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Employer Information Bulletin - Hiring of Temporary Foreign Workers to Work As Exotic Dancers

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January 2010

Table of Contents

A. Objective
B. Effect
C. Background
D. Application procedure guidelines
E. Making an application
F. Making an application for a headliner dancer
G. Application Checklist

A. Objective

The purpose of this document is to inform employers about the rescinding of the national Human Resources and Skills Development Canada (HRSDC)/Service Canada Labour Market Opinion (LMO) for the entry of exotic dancers into Canada, and the requirement to obtain an LMO in each case.

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B. Effect

Employers who wish to hire temporary foreign exotic dancers are now required to obtain an individual LMO from HRSDC/Service Canada in accordance with the procedure described in this document. It will be the responsibility of employers to request this opinion in advance of the worker's application for a work permit.

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C. Background

The Temporary Foreign Worker Program is jointly administered by HRSDC/Service Canada and Citizenship and Immigration Canada (CIC), and operates under the authority of the Immigration and Refugee Protection Act (IRPA) and its Regulations, which came into force in June 2002.

HRSDC/Service Canada's role with respect to the entry into Canada of temporary foreign workers is to provide CIC with a LMO (employment confirmation) on the likely impact on the Canadian labour market if a foreign worker was to be employed.

Once HRSDC/Service Canada assesses the employer's job offer, HRSDC/Service Canada informs both the employer and CIC of the LMO. If HRSDC/Service Canada confirms the employer's request, workers can then apply to CIC officials who assess foreign workers' applications for work permits. Foreign workers are required to have work permits to work in Canada.

Pursuant to the IRPA regulations, HRSDC/Service Canada will conduct individual assessments of applications for foreign exotic dancers before issuing an LMO. This is consistent with how HRSDC/Service Canada considers applications for other temporary foreign workers. In addition, HRSDC/Service Canada will require employers and foreign exotic dancers to sign a written employment contract outlining the terms of employment and demonstrating that an employer/employee relationship exists.

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D. Application procedure guidelines

1. Employers or groups of employers who wish to hire exotic dancers must submit their application by mail or fax to the nearest Service Canada Centre or apply in person in their region for an LMO. It is important to note that for positions located in Quebec, HRSDC/Service Canada must consult with the Ministère de l'Immigration et des Communautés culturelles (MICC) to obtain its consent before issuing an employment confirmation. For more information on how the Temporary Foreign Worker Program is administered in Quebec, please visit the Web site of the MICC.
   
2. Employers must establish an employer/employee relationship with the foreign dancer. Foreign workers can work for only ONE employer at a time, and the employer must be the person responsible for the day-to-day working conditions of the foreign exotic dancers. HRSDC/Service Canada will not recognize agencies and booking agents as employers of foreign exotic dancers.
   
3. However, HRSDC/Service Canada recognizes that for many club owners, it is more convenient to use the services of booking agents for the recruitment of exotic dancers. HRSDC/Service Canada also acknowledges that not all club owners or dancers will wish to establish a long-term employment relationship, and that both dancers and club owners may require the flexibility to establish employment relationships of short duration. To that effect, although they are not permitted to serve as employers of record, booking agents can serve as third-party representatives and file applications on behalf of a group of employers (where they have been duly appointed as the third-party representative). In situations where a group of employers wishes to hire a dancer for a series of performances or short-term engagements, HRSDC/Service Canada can provide an LMO, provided these employers follow the normal application procedure, as described in the Group of Employers section of this document.
   
4. All employers and foreign exotic dancers must sign Employment Contracts for a duration of no longer than one year. Contracts must contain detailed information including:
   
   • wages and hours of work per day/week, noting that pay for a minimum of 30 hours of work per week is guaranteed and that the foreign dancer will keep all gratuities and tips;
   • when the employer provides 30 hours of work per week and pays the set wages for 30 hours per week (as required by the Temporary Foreign Worker Program), the dancer must work those 30 hours at the employer's established place of work (unless the foreign exotic dancer is ill or unavailable);
   • duties of the job must be limited to stage and/or table dancing only; duties cannot include any form of dancing/acts that involve physical contact with club patrons (often referred to as “lap dancing”), nor private dancing, where “private” is defined as not in plain view from the main stage (i.e. behind curtained areas or in secluded booths);
   • providing the employee with health insurance at no cost to the foreign worker until such time as the worker is eligible for applicable provincial health insurance;
   • workplace safety insurance coverage (for which costs cannot be recovered from the employee);
   • deductions payable as prescribed by law (e.g. employment insurance, income tax, Canada Pension Plan or Quebec Pension Plan);
   • transportation costs to employees according to the situation (use the appropriate clause 16 of employment contract) and
   • any costs related to recruitment of foreign exotic dancers must be covered by the employer and cannot be recovered from the employee.
5. In order to establish that there is a shortage of Canadian dancers available for the jobs for which employers wish to hire foreign dancers, employers must provide HRSDC/Service Canada with copies of printed advertisements as proof of their efforts to recruit Canadian citizens and permanent residents for identical employment with the same conditions and benefits being provided to the foreign worker.

   The printed advertisements must meet the following requirements:

   • show the name and location of the place of work (club);
   • clearly indicate that the job requires persons to stage and/or table dance only;
   • indicate that the work is under an employment contract that includes employment benefits;
   • specify the wage/salary being offered (the employer shall contact Service Canada before placing the advertisement in order to confirm the prevailing hourly rate to be mentioned on the advertisement) and indicate that pay for a minimum of 30 hours per week is guaranteed; and
   • mention that the dancer will keep all gratuities and tips.
      

   The advertisements must appear for at least three weeks during the last three months before the date of the application to HRSDC/Service Canada. They must be published in the region where the work will be performed.

   In addition to the LMO application, the employer must submit a summary of the results of the advertising, indicating:

   • how many Canadians or permanent residents applied;
   • how many were hired; and
   • rationale as to why Canadians or permanent residents were not hired.
     
6. Employers are required to pay the wage rate identified by HRSDC/Service Canada for the region in which the dancer will work. The wage rate can be no less than the provincial/territorial minimum wage rate. Employers are also required to guarantee payment for a minimum of 30 hours per week, in keeping with the policy of the Temporary Foreign Worker Program to confirm only offers of full-time employment. It is not possible for HRSDC/Service Canada to approve requests if guaranteed wages or salaries are not being offered by the employer.

   In addition, employees who work more than the maximum number of hours prescribed by the province or territory will be entitled to overtime pay, in accordance with provincial or territorial standards. Tips or gratuities earned by the employee are the property of the employee and in no way constitute payment of wages/salary by the employer. The employer is not entitled to garnish (collect) any tips or gratuities received by the employee.

7. Employers are required to pay for the full return airfare to and from the foreign worker's country of residence in advance of the worker's arrival in Canada. This amount is not recoverable from the foreign worker.
8. Employers must cover all recruitment costs. If an employer uses the services of a third-party recruiter, the employer cannot recover the recruitment costs from the employee.
   
9. Employers must submit a copy of the valid licence for the operation of the adult entertainment establishment(s), issued by the competent authority (e.g. the municipality), where the dancer will work as stipulated under applicable provincial, territorial and/or municipal by-laws where they exist.
   
10. Employers are required to assist the foreign worker in applying for provincial/territorial public health care insurance coverage.
    
11. Employers are required to register the employee with the provincial or territorial workplace safety insurance office (i.e. worker's compensation) for the duration of the contract.
    
12. Employers should understand that meeting procedural requirements, guaranteeing wages/salary and providing proof of advertising will not guarantee that a positive LMO will be issued by HRSDC/Service Canada. The LMO will be determined on the basis of an independent assessment of labour market criteria unique to the time and place of application. In order to issue a positive LMO, regional HRSDC/Service Canada officials must be satisfied that the entry of the foreign worker into Canada is not likely to have a negative impact on the labour market.

    Group of Employers

13. In situations where a group of employers, whether represented by a booking agent or not, wishes to hire a dancer for a series of performances or a short-term contract, HRSDC/Service Canada will issue a Labour Market Opinion, provided:
    
    
    • an employer/employee relationship is in place for the duration of the foreign worker's time in Canada;
    • only one employer/employee relationship exists at any given time. HRSDC/Service Canada will not provide confirmations for part-time employment with a group of employers; and
    • the person responsible for the day-to-day working conditions of the exotic dancer (the club owner in the club where the dancer is employed at any given time) is the employer of record, and is responsible and accountable for maintaining the conditions of employment under which the positive LMO was issued.

    In these situations, in addition to fulfilling the requirements mentioned above (section D, paragraphs 1 to 11) for a single employer, a group of employers must follow the procedure below:

    • The first establishment (i.e. the establishment where the first engagement will take place out of the series of performances to be given by the foreign worker), or the booking agent acting as a third party, is responsible for filing the application with HRSDC/Service Canada for the group of employers.
    • The first establishment and all other employers are each required to submit an  Application for an LMO and an Employment Contract outlining the period for which they will be employing the foreign worker and the terms and conditions of employment (which must, at a minimum, meet the guidelines for the employment of exotic dancers described in this Employer Information Bulletin). It is important to note that the combined duration of the employment offered to the foreign dancer by the group of employers must not exceed one year.
    • The first establishment (or the booking agent acting as a third party) that files the applications with HRSDC/Service Canada for the group of employers is responsible for providing the return airfare for the temporary foreign worker. As mentioned above, employers cannot recover airfare or recruitment costs from the foreign worker.

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E. Making an application

1. Employers who wish to hire foreign exotic dancers must submit their application by mail or fax to a Service Canada Centre or apply in person. The application must include:
   1. a completed Application for an LMO;
   2. employers using a third party representative must complete the "Annex to the Appointment of Representative" form and send it with the LMO application;
   3. a completed Employment Contract for a duration of no longer than one year, signed by the employer;
   4. a copy of the current licence for the operation of the adult entertainment establishment(s), issued by the competent authority (e.g. the municipality); and
   5. a summary of the published advertisements (as explained above in section D, paragraph 5).
      
2. In situations where a group of employers wishes to hire a dancer for a series of engagements:
   
   
   • The first establishment (i.e. the establishment where the first engagement will take place out of the series of performances to be given by the foreign worker), or the booking agent acting as a third party, is responsible for filing the application with HRSDC/Service Canada for the group of employers.
     
   • The first establishment and all other employers are each required to submit a Application for an LMO and an Employment Contract outlining the period for which they will be employing the foreign worker, and the terms and conditions of employment (which must, at a minimum, meet the guidelines for the employment of exotic dancers described in this Employer Information Bulletin). It is important to note that the combined duration of the employment offered to the foreign exotic dancer by the group of employers must not exceed one year.
     
   • The first establishment (or the booking agent acting as a third party) that files the applications with HRSDC/Service Canada for the group of employers is responsible for providing the return airfare for the temporary foreign worker. As mentioned above, employers cannot recover airfare or recruitment costs from the foreign worker.
     
3. HRSDC/Service Canada will conduct an assessment of the employer's application. HRSDC/Service Canada will contact the employer, or the first establishment in the case of a group of employers, as necessary, to clarify information provided. Once a decision is reached, HRSDC/Service Canada will notify the employer of record in writing.
   
4. Employers must provide a copy of the letter received from HRSDC/Service Canada and the employment contract (signed by them only at this stage) to the foreign worker, for presentation to CIC offices (Canadian Embassy, mission abroad) when applying for a work permit.
5. If employers do not expect their labour needs to change after the period identified in the LMO, they must apply  for a new LMO at least four months prior to the expiry date in order to allow sufficient time for processing the application. Employers must meet all Program requirements (section D). Proof of recent recruitment efforts (prior to the expiry date of the dancer's work permit) and the new contract must adhere to the requirements stipulated in section D, paragraphs 4 and 5. The advertisement must appear for at least three weeks prior to appliying for a new LMO in the region where the work will be performed.

   Employers are also required to provide evidence that:

   • the wages and deductions as per the first contract were actually paid to the worker as per the T4 Information filed by the employer with the Canada Revenue Agency; and
   • the worker has been registered with the provincial/territorial authority responsible for workplace safety insurance (worker's compensation), by providing a copy of the Clearance Certificate or similar document issued by the workplace safety insurance office indicating that the employer is registered and in good standing with the office.

Your request may be refused if you do not provide the additional requested documents in your application package. When HRSDC/Service Canada issued a positive LMO, workers must apply to CIC for an extension of the work permit.

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F. Making an application for a headliner dancer

HRSDC/Service Canada must receive the LMO application at least eight (8) business days before the performance is scheduled to take place. Otherwise, the employer may not receive the LMO in time for the headliner to perform. The can send their application by mail or fax to the Service Canada Centre in their region or apply in person.

1. In the case of a well-known exotic dancer who is appearing as a guest artist for limited engagements, the employer must provide a copy of the dancer's contract (signed by the employer). The contract must include the venue(s), the number of shows, the date(s) of the engagement(s)/performance(s), and the fee the performer will be paid (per show or as a total amount). The employer is not required to show proof of having undertaken recruitment efforts in Canada.
2. Engagements for headliners should not normally exceed two weeks. In addition, well-known guest artists are expected to earn performance fees, exclusive of gratuities, that are significantly higher than the wages earned by regular exotic dancers in the same establishment.

For more information, please contact the Temporary Foreign Worker Program unit at the Service Canada Centre in your area.

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G. Request for an LMO - Application Checklist

The employer is responsible for ensuring that all required documents are submitted together with the application(s). To avoid processing delays, please do not submit your application until all relevant documents have been included. Use this checklist as a guide and in combination with the Employer Information Bulletin.

Request to hire a temporary exotic dancer who is not a headliner

A completed and signed Application for an LMO with all relevant boxes filled in. 

If applicable, ensure that the Appointment of Representative, which is included in the application, is complete and signed. 

A complete Employment Contract for a duration of no longer than one year, signed by the employer. The contract must include information on all of the points listed in section D-4.

A copy of the current licence for the operation of the adult entertainment establishment(s), issued by the competent authority (e.g. the municipality), where applicable.

Proof of efforts to recruit Canadian citizens and permanent residents in the area where the job is located. For example, copies of print advertisements showing the same working conditions as those listed in the employer's application form, receipts showing that the advertisement(s) ran for at least three weeks during the last three months before the date of the application to Service Canada, as well as a summary of Canadians and permanent residents who applied and the rationale for why they were not hired.

A summary of the results of the advertising campaign: Did Canadians andpermanent residents apply? If so, why were they not hired? For further information, consult section D-5.

Proof that the wages and deductions as per the employment contract were paid, by providing a copy of the information filed by the employer with the Canada Revenue Agency relating to wages paid to the foreign worker. For further information, consult section E.

Proof that the employer is registered and in good standing with the provincial/territorial authority responsible for workplace health and safety insurance (worker's compensation), by providing a copy of the Clearance Certificate or similar document issued by the provincial/territorial authority. Employers in Ontario must provide a copy of the WSIB-issued Clearance Certificate. Employers from other provinces/territories must provide a similar document issued by the appropriate provincial/territorial authority. For further information, consult section E.

Request to hire a headliner exotic dancer

A completed and signed Application for an LMO with all relevant boxes filled in.

If applicable, ensure that the Appointment of Representative, which is included in the application, is complete and signed.

A copy of the performer's contract, signed by the employer, showing the venue(s) at which the performer will appear, the number of shows in which the performer will appear (which would not normally take place during a period exceeding two weeks), the dates of the engagement(s)/performance(s), and the fee the performer will be paid.

A copy of the current licence for the operation of the adult entertainment establishment(s), issued by the competent authority (e.g. the municipality), where applicable.

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Date Modified:

2012-01-26