Canada Open Work Permit vs. Closed Work Permit: Key Differences

 If you're planning to work in Canada as a foreign national, one of the first things you'll need to understand is the difference between an Open Work Permit and a Closed (Employer-Specific) Work Permit. Choosing the wrong permit type — or misunderstanding your restrictions — can create serious legal and employment complications.

This 2025 guide by EthicalEdu breaks down the key differences, who qualifies for each, and what you need to apply.

What is a Canada Open Work Permit?

An Open Work Permit (OWP) allows you to work for ANY employer in Canada, in any location, and in any position (with a few restricted occupations). You are not tied to a specific employer, job, or province.

Key features of an Open Work Permit:

•       Work for any Canadian employer (no job offer required for most OWPs)

•       Change jobs freely without updating your work permit

•       Work in any province or territory

•       Can be renewed (in some cases) or followed by other permits

Who Qualifies for an Open Work Permit?

Open Work Permits are available to specific categories of people:

•       Spouses/common-law partners of international students (enrolled full-time at eligible DLIs in certain programs)

•       Spouses/common-law partners of skilled foreign workers (TEER 0, 1, or some TEER 2-3)

•       Post-Graduation Work Permit (PGWP) holders — graduates of eligible Canadian institutions

•       Refugee claimants and protected persons

•       Bridging Open Work Permit (BOWP) — for applicants who applied for PR and need to continue working

•       Youth under international agreements (IEC — International Experience Canada)

•       Destitute students

What is a Closed (Employer-Specific) Work Permit?

A Closed Work Permit, also called an Employer-Specific Work Permit, ties you to a specific employer. You can only work for the employer named on your permit, in the job and location specified. If you want to change employers, you must apply for a new work permit.

Key features of a Closed Work Permit:

•       Tied to one specific employer

•       Specifies the location and occupation

•       Requires a job offer letter from the Canadian employer

•       Usually requires a Labour Market Impact Assessment (LMIA) — though some are LMIA-exempt

Comparison: Open vs. Closed Work Permit

Can work for any employer: Open Work Permit YES | Closed Work Permit NO (one employer only)

Requires job offer: Open Work Permit Usually NO | Closed Work Permit YES

Requires LMIA: Open Work Permit NO | Closed Work Permit Usually YES

Location restricted: Open Work Permit NO | Closed Work Permit YES

Can change jobs freely: Open Work Permit YES | Closed Work Permit NO (need new permit)

Typical holder: Open Work Permit PGWP holder, spouse | Closed Work Permit Skilled worker with job offer

What is an LMIA?

A Labour Market Impact Assessment (LMIA) is a document issued by Employment and Social Development Canada (ESDC) that an employer must obtain before hiring a foreign worker for most closed work permits. The LMIA confirms that:

•       There is a genuine need for a foreign worker to fill the position

•       No qualified Canadian citizen or permanent resident was available for the job

Getting an LMIA approved can take 2-5 months and requires the employer to demonstrate recruitment efforts, meet wage requirements, and show compliance with all employment standards.

LMIA-Exempt Work Permits (Closed but No LMIA)

Some Closed Work Permits are LMIA-exempt under the International Mobility Program (IMP). These include:

•       Intra-company transfers (working for a Canadian branch of your multinational employer)

•       Workers under trade agreements (CUSMA/USMCA for US and Mexican workers, CETA for EU workers)

•       Significant benefit to Canada (artists, athletes, researchers, academics)

•       Reciprocal employment

Bridging Open Work Permit (BOWP) — A Special Category

A Bridging Open Work Permit (BOWP) is a type of OWP specifically designed for foreign nationals who have applied for Canadian permanent residency and need to continue working while awaiting a PR decision. To qualify, you must:

•       Currently hold a valid work permit that will expire within 4 months

•       Have submitted a permanent residency application (Express Entry, PNP, etc.)

•       Have your PR application still in progress (not refused)

Which Permit is Right for You?

Choose an Open Work Permit if: You are a recent Canadian graduate, a spouse of a skilled worker or international student, or have recently applied for PR and need bridging work authorization.

Choose a Closed Work Permit if: You have a specific job offer from a Canadian employer who has obtained or is prepared to obtain an LMIA, or if you qualify under an LMIA-exempt trade agreement or intra-company transfer.

Frequently Asked Questions

Q: Can an Open Work Permit lead to PR?

Yes. Working on an OWP in a qualifying occupation generates Canadian work experience that earns CRS points for Express Entry and qualifies you for the Canadian Experience Class (CEC).

Q: Can I get an Open Work Permit without being in Canada?

Yes, depending on the type. Spouses of international students and skilled workers can apply for OWPs from outside Canada in many cases.

Q: Can my employer restrict my work on an Open Work Permit?

Employers cannot restrict where or how much you work beyond the scope of normal employment — an OWP is your right to work freely in Canada. Certain occupations (like healthcare) may require additional provincial licensing regardless of permit type.