children under 18 years of age. It could include positions such as childcare provider, live-in caregiver, and nanny (TEER 44100).
Families or individuals can apply under this category to take care of their elderly family members (parents) who are 65 years of age or over or with disabilities, a chronic or terminal illness. This category includes following positions:
Overview of Canada Revenue Agency (CRA) Business Number (BN):
When Canadian families or individuals consider hiring a foreign caregiver, understanding the legal and tax implications is crucial. One of the primary steps involves obtaining a Business Number (BN) from the Canada Revenue Agency (CRA). This 15-digit identifier is essential for employers based in Canada, as it aids in tax-related matters and compliance with Canadian employment laws. Obtaining a BN is not just a formality but a necessary step in the hiring process. Here’s why you need it:
Advertising on Job Platforms: To advertise caregiver positions on the national Job Bank website or its provincial counterparts, you must meet initial registration requirements, for which a BN is necessary.
Temporary Foreign Worker (TFW) Application: A BN is a prerequisite for applying for a TFW, ensuring foreign caregivers are legally hired and registered.
Wage Payments and Legal Compliance: Employers use the BN to lawfully pay the caregiver’s wages, including vacation pay, and to make necessary legal deductions as prescribed by the TFW Program (TFWP).
Issuing Official Documents: A BN enables employers to issue necessary documents like pay stubs, T4 statements (remuneration paid), and Records of Employment (ROE).
Online Registration: The quickest method is using the CRA’s business registration online service.
Phone Registration: Employers can call the CRA’s business inquiries line at 1-800-959-5525. Prepare to answer the questions listed in the BN Form (RC1).
Mail or Fax: Complete the RC1 form and send it to the nearest tax services office.
Sole Proprietors: If you already have a BN for other business activities, you can use it to hire a foreign caregiver. Remember to create a separate domestic account for this purpose.
Other Businesses: Companies cannot use an existing BN for hiring a foreign caregiver. They must obtain a new, separate BN for this purpose.
Multiple Employers: When multiple employers wish to hire a caregiver, only one BN is required for the process.
Proof of Care Need: To hire a caregiver, you must demonstrate the need for care. Depending on who requires care, different documents are needed:
Proof of Address: If the care recipient lives at a different address, proof of their address is needed. This can include a driver’s license, utility bill, bank statement, or government benefit statements like the Canada Pension Plan or OAS.
Financial Ability: Employers must demonstrate financial capability to pay wages to caregivers. This is assessed using Statistics Canada’s Low-Income Cut-Offs (LICO). Submit your most recent Notice of Assessment (NOA) from the CRA. Note: NOAs from previous years are not accepted. In certain cases, paystubs or bank statements can be submitted.
Transportation Costs: Employers must cover caregiver transportation costs, including travel to Canada and local transportation. These costs should be paid upfront and cannot be recovered by the caregiver.
Housing Requirements: If a live-in arrangement is agreed upon, the caregiver must have a private, furnished bedroom with a lock and safety bolt. The room should meet health and building standards. No charges for room and board are allowed under the TFWP.
Health and Workplace Safety: Employers must provide private health insurance covering emergency care during periods when provincial/territorial health insurance is not available to the caregiver. Additionally, workplace safety insurance from the provincial/territorial provider is required.
Ministerial Instruction: Note that applications for hiring caregivers exclusively on a live-in basis may be refused based on Ministerial Instructions effective December 1, 2014.
Flexible Living Options: Live-in caregivers in Canada can choose to live outside their employer’s home, offering greater flexibility for both parties.
LMIA Fee: Employers hiring foreign caregivers for home-based medical care are exempt from the Labour Market Impact Assessment (LMIA) application fee. Also, families earning under $150,000 annually qualify for a fee exemption when hiring foreign caregivers for children under 13 years.
Who may apply for a Work Permit: An applicant seeking a work permit as a caregiver must be a student or worker and residing in Canada at the time of application.
We offer specialized and expert assistance tailored to the complexities of hiring foreign in-home caregivers in Canada. We cater to the unique needs of employers, ensuring compliance with Canadian employment and immigration laws.
Comprehensive LMIA and Work Permit Support: We guide our clients through the LMIA process, crucial for hiring foreign caregivers. We help secure work permits for foreign workers.
Up to Date LMIA Regulation Monitoring: Staying current with LMIA regulations changes is essential. Can X continuously monitor these changes, providing clients with essential updates that affect job categories, durations, and exemptions relevant to the caregiver sector.
Eligibility Assessment and Advertisement Assistance: Our team assesses client profiles and runs the job advertisement process on their behalf, ensuring compliance with advertisement requirements.
Comprehensive Application and Legal Support: Our team assists in preparing and submitting LMIA applications and offers legal representation before ESDC. We also provide support for work permit applications, ensuring a smooth experience for both the employer and the foreign caregiver.
Compliance Services and Success Rate: Our services extend to maintaining compliance, addressing ESDC inquiries and audits. We boast a 100% success rate in obtaining positive LMIA outcomes for qualified employers, demonstrating our expertise in this field.
Dedicated Team for Diverse Needs: Our diverse team of experts provides solutions tailored to the specific needs of hiring foreign caregivers, including addressing the various documentation and requirements outlined earlier, like proof of care need, address, financial ability, and transportation costs.
We provide comprehensive, efficient, and effective solutions tailored to the unique challenges of hiring foreign caregivers in Canada, including LMIA applications and work permit approvals.
No, but you can use the Home Childcare Provider Pilot or Home Support Worker Pilot programs for overseas sponsorship.
No, the applicant must be a student or worker in Canada.
Families hiring caregivers for medical care are exempt from the LMIA fee if they provide care for children under 18, seniors over 65, or persons with certified medical needs.
Employers can register online, call the CRA, or send a completed RC1 form by mail or fax.
Live-in caregivers in Canada can choose to live inside or outside their employer’s home.
The categories are Caregivers for children (TEER 44100) and Caregivers for people with high medical needs (TEER 31301, 32101, 44101).
Depending on the care recipient, documents like birth certificates, medical certificates, or official guardianship documents are needed.
Yes, employers must cover all transportation costs to Canada and local travel, paid upfront.
A private, furnished bedroom with a lock, meeting health and building standards, is required without charges for room and board.
Yes, private health insurance covering emergency care is necessary until provincial/territorial health insurance is available.
Under certain conditions, caregivers may be eligible to bring their dependents to Canada, either by accompanying them on their initial entry or sponsoring them after obtaining a work permit.
Yes, applications for live-in only positions may be refused as per Ministerial Instructions effective December 1, 2014.
Employers must submit their most recent Notice of Assessment (NOA) from the CRA or, in some cases, paytubs or bank statements.
Yes, employers must provide workplace safety insurance from provincial/territorial providers.
Yes! When multiple employers wish to hire a caregiver, only one BN is required for the process.
No, use the Home Childcare Provider Pilot or Home Support Worker Pilot for overseas sponsorship.
Yes, if you’ve worked full-time as a caregiver in Canada for 12 months or more in the last 36 months, you can apply to the Direct to Permanent Residence category.
The specific income level required on the NOA for an LMIA application isn’t fixed. It varies based on factors like the number of family members, location, and the caregiver’s salary. Generally, the employer must meet or exceed the Low-Income Cut-Offs (LICO) as defined by Statistics Canada for their family size and geographical area.
Yes, you can combine your income with your spouse’s income when calculating the total income shown on the Notice of Assessment (NOA) for an LMIA application. This joint income should meet or exceed the Low-Income Cut-Offs (LICO) as per family size and location.
Yes, foreign caregivers may be required to meet certain language proficiency levels in English or French.
