Question Period Note: LABOUR MOBILITY

About

Reference number:
EWD_JUN2025_011
Date received:
May 2, 2025
Organization:
Employment and Social Development Canada
Name of Minister:
MacKinnon, Steven (Hon.)
Title of Minister:
Minister of Jobs and Families

Issue/Question:

Workers in regulated occupations must have their certificate recognized by the province or territory where they wish to practice. This process can be lengthy and costly. Reducing administrative burden and red tape would help support a more efficient labour market.

Suggested Response:

• In the context of economic uncertainty, it is crucial to support Canada’s economy by removing interprovincial trade barriers and enabling workers to fill jobs wherever they are available in Canada.
• All governments are seized with the urgency to address the trade crisis Canada is facing, and many jurisdictions have implemented transformative changes to support their works and employers.
• With the leadership of the Government of Canada, federal, provincial and territorial labour market ministers are advancing an ambitious and comprehensive plan to eliminate barriers to labour mobility.
• This plan will make interprovincial and territorial certificate recognition processes more transparent, faster and less complex and will include a service standard for application processing times.
• This plan will also pilot digital solutions that will make it easier for tradespeople to verify their credentials.
• All governments are working together to strengthen our labour market, and support one Canadian economy.

Background:

Labour mobility refers to the movement of workers in regulated occupations between provinces and territories (P/T) who must have a certificate, license and/or professional registration to work and use a specific job title in a P/T (e.g. doctors, engineers, electricians) 

The Canadian Free Trade Agreement (CFTA), signed by all P/Ts and the federal government, entered into force on July 1, 2017, incorporating all Chapter Seven provisions of the former Agreement on Internal Trade (AIT).
• Chapter Seven includes the certificate-to-certificate recognition principle, which stipulates that any individual certified for an occupation by a regulatory body of one jurisdiction shall be recognized as qualified for that occupation by all other jurisdictions that regulate the occupation without requiring significant additional training, experience, examination or assessment of qualifications. This principle compels regulatory authorities to trust and recognize the due diligence applied by other regulatory authorities in determining that a worker is qualified to practice an occupation

Chapter Seven of the CFTA also provides for provinces and territories to apply legitimate objective claims for regulated occupations that do have a significant difference in occupational standards, and when there is evidence that the public interest is at risk. In these instances, workers may be required to undertake skills assessments or exams, and complete additional education or training.
• Currently, only 13 regulated occupations have approved legitimate objective claims.
• Those occupations with the most claims are lawyers, licensed practical nurses, dental hygienists, social workers, paramedics, and medical radiation technologists.
• There is a strong rationale for these claims in all cases. For example, five provinces hold a legitimate objective for dental hygienists against other jurisdictions, because their standards vary and could pose a threat to public health and safety if workers were to receive full certificate-to-certificate recognition without additional training or assessment.

Credential and certification recognition are primarily a P/T responsibility often delegated to independent regulatory authorities. Most provinces also have legislation that supports compliance with the CFTA and/or fair registration practices legislation that supports fair, transparent and timely registration processes.

The lack of harmonization of regulations and practices have created a complex environment for workers in regulated occupations and hinders labour market efficiency and productivity. As such, key barriers to labour mobility remain including:
• Red tape and administrative burden;
• Varying occupational standards; and
• Lack of transparency of labour mobility requirements.

The lack of quantitative pan-Canadian data on the movement of certified workers in regulated occupations from one P/T to another makes it difficult to clearly identify labour mobility barriers.

The Forum of Labour Market Ministers (FLMM) is implementing an Action Plan in line with the direction of First Ministers. The Plan includes commitments to address administrative loopholes in the CFTA and to implement innovative solutions building on existing practices.

Additional Information:

IF PRESSED (Responding to occupations most affect by US tariffs)
• It is still unclear which occupations will be most affected by economic uncertainties. Current efforts aim to support all regulated occupations, including the skilled trades.

IF PRESSED (role of the federal government)
• Provinces and territories have the instruments and authorities to improve labour mobility. They establish occupational standards and entry-to-practice requirements for regulated occupations.
• Many provinces have introduced new or amended existing legislation to make it easier for out-of-province workers to work in their jurisdiction in a timely manner.
• The Government of Canada is working in collaboration with its provincial and territorial partners to pursue the changes needed to create seamless labour mobility across Canada.