Be
real careful with these and be certain to ask your nanny if they had to pay someone for the right to be introduced to you. Under Alberta law (Fair Trade Act and Regs) it is illegal to charge an employee for the introduction. Ask if they had to pay someone in the old country as well - it happens a lot.
That being said, you can find out all you need from the following websites:
Service Canada (the LMO stage - needed prior to the foreign worker submitting their work permit application). Click Live in Caregiver links:
http://www.hrsdc.gc.ca/eng/jobs/foreign_workers/
Citizenship and Immigration Canada:
http://www.cic.gc.ca/english/work/caregiver/index.asp
Yes, you will be an employer and will need to do all deductions as would any other employer. you do not need to set up a company.
As stated above, for those with an open work permit, you are likely to have to pay more. For those who are Live In, bear in mind that the hours they work are extremely important to them, so help them track those hours. That is because once they hit a certain number of hours they can apply for their permanent residency. If they work overtime, pay them the overtime they are entitled to. Treat them well and they will treat you very well, in most circumstances.
Most agencies will do their recruiting of nannies already in Canada by advertising on Kjijji, so keep that in mind and consider doing it yourself. Follow the advertising requirements on the Service Canada site.
Final thing, if you are getting an overseas nanny, be certain to watch the timelines for processing. A medical will be required and this can cause the application to take longer than a regular work permit application.