North American Free Trade Agreement (NAFTA)

NAFTA is basically a tariff agreement made between America Canada and Mexico. NAFTA was implemented on January 1st 1994. Tariff is a tax on importing and exporting goods NAFTA eliminated this tariff on importing and exporting goods within US, Mexico and Canada.

Chapter 16 of NAFTA clears that the citizens of US, Canada and Mexico can get quicker and easier temporary entry to each other countries.

Canadian employers need not to take LMIA (Labour Market Impact Assessment) from Human Resource skills and development Canada (HRSDC) to hire a foreign worker covered by NAFTA.
NAFTA applies for:
  1. ·         Business visitors
  2. ·         Professionals
  3. ·         Intra-Company transfers
  4. ·         Traders and Investors

Intra Company transfer means transferring an employee of one company to same or affiliated company located in another country.

Eligibility for an Intra company transferee
·       An employee should have worked for minimum one year in the last 3 years for the same or affiliated company of United States or Mexico.
·       An employee should transferred to Canada to work temporarily
·        Employee should get a work permit
·         An employee should be capable to work in
1.       Managerial level
2.       Executive level
3.       Specialized knowledge

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