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HUMA committee briefing binder: Appearance of Minister of Labour, Study: 2022 to 2023 Supplementary Estimates (B), February 3, 2023

From: Employment and Social Development Canada

Official title: Minister of Labour appearance Standing Committee on Human Resources, Skills and Social Development and the Status of Persons with Disabilities (HUMA) Study: 2022 to 2023 Supplementary Estimates (B), February 3, 2023 – 9:45 am to 10:45 am

On this page

  1. Opening remarks
  2. Parliamentary environment
    1. Scenario note
    2. Anticipated questions
    3. Member biographies
  3. Hot issues and background material
    1. Supporting Implementation of 10 Days of Paid Medical Leave for Federally Regulated Workers
    2. Completing the Employment Equity Act review
    3. Support for workers experiencing miscarriage or stillbirth
  4. Hot issues and background material Budget 2022
    1. Federal policy on the “right to disconnect”
    2. Vaccination of employees
    3. Advancing protections for gig workers and digital platform workers
    4. Improving mental health protection in federal workplaces
    5. Violence and Harassment free workplaces
    6. Arbitration/Back to Work Legislation at the Port of Montréal
  5. The transition to a net-zero emissions economy through the creation of sustainable jobs
  6. Fairness – Hot issues
    1. Pay equity
    2. Pay transparency
    3. Modernizing Federal Contractors Program to ensure federal contractors are paying employees the federal minimum wage
    4. Legislation on Forced Labour in the Supply Chain
    5. Legislation to prevent the hiring of replacement workers (anti-scabs legislation): NDP-Liberal Supply Agreement
    6. Menstrual Products in federally regulated workplaces
    7. Supporting working women during pregnancy and while breast-feeding
    8. Labour Mobility Deduction for Tradespeople
    9. The federal minimum wage under Part III of the Canada Labour Code and inflation
  7. Overview - Supplementary Estimates (B) for fiscal year ending March 31, 2023
    1. Employment and Social Development (ESDC) 2022 to 2023 Supplementary Estimates (B) Items requested by Vote (in dollars)
    2. Supps B Cards
    3. Placemat with key figures and administration
  8. Mandate Letter tracker

1. Opening remarks (title included for accessibility)

Opening Remarks for The Minister of Labour, Seamus O’Regan Jr., for Appearance before the Standing Committee on Human Resources, Skills and Social Development and the Status of Persons with Disabilities (HUMA) in relation to the Supplementary Estimates B House of Commons February 3, 2023

Check against delivery
(2022 PA 006818)

Good afternoon, Mr. Chair, and members of the committee.

First, I’d like to acknowledge that the land on which we gather is the traditional unceded territory of the Algonquin Anishnaabeg People.Footnote 1

Thank you for inviting me to discuss the Supplementary Estimates B for Employment and Social Development Canada’s Labour Program.

My job, as Canada’s Minister for Labour, is to make sure that Canadian workers have workplaces that are safe, inclusive and respectful, and to make sure they have the working conditions they deserve.

With that goal in mind, I’m happy to report that we recently ratified the International Labour Organization’s Convention 190. This convention is the first-ever global treaty on ending violence and harassment in the workplace.

By ratifying C190 we have joined countries around the world to protect workers, and make sure they have the safe, respectful workplaces they deserve.

Mr. Chair, we’re working toward a number of important goals this year to support workers.

This year, we’re requesting $3.1 million, to support the implementation of ten days of paid medical leave for all federally regulated private sector employees. The legislation and regulations came into force on December 1.

We’ll use the new funding to develop training, update information technology systems, and adapt our compliance and enforcement strategies.

We’re also requesting small funds to support the completion of the Employment Equity Act Review.

This amount is comprised of operating funding to allow us to secure the skills and resources required to support the next phase of the Review, that is following the release of the Task Force report.

The Task Force’s report will provide concrete, independent and evidence-based recommendations on how to modernize and improve our employment equity framework. We’re expecting the report in the spring of 2023.

We’ll review their recommendations, and determine the feasibility, scope and processes for their implementation through targeted engagement, research, policy analysis, and communications.

Finally, we’re requesting to reprofile small lapsed funds under the Employment Equity Act review. These funds were dedicated to engaging with local and grassroots Indigenous and disability organizations as well as organizations representing Black and other racialized Canadians, which is crucial given the impact the Act has on these groups. Initially planned in 2021 to 2022, these enhanced consultations had to be delayed to 2022 to 2023 due to the review being put on hold during the federal election.

One of the available tools to ensure the modernization of the Act reflects the views and needs of the most underrepresented groups is the issuance of one-time grants and contributions funding to National Indigenous partners and Disability organizations through Engagement Protocol Agreements, and through the Social Development Partnerships Program – Disability.

Without these consultations, some communities would not have been able to participate meaningfully. It would have severely limited the completeness of the Task Force’s review, as well as hindered the achievement of policy objectives. The reprofile will secure the funds required for this activity that was crucial in accelerating the review.

Mr. Chair, there is no doubt that the adjustments we’re asking for will help us to continue our work to make federally regulated workplaces more healthy, diverse and inclusive. To help make sure every Canadian has an equal chance to succeed and have the working conditions they deserve.

I’ll leave it there, Mr. Chair. I now look forward to taking your questions.

Thank you.

-30-

2. Parliamentary environment

2.a Scenario Note 

1. Overview

The Standing Committee on Human Resources, Skills and Social Development and the Status of Persons with Disabilities (HUMA) has invited you to appear in view of its study of the Supplementary Estimates (B), 2022-23.

2. Committee Proceedings

The appearance date is February 3, 2023.

You are invited to appear for 1 hour as part of a panel, in person, with the Deputy Minister of Labour and the Chief Financial Officer.

You will have up to 5 minutes for opening remarks. 

HUMA has agreed that questioning of witnesses would be allocated as follows: 

In round one, there are six minutes for each party in the following order: 

For the second and subsequent rounds, the order and time for questioning is as follows:  

2.b. Anticipated questions

Anticipated questions based on the parliamentary environment

Budget 2022/FES 2022/Supplementary Estimates (B)

Topics
Anticipated questions

Right of workers

Topics
Anticipated questions

Just in transition

Topics
Anticipated questions

Fairness

Topics
Anticipated questions

2.c. Committee member biographies (Title included for accessibility)

House of Commons Standing Committee on Human Resources, Skills and Social Development and the Status of Persons with Disabilities (HUMA) 

Committee members biography

Chad Collins Liberal Party Hamilton East – Stoney Creek – Ontario  
Chad Collins Liberal Party Hamilton East – Stoney Creek – Ontario

Brief biography

Chad Collins was first elected to the House of Commons for Hamilton East - Stoney Creek on September 20, 2021. A lifelong resident of Hamilton East - Stoney Creek, Chad resides in the Davis Creek area with his wife Mary and 2 children, Chase and Reese. He attended Glendale Secondary School, the University of Western Ontario, and McMaster University. Chad was first elected to City Council in 1995, at the age of 24, making him one of the youngest elected representatives in the City's history.  

Chad is passionate about engaging local residents and community stakeholders, focusing on revitalization of infrastructure, development of social housing and stream-lining municipal programs.  

As President of City Housing Hamilton, Chad has been committed to addressing the City's aging affordable housing stock by pressuring all levels of government to invest in the much needed repair of over 7,000 publicly owned units. He continues to work on nearly a dozen new projects across the City and in the riding that will provide new affordable housing units to those in need.  

From the creation and development of new community parks and trails to the opening of a new food bank, Chad knows community consultation is an integral part of improving quality of life for everyone in Hamilton East - Stoney Creek.  

Of note:  

Michael Coteau Liberal Party Don Valley East – Ontario  
Michael Coteau Liberal Party Don Valley East – Ontario

Brief biography  

Michael Coteau was first elected to the House of Commons for Don Valley East on September 20, 2021. He has served as the Member of Provincial Parliament for Don Valley East since 2011. During his time in the Ontario government, his ministerial roles include: Minister of Children and Youth Services; Minister Responsible for Anti-Racism; Minister of Tourism, Culture and Sport; Minister Responsible for the 2015 Pan/Parapan American Games; and Minister of Citizenship and Immigration.  

Prior to entering the provincial government, Michael was elected as a school board trustee for the Toronto District School Board (TDSB) in 2003, 2006 and 2010. As a trustee, Michael advocated for student nutrition, community use of space and the use of educational technology. He initiated the ‘Community Use of Schools’ motion that drastically cut user fees and made schools more accessible to groups that offer programs for children. He helped introduce nutritional changes in schools that supported healthy food programs and increased awareness of student hunger.  

Michael worked as an ESL instructor and curriculum developer before becoming a community organizer for a United Way agency in Scarborough. He was also the Marketing Manager for ABC Life Literacy, where he was responsible for the organizing of the Family Literacy Day across Canada, and was Executive Director of Alpha Plus, a national literacy organization mandated to support adult education through the use of technology.  

Michael grew up in Don Valley East and attended Don Mills Middle School and Victoria Park Collegiate Institute. He holds a degree from Carleton University in Political Science and Canadian History. He and his wife Lori live in Toronto with their 2 daughters, Maren and Myla.  

Of note:  

Wayne Long Liberal Party Saint John Rothesay – New Brunswick  
Wayne Long Liberal Party Saint John Rothesay – New Brunswick

Brief biography  

Wayne Long was first elected to the House of Commons for Saint John — Rothesay in 2015 and was re-elected in 2019 and 2021. He is a member of the Saint John community with national and international business experience. Wayne currently serves as President of the Saint John Sea Dogs, and his efforts have helped turn the team into one of Canada’s most successful CHL hockey franchises winning the cherished Memorial Cup in 2011. That same year, Wayne was recognized with the John Horman Trophy, awarded to the Top Executive in the QMJHL.  

Prior to his work with the Sea Dogs, Wayne was President of Scotiaview Seafood Inc. He was also a successful large-scale product manager with Stolt Sea Farm Inc. Wayne’s work has seen him travel across North America, negotiating contracts with national restaurant distributors, restaurant chains, and retail chains. He earned the North American Excellence in Sales and Marketing award twice. Wayne is a former Board Member for Destination Marketing and Salmon Marketing.  

Wayne was born in the riding, and currently calls the area home alongside his wife, Denise, and their 2 children, Khristian and Konnor.  

Of note:  

Soraya Martinez Ferrada Liberal Party PS for Housing and Diversity and Inclusion (Housing) Hochelaga – Québec  
Soraya Martinez Ferrada Liberal Party PS for Housing and Diversity and Inclusion (Housing) Hochelaga – Québec

Brief biography  

Soraya Martinez Ferrada was first elected to the House of Commons for Hochelaga in 2019 and re-elected in 2021. She was appointed Parliamentary Secretary to the Minister of Immigration, Refugees and Citizenship in 2019 and became Parliamentary Secretary to the Minister of Transport in 2021. She has also served on the Standing Committee on Official Languages in the last Parliament.  

She is a proud resident of the east end of Montréal. Originally from Chile, her family settled in the area in the 1980s. Soraya has deep roots in the community where she currently resides with her son and daughter.  

Before being elected, Soraya worked for more than 20 years in the community where she specialized in communications and developed multiple cultural and political projects. Among her achievements, she created the very first cultural and socio-professional integration program at TOHU, a unique example of sustainable development in Montréal.  

In 2005, she was elected as a city councillor and appointed by the mayor to the position of Associate Advisor for Culture on the City’s Executive Committee. In 2009, she became Chief of Staff to the Leader of the Official Opposition at Montréal City Hall. She transitioned to the federal government in 2015 as Chief of Staff and Senior Advisor to the Minister of Canadian Heritage.  

She created the Vedette d’Hochelaga video clips in which she highlights the commitment of citizens, community organizations, and entrepreneurs in the riding of Hochelaga.  She has also set up virtual roundtables and regular newsletters that present federal programs directly serving the people of her riding.  

Of note:  

Robert (Bobby) J. Morrissey Liberal Party Egmont Prince Edward Island  
Robert (Bobby) J. Morrissey Liberal Party Egmont Prince Edward Island

Brief biography  

In 2015, Bobby was elected to the House of Commons and was re-elected in 2019 and 2021. He served as a Member on the Standing Committee on Fisheries and Oceans, as well as the Standing Committee on Human Resources, Skills and Social Development and the Status of Persons with Disabilities.  

Previously, he was elected to the Prince Edward Island Legislative Assembly in 1982 and has dedicated his career and volunteer life to serving the residents of PEI.  

Having served as MLA for nearly 20 years, Bobby has a deep understanding of his communities’ needs. He has held a number of high-profile roles within the Assembly, such as Minister of Transportation and Public Works, Minister of Economic Development and Tourism, and Opposition House Leader. He was also responsible for the redevelopment of the Canadian Forces Base Summerside and the surrounding community following its closure by the federal government in 1989. Bobby left politics in 2000 to join the private sector as a consultant specializing in government relations, fisheries, and the labour market. Bobby has been a member of the Board of Directors for the Heart & Stroke Foundation of PEI. He was the founding member and former president of the Tignish Seniors Home Care Co-op, and Vice-Chair of Tignish Special Needs Housing.  

Of note:  

Tony Van Bynen Liberal Party Newmarket – Aurora – Ontario  
Tony Van Bynen Liberal Party Newmarket – Aurora – Ontario

Brief biography  

Tony Van Bynen was first elected to the House of Commons for Newmarket-Aurora in 2019 and re-elected 2021. A resident of Newmarket for over 40 years, Tony and his wife Roxanne raised their 2 daughters there.  

Community service, volunteerism, and helping those who need it most is what drives Tony every day. He and Roxanne have volunteered at the Southlake Hospital, and the Inn from the Cold, for over 10 years. They also deliver food for the Newmarket Food Bank, and Tony was instrumental in creating Belinda’s Place, which is a multi-purpose facility for homeless and at-risk women.  

He also had the privilege of serving as the Mayor of Newmarket for 12 years. During that time, community building is what guided Tony on his mission to revitalize Main Street, renew the historic Old Town Hall, and build the Riverwalk Commons so families and friends can enjoy great public places.  

Through his previous role as the President of the Chamber of Commerce, and his 30-year career in banking, Tony understands what local businesses need to thrive and grow. He’s delivered innovative solutions to help local business owners find success, including creating the Envi broadband network, so businesses in the community have ultra-high-speed connectivity, which has been particularly crucial during the pandemic.  

Of Note:  

Rosemarie Falk Conservative Party Associate Labour Critic – Battlefords-Lloydminster Saskatchewan  
Rosemarie Falk Conservative Party Associate Labour Critic – Battlefords-Lloydminster Saskatchewan

Brief Biography  

Rosemarie Falk is the Conservative candidate for Battlefords-Lloydminster. Rosemarie was born and raised in Lloydminster, Saskatchewan. Along with her husband Adam, she is now raising her children there. She has always been actively engaged in her community. Throughout her social work career and extensive volunteer work she has worked with some of the most vulnerable members of the community.  

Rosemarie was first elected to the House of Commons in a by-election on December 11, 2017. Prior to this, Rosemarie worked as a registered Social Worker in Saskatchewan and has a Bachelor of Social Work from the University of Calgary. She also has experience as a legal assistant specializing in family law and as a legislative assistant in federal politics.  

In October 2022, under the new Conservative Party leader, she was named to the new Official Opposition's Shadow Cabinet as the Associate Shadow Minister for Labour and Associate Labour Critic.  

Of note:  

Michelle Ferreri Conservative Party for Families, Children and Social Development Critic Peterborough Kawatha – Ontario  
Michelle Ferreri Conservative Party for Families, Children and Social Development Critic Peterborough Kawatha – Ontario

Brief Biography  

Michelle is the Member of Parliament for Peterborough-Kawartha and was elected in the 2021 federal election. Michelle was appointed as Shadow Minister for Tourism as part of the Conservative Shadow Cabinet for the 44th Parliament. In October 2022, under the new Conservative Party leader, she was named to the new Official Opposition's Shadow Cabinet as the Minister for Families, Children and Social Development.  

Prior to being elected, Michelle was a well-known community advocate, an award-winning entrepreneur, a committed volunteer, and a highly sought-after public speaker and social media marketer.  

Michelle has over 20 years’ experience in media, marketing and public speaking. During her time as a reporter, one of Michelle’s most memorable experiences was when she had the opportunity to visit the Canadian Forces Base, Alert and fly to the station on a C-17 Globemaster.  

Michelle is a graduate of Trent University (Biology/Anthropology) and Loyalist College (Biotechnology). Her education in science has led her to be a passionate advocate for physical and mental health.  

She is a proud mother of 3 children, between the ages of 12 and 17, and shares her life with her supportive partner, Ryan, and his 3 daughters.

Of note: 

Tracy Gray Conservative Party Employment, Future Workforce Development and Disability Inclusion Critic Calgary Midnapore – Kelowna- Lake Country- British Columbia
Tracy Gray Conservative Party Employment, Future Workforce Development and Disability Inclusion Critic Calgary Midnapore – Kelowna- Lake Country- British Columbia

Brief biography  

Tracy was elected to serve as Member of Parliament for the riding of Kelowna-Lake Country in October 2019. In October 2022, under the new Conservative Party leader, she was named to the new Official Opposition's Shadow Cabinet as the Shadow Minister for Employment, Future Workforce Development and Disability Inclusion. She previously served as Shadow Minister for Interprovincial Trade and as the Shadow Minister for Export Promotion and International Trade.  

Tracy has extensive business experience and worked most of her career in the BC beverage industry. She founded and owned Discover Wines VQA Wine Stores, which included the number 1 wine store in BC for 13 years. She is has been involved in small businesses in different sectors including financing, importing, oil and gas service and a technology start-up.  

The daughter of a firefighter and Catholic School teacher, Tracy grew up around service and a strong work ethic. She has 1 son and been married for 27 years.  

Tracy has received many accolades including RBC Canadian Woman Entrepreneur of the year, Kelowna Chamber of Commerce Business Excellence Award and 100 New Woman Pioneers in BC.  

Tracy served with many organisations over the years. She was appointed to serve by BC Cabinet to the Passenger Transportation Board and elected to the Board of Prospera Credit Union for 10 years. In addition, she served on the Okanagan Film Commission, Clubhouse Childcare Society, Okanagan Regional Library Trustee and Chair of the Okanagan Basin Water Board.  

Of note:  

Scott Aitchison Conservative Party Housing and Diversity and Inclusion Critic –Parry Sound – Muskoka - Ontario   
Scott Aitchison Conservative Party Housing and Diversity and Inclusion Critic –Parry Sound – Muskoka - Ontario

Brief biography  

Scott Aitchison was born and raised in Huntsville, Ontario. After leaving home at 15, Scott was raised by the character of his hometown. In October 2022, under the new Conservative Party leader, he was named to the new Official Opposition's Shadow Cabinet as the Shadow Minister for Housing and Diversity and Inclusion.  

Scott was first elected at the age of 21 to Huntsville Town Council. After serving as Town Councillor, District Councillor and Deputy Mayor, he was elected as Mayor of Huntsville in 2014 on a promise of fiscal discipline, responsible governance and excellent customer service. As Mayor, he built a reputation as a consensus-builder relentlessly focused on breaking down barriers and finding solutions.    

Of note:  

Critic – Housing and Diversity and Inclusion in the Official Opposition's shadow cabinet

Bonita Zarrillo New Democratic Party Disability Inclusion Critic Port Moody –Coquitlam British Columbia  
Bonita Zarrillo New Democratic Party Disability Inclusion Critic Port Moody –Coquitlam British Columbia

Brief biography  

Bonita Zarrillo was first elected as Member of Parliament for Port Moody-Coquitlam in 2021. She is known to be a voice for equality and drives systemic change that puts people first. She entered public service so she could advocate for working people and to support the needs of the most vulnerable in the community. She championed buy-local as a tool for small businesses to thrive and to enable them to hire locally, challenged pipeline corporations to pay their fair share, and completed a successful housing affordability strategy that generated the most rental housing starts in her region.  

On Coquitlam Council, Bonita served on the following: Fraser Health Municipal Government Advisory Council, Multiculturism Advisory Committee, Metro Vancouver Indigenous Relations Committee, Universal Access Ability Advisory Committee, and past Board Member for the Federation of Canadian Municipalities. She sat on the board of 2 local Not-For-Profits that advocate for gender equality and speaks regularly at The Commission on the Status of Women at the United Nations.  

Before being elected to municipal government, Bonita worked in consumer products as a Business Analyst for companies across North America and Europe. She has a B.A. in Sociology from the University of Manitoba, a Human Resource Management Certificate from the University of Calgary and has a Computer Science Degree from CDI Montreal.  

Of note:  

Louise Chabot Bloc Québecois Employment, Workforce Development and Labour Critic Thérèse-De Blainville – Quebec   
Louise Chabot Bloc Québecois Employment, Workforce Development and Labour Critic Thérèse-De Blainville – Quebec

Brief biography  

Louise Chabot was first elected as Member of Parliament in 2019 and was re-elected in 2021. She was born in 1955 in Saint-Charles-de-Bellechasse, Quebec, is a Quebec trade unionist and politician. She was president of the Centrale des Syndicates du Québec (CSQ) from 2012 to 2018. The organization initially represented nearly 200,000 members, including 130,000 in the education and early childhood sector. She coordinated a major unionization project that resulted in the consolidation of more than 15,000 family day care managers, a first in the union world in Canada.  

Of note:  

3. Budget 2022/FES 2022/Supplementary Estimates (B) – Hot issues

3.a. Supporting implementation of 10 days of paid medical leave for federally regulated workers

Issue

The Government is supporting the implementation of paid medical leave provisions, which were introduced under an Act to Amend the Criminal Code and the Canada Labour Code (Bill C-3).

Background

Ten days of paid medical leave

The Minister of Labour’s 2021 mandate letter includes a commitment to “Secure passage of amendments to the Canada Labour Code to provide 10 days of paid sick leave for all federally regulated workers.”

Bill C-3, which received Royal Assent on December 17, 2021, provides that employees in the federally regulated private sector (FRPS) are entitled to earn and take up to 10 days of medical leave with pay per calendar year.

In March 2022, the Labour Program held consultation sessions with employer and employee representative organizations, as well as representatives from specific sectors, on the implementation of paid medical leave and the development of supporting regulations. Employer representatives were generally supportive of the importance of paid medical leave. However, some concerns were raised regarding:

Employee representatives and worker advocacy groups were very supportive of the proposed paid medical leave provisions. However, they were concerned about the delay of the coming into force of these provisions; these organizations urged the government to bring these into force as soon as possible. They also opposed the medical certificate requirement and the monthly accrual method of the leave, which could leave workers with few paid medical days during peak flu and cold season. They proposed instead to provide 10 days at the start of each calendar year.

On March 22, 2022, the Government announced an agreement with the New Democratic Party that includes, “ensuring that the 10 days of paid sick leave for all federally regulated workers starts as soon as possible in 2022.” In Budget 2022, the Government proposed to “introduce minor amendments to [Bill C-3] to support timely and effective implementation of 10 days of paid medical leave for workers in the federally-regulated private sector.”

On June 23, 2022, Bill C-3 was amended via Bill C-19, the Budget Implementation Act, 2022, No.1 to ensure paid medical leave comes into force no later than December 1, 2022. The amendments also respond to certain stakeholder concerns and correct minor technical issues. These amendments:

Final regulations that support the implementation of paid medical leave were published in the Canada Gazette, Part II on November 23, 2022. The legislation and the regulations came into force on December 1, 2022. Employees in federally regulated workplaces have begun accumulation days of paid medical leave.

The Labour Program secured 8.9 million dollars over 3years starting in 2022 to support the implementation of paid medical leave. This funding ensures that the Labour Program has sufficient capacity enforce the new paid medical leave provisions.

National action plan

The Minister of Labour’s 2021 mandate letter also includes a commitment to “convene provinces and territories to develop a national action plan to legislate sick leave across the country while respecting provincial-territorial jurisdiction and the unique needs of small business owners.”

On February 25, 2022, the Minister of Labour met with his provincial and territorial counterparts to share information and advance work on priority issues in workplaces across the country. Paid medical leave was a topic of discussion. Ministers noted the importance of protecting workers and preventing the spread of illness in the workplace, with several ministers sharing updates on changes in their jurisdictions.

Federal-Provincial-Territorial Ministers responsible for Labour met again on June 28, 2022 to discuss paid medical leave, labour shortages and better support for workers. The discussion regarding paid medical leave highlighted a range of current approaches with some jurisdictions considering implementing paid medical leave legislation, while others are prioritizing economic recovery from the impacts of COVID-19. Ministers expressed a continued interest in sharing information on this topic.

Key facts

Part III of the Canada Labour Code sets labour standards for employees in the FRPS, including about, 945,000 employees (roughly 6% of the Canadian employees) and 19,000 employers.

Bill C-3 will benefit about 582,700 employees, representing 63.3% of all employees employed in federally regulated industries, who have access to fewer than 10 days of paid leave to treat a personal illness or injury.

Key messages

Bill C-3, which received Royal Assent on December 17, 2021, provides employees in the federally regulated private sector with 10 days of paid sick leave per calendar year.

Not only is this an important step toward continuing the fight against COVID-19, but these amendments to the Canada Labour Code also represent a permanent change that will empower employees to prioritize their health and the health and safety of their workplaces.

Final regulations to support the implementation of paid sick leave were published in the Canada Gazette, Part II, on November 23, 2022.

Bill C-3 and the regulations to support the implementation of paid sick leave came into force on December 1, 2022. Employees have started accumulating days of paid sick leave.

Funding was secured over 3 years starting in 2022 to ensure the compliance and enforcement of the new paid sick leave provisions.

If asked about consultations with provinces and territories

I met with my provincial and territorial counterparts twice so far and made the case both times in favour of legislating paid sick leave because it’s good public policy and the right thing to do for both workers and employers.

Now that federally regulated workers have access to paid sick leave, I am looking forward to sharing results on its implementation with my provincial and territorial colleagues so they are aware of its success and may encourage them to follow our example.

3.b. Completing the Employment Equity Act review

Issue

The mandate commitment to accelerate the review of the Employment Equity Act and ensure timely implementation of improvements, with the support of the President of the Treasury Board, the Minister of Housing and Diversity and Inclusion and the Minister for Women and Gender Equality and Youth.

Background

Since its introduction in 1986, the Act was reviewed in 1992, 1995 and a Parliamentary review was conducted in 2001 to 2002.

Over that period, continued progress has been made in federally regulated workplaces for the 4 designated groups under the Act – women, Indigenous peoples, persons with disabilities and members of visible minorities. However, many workers are still facing barriers to employment. Canada has also undergone important economic, demographic and sociocultural changes resulting in increased diversity and an evolution of the meaning of equity, diversity and inclusion.

The Employment Equity Act Review Task Force was launched on July 14, 2021, with a mandate to advise the Minister of Labour on how to modernize and strengthen the federal employment equity framework, by studying the Act and consulting with stakeholders, equity communities and Canadians on issues related to equity.

The Task Force consists of 12 members from various backgrounds and fields of expertise, including the Chairperson, Professor Adelle Blackett, and the Vice-Chairperson, Professor Dionne Pohler.

On July 15, 2021, the Task Force members held their first meeting. In August 2021, further to the call of the 2021 federal election, the Task Force’s work was suspended due to the Caretaker Convention requirements.

On December 16, 2021, the Minister of Labour’s mandate letter called for an acceleration of the review of the Act to ensure the timely implementation of proposed improvements.

The Task Force resumed work in January 2022 and heard from hundreds of individuals representing stakeholder and partner organizations from public, private and non-profit sectors, including employers, unions, professional associations and members of designated groups and other communities, such as women, 2SLGBTQIA+ Canadians, Indigenous peoples, Black and racialized Canadians, persons with disabilities and other under-represented groups, including faith-based networks. Overall, the Task Force held 109 meetings over 51 days and these meetings involved a total of 337 attendees representing 176 organizations. The Task Force also received over 400 written submissions covering the full scope of the Employment Equity Act review, and an additional 350 expression of views shared via electronic correspondence.

The Task Force is completing its final report, which will include recommendations to the Minister of Labour on modernizing the Act. The report is expected to be submitted in the spring of 2023.

Key facts

According to the 2021 Employment Equity Act Annual Report, in federally regulated private sector employers covered under the Employment Equity Act:

According to Employment Equity in the Public Service of Canada for Fiscal Year 2020 to 2021, within the core public administration:

Key messages

Diversity of people and ideas is Canada’s strength. One of the ways the Government of Canada promotes equality and diversity is through the Employment Equity Act. Removing barriers to employment helps build a country where every Canadian has a fair and equal chance to reach their full potential.

Since the introduction of the Act in 1986, continued progress has been made in federally regulated workplaces for the 4 designated groups under the Act – women, Indigenous peoples, persons with disabilities and members of visible minorities.

However, many workers are still facing barriers to employment. Economic and social changes have also occurred, and the understanding of equity, diversity and inclusion has evolved.

That’s why we launched an independent Task Force to conduct the most extensive review of the Act since its introduction.

The Task Force has a mandate to study, consult and advise on how to modernize the federal employment equity framework.

The Task Force has now completed its engagement with stakeholders and partners, where it heard about their lived experiences, needs and views on issues related to equity. It also collected recent statistical information about various designated groups, including their distribution by occupation, employment income, gender and education level.

The Task Force will submit a report in the spring that includes concrete, independent and evidence-based recommendations on how to modernize the Act.

3.c. Support for workers experiencing miscarriage or stillbirth

Issue

The Government of Canada committed to amending the Canada Labour Code (Code) to provide up to 5 new paid leave days for federally regulated employees who experience a miscarriage or stillbirth.

Background

Government’s commitments and Bill C-3

The Minister of Labour’s mandate letter includes a commitment to “amend the [Code] to provide up to 5 new paid leave days for federally regulated employees who experience a miscarriage or still birth.”

An Act to amend the Criminal Code and the Canada Labour Code (Bill C-3), which received Royal Assent on December 17, 2021, includes amendments to the bereavement leave provisions in the Code that will provide up to 8 weeks of unpaid leave for employees who lose a child or experience a stillbirth. The first 3 days will be with pay for employees with 3 months of continuous employment with their employer. No amendments were introduced to address pregnancies that end in a miscarriage. These new leave provisions are not in effect; they will come into force on a day to be fixed by order of the Governor in Council.

In Budget 2022, the government announced “its intention to amend the [Code] in the coming year to further support federally regulated employees who experience a miscarriage or stillbirth.”

Leave available in circumstances of pregnancy loss

In all jurisdictions in Canada, employees who experience a pregnancy loss could have access to a combination of sick and/or maternity leaves. Under Part III of the Code, employees in the federal jurisdiction who experience a pregnancy loss may be eligible for the following leaves:

Protections in the provinces and territories

Similar to the federal jurisdiction, provinces and territories provide a combination of sick and/or maternity leave(s) to employees who experience a pregnancy loss. Three provinces provide additional leave to support employees who experience a pregnancy loss:

Consultations

In October 2022, the Labour Program held consultations with stakeholders on how a paid leave related to miscarriage or stillbirth should be effectively implemented, and the development of supporting regulations under Part III of the Code.

Stakeholders were generally positive and supportive of expanding the leave to include all types of pregnancy loss. Discussions mostly centered on the management of the leave, including the timeframe employees would be able to take the leave, potential documentation requirements to support the leave, and considerations for a minimum period of employment to be eligible for the leave with pay.

Key facts

Approximately 15% to 25% of pregnancies end in miscarriageFootnote 2 and over 3,000 stillbirths are reported in Canada each year.Footnote 3

These experiences are prevalent, and the emotional or physical impact they have varies from person to person. Depending on the circumstances of the event, some people may experience profound feelings of grief while others may feel mixed emotions (for example, guilt, anger, anxiety).Footnote 4

Without proper rest and recovery, some individuals could be at risk of developing prolonged mental health problems, such as clinical depression, anxiety disorders, and post-traumatic stress disorder.Footnote 5

Key messages

The Government of Canada recognizes that a significant portion of Canadian families experience a miscarriage or a stillbirth each year and the profound emotional impact it can have on them.

Such loss can present a very challenging moment in the working lives of parents as they may be faced with considerable mental and/or physical stress.

This is why our Government has committed to establish a paid leave to help workers cope in these situations and to destigmatize these experiences.

In October 2022, we consulted stakeholders on how a paid leave related to miscarriage or stillbirth should be effectively implemented, and received largely positive feedback.

4. Right of workers – Hot issues

4.a. Federal policy on the “right to disconnect”

Issue

Completing the development of a right to disconnect policy, in consultation with federally regulated employers and labour groups.

Background

The Minister of Labour has a mandate commitment to complete the development of a right to disconnect policy, in consultation with federally regulated employers and labour group.

The Right to Disconnect Advisory Committee was formed in 2020 with representatives from federally regulated employers, unions and non-governmental organizations. The mandate of the Committee was to recommend how to support federally regulated workers’ “right to disconnect.” The Committee’s final report was published in February 2022 and is available online.

Among Committee members, there was substantial divergence on how the government should proceed. This included debate about whether or not a legal requirement for the right to disconnect should be pursued.

Key facts

According to Statistics Canada, in December 2022, about 15.8% of Canadians aged 15 to 69 worked exclusively from home, while another 9.6% had a hybrid work arrangement. For many Canadians, working from home means working longer hours. Overall, 35% of all new teleworkers reported working longer hours per day while only 3% reported working shorter hours.

A June 2022 report by the Environics Institute, the Future Skills Centre and the Diversity Institute noted that about 1 in 3 employed Canadians always or often continue to work after their regular working hours. Another 30% of workers report that this happens at least some of the time.

Similarly, in March 2022, LifeWorks found that 28% of Canadians are experiencing challenges disconnecting from work after regular working hours. These workers had a mental health score that was nearly 9 points below the national average.

Key messages

I have a mandate commitment to complete the development of a right to disconnect policy, in consultation with federally regulated employers and labour groups.

Remote and hybrid work is here to stay for many employees, and right to disconnect policies can support work-life balance while maintaining the flexibility required in many 24/7 industries.

The Right to Disconnect Advisory Committee consulted stakeholders and experts on the benefits and challenges of remaining connected to work outside of regular working hours. Employers and workers agreed that work-life balance is important but had different perspectives on how the government should proceed when developing a right to disconnect policy.

We are taking these perspectives into account as we move forward with this important initiative.

4.b. Vaccination of employees

Issue

To provide an update on the Labour Program’s current vaccination status.

Background

On October 6, 2021, the Government of Canada announced that all employees of the Core Public Administration, including the Royal Canadian Mounted Police, must be vaccinated. This requirement applied whether employees were teleworking, working remotely or working on-site. Contracted personnel who required access to federal government worksites to perform work for the Government of Canada also needed to be vaccinated.

Effective October 1, 2022, the Government of Canada announced the removal of all COVID-19 entry restrictions, including vaccination, testing, quarantine, and isolation requirements for anyone entering Canada.

Key facts

As of June 20, 2022, federal government employees are no longer required to be fully vaccinated.

At the Labour Program, 90% of employees had completed vaccination attestations as of June 2022.

Based on the Labour Program’s available data, 810 employees (99%) were fully vaccinated and seven employees (1%) were requesting accommodations.

Prior to the end of the vaccination mandate for federal government employees, 5 Labour Program employees were on leave without pay for vaccination purposes.

Gender disaggregated data on vaccination status is not available at this time.

Key messages

Throughout the pandemic, the Government of Canada’s response has been informed by expert advice and sound science and research. As the COVID-19 pandemic has evolved, so too have public health measures and advice, which includes vaccination requirements that were always meant to be a temporary measure.

That’s why, on June 14, 2022, the Government announced the suspension of vaccination mandates for domestic and outbound travel, federally regulated transportation sectors and federal government employees effective June 20, 2022.

As part of this announcement, the Government confirmed that it is no longer moving forward with proposed regulations under Part II (Occupational Health and Safety) of the Canada Labour Code to make vaccination mandatory in all federally regulated workplaces.

Vaccination continues to be one of the most effective tools to protect Canadians, including younger Canadians, our health care system and our economy. Everyone in Canada needs to keep up to date with recommended COVID-19 vaccines, including booster doses.

The Government will not hesitate to make adjustments based on the latest public health advice and science to keep Canadians safe. This could include an up-to-date vaccination mandate at the border, the reimposition of public service and transport vaccination mandates, and the introduction of vaccination mandates in federally regulated workplaces, if needed.

4.c. Advancing protections for gig workers and digital platform workers

Issue

Entitling digital platform workers to job protections under the Canada Labour Code (Code).

Background

The Minister of Labour has a 2021 mandate letter commitment to “advance amendments that entitle workers employed by digital platforms to job protections under the Canada Labour Code. This work will also include collaborating with the Minister of Employment, Workforce Development and Disability Inclusion to ensure better benefits and supports for these workers.”

Digital platform workers are gig workers who use electronic intermediaries (that is, platforms) like a smartphone application (for example, Uber and Lyft) to connect with clients who pay them through the platform to provide a service.

As demand for gig work increases, more Canadians are relying on jobs that do not come with the same level of job protection as is enjoyed by other employees in the economy.

Gig workers are often classified as self-employed independent contractors rather than employees, a status that is not covered by most job protections, including:

This is often the result of misclassification, a process through which employees are wrongfully – and often intentionally – classified as independent contractors and denied job protections.

As a result of a lack of job protections, gig workers often experience precarious working conditions and economic vulnerability, including low and unpredictable earnings, unpredictable schedules, and unpaid work time.

Three phases of consultations with stakeholders and the public were conducted between 2021 and 2022 to better understand how current federal labour protections could be updated to better protect gig and digital platform workers.

Key facts

Gig and platform work in Canada

The share of Canadian workers who engage in gig work at some point during a given year increased from 5.5% to 8.2% between 2005 and 2016, with this share expected to have risen to about 10% over the last few years.Footnote 6

About 250,000 Canadians provided ride or delivery services through digital platforms in 2022. Many other services were offered by Canadians through platforms, such as videos, blogs, or podcasts (58,000 workers), programming, coding, web or graphic design (42,000 workers) and teaching or tutoring (41,000 workers).Footnote 7

Gig work and platform work generally falls under provincial and territorial labour jurisdiction. This includes the most well-known forms of gig work, such as driving for Uber and Lyft, or delivering food for SkipTheDishes.

Gig and platform work in federal sectors

It is estimated that there may be up to 41,000 federally regulated gig workers. The majority of these workers operate in the road transportation sector (63%), with significant pockets of gig workers in the courier and postal services (15%) and the telecommunication and broadcasting sector (10%).Footnote 8

Examples of federally regulated gig workers include transport-truck drivers, parcel-delivery persons, and television and radio broadcasting artists and freelancers hired as independent contractors but who often do not have all the characteristics of a true entrepreneur (for example, high level of control over their work, chance of profit or loss, significant investment in and ownership of tools).

Federally regulated gig workers earned an average annual income of $20,300 in 2016 from gig work, and some earning as low as $11,500 annually in the telecommunications and broadcasting sector.

Over 1 in every 3 (36%) federally regulated gig workers had another  wage-earning job (that is, work for which they filed a T4 tax form), meaning that gig work is a secondary source of income for some workers.

Key messages

We have seen gig and digital platform work rapidly expand to cover more segments of the economy, and this is changing the way we work.

Our Government is committed to ensuring that workers in the gig economy are treated fairly and have access to greater labour protections.

To make sure that we get things right, 3 phases of consultations with stakeholders and the public were conducted between 2021 and 2022 to better understand how current federal labour protections could be updated to better protect gig and digital platform workers.

The results of these consultations are being taken into account as the Government develops ways to improve job protections for workers in the gig economy.

4.d. Improving mental health protection in federal workplaces

Issue

Amending the Canada Labour Code to explicitly include mental health as a specific element of occupational health and safety, and requiring federally regulated employers to take preventative steps to address workplace stress and injury.

Background

The Minister of Labour has a mandate commitment to move forward with a secure passage of amendments to the Canada Labour Code (Code) to include mental health as a specific element of occupational health and safety and to require federally regulated employers to take preventative steps to address workplace stress and injury.

Occupational health and safety is covered by Part II of the Code and its related regulations. These apply to federally regulated private sector employers, Crown corporations, the federal public service and parliamentary workplaces, including the House of Commons and the Senate.

In the context of occupational health and safety, protecting mental health is known as psychological health and safety.

While the focus has historically been placed on the physical aspect of health and safety in the workplace, recent Court decisions have interpreted the obligations of employers under Part II of the Code and related regulations as implicitly including psychological health and safety.

Bill C-65, An Act to amend the Canada Labour Code (harassment and violence), the Parliamentary Employment and Staff Relations Act and the Budget Implementation Act, 2017, No. 1, which came into force on January 1, 2021, amended the Code to create a single, integrated regime that will protect federally regulated employees from harassment and violence in the workplace. It also amended the purpose statement of Part II to include a specific reference to “psychological injuries and illnesses.” This is expected to strengthen the view that prevention of psychological illnesses and injuries is part of the employer’s obligation.

Consultations with employers, employees, unions and advocacy/expert stakeholders were conducted between 2020 and 2021 to better understand barriers to preventing psychological illnesses and injury in the workplace.

Key facts

According to the Mental Health Commission of Canada, even before the pandemic 500,000 employees were unable to work each week due to a mental health issue or illness.

According to national polling data collected by Mental Health Research Canada in 2021, 1 in 4 Canadians believe their work is having a significant impact on their psychological health and only about half (53%) would describe their workplace as being psychologically safe. About one third (35%) feel burned out at work. This is even more prevalent among women (39%), racialized workers (41%) and the 2SLGBTQIA+ community (43%).

In recent years, work-related psychological injuries and illnesses resulting in time away from work have been increasing across Canada, along with costs to employers, in both the private and public sectors.

The Mental Health Commission of Canada (MHCC) estimates that mental health problems cost the Canadian economy over $50 billion per year, including the costs of health care, social services and income support. The MHCC also estimates that more than one third (35%) of these overall societal costs are related to work, and that mental health problems in the workplace cost the Canadian economy approximately $6 billion per year in lost productivity (MHCC, 2010; 2013).

Key messages

Mental health is a concern for all Canadians and became even more prominent as a result of the COVID-19 pandemic due to its impact on our work and personal lives.

Mental and physical well-being are inseparable. Including mental health as an explicit element of occupational health and safety and requiring employers to take preventative steps is good for workers and good for productivity.

We heard from experts, unions, employees and employers on the issue at hand and were able to identify barriers that need to be removed to help prevent psychological illness and injury in the workplace.

We are working on a path forward towards improving mental health labour protections for federally regulated employees and fostering psychologically healthy and safe workplaces, and this is informed by the consultations held in 2020 and 2021.

4.e. Violence and harassment free workplaces

Issue

The Minister of Labour’s December 2021 mandate letter included a commitment to continue to support employers and unions to strengthen harassment and violence prevention measures in federally regulated workplaces.

Background

The Government strengthened harassment and violence provisions in the Canada Labour Code (the Code) and introduced the Work Place Harassment and Violence Prevention Regulations (the Regulations) on January 1, 2021.

These amendments create a single, integrated regime that protects federally regulated employees from harassment and violence in the workplace. More specifically:

Starting in 2018-2019, the Government committed $34.9 million over 5 years with $7.4 million per year ongoing to support the implementation of the regime. The funding supported regulatory development, the creation of an outreach hub to support employees as well as the development of educational material and tools along with an awareness campaign to support implementation.

There is also $3.5 million in grants and contributions each year available through the Workplace Harassment and Violence Prevention Fund (WHVPF). This fund aims to support workplace culture change and prevent harassment and violence by funding partner organizations to co-develop specific tools and resources.

The Labour Program also worked closely with the Canadian Centre for Occupational Health and Safety (CCOHS) to establish a Roster of Investigators (Roster).The Roster serves as an online repository of qualified, professional investigators who may be selected by employers or their designated recipients to investigate unresolved occurrences of workplace harassment and violence.

Key facts

In the past 3 years, the Labour Program has seen an overall decrease in both the number of inquiries to its Harassment and Violence Prevention Hub (the Hub) and the number of formal complaints addressed by the Hub.

Table 1: Number of enquiries (Table title included for accessibility)
Fiscal Year Hub Inquiries Formal Complaints Processed
2019 to 2020 1717 367
2020 to 2021 1279 296
2021 to 2022 1538 283

For 2021 to 2022, the formal complaints received through the Hub by sector are broken down as follows:

On January 30, 2023, the Government of Canada officially ratified International Labour Organization (ILO) Convention No. 190, the Violence and Harassment Convention, 2019 (C190), aimed at eliminating violence and harassment in the world of work.

Governments who ratify C190 are required to, among other things, adopt laws, regulations, policies and programs to define, prohibit and prevent violence and harassment, including gender-based violence and harassment, at work.

Key messages

The Regulations are a robust and integrated framework to protect employees, including those in parliamentary workplaces, from harassment and violence in federal workplaces.

Under this integrated regime, federal employers have key obligations to:

The legislation requires a review of the harassment and violence provisions every 5 years, starting January 1, 2026. This will provide an opportunity for the Minister to evaluate the success of the regime and identify any potential changes that may be needed for improvement.

The Workplace Harassment and Violence Prevention Fund was created to provide $3.5 million annually in grants and contributions to help partner organizations create tools and resources that can both prevent harassment and violence and guide cultural change.

Since 2018, seven projects have received funding. These projects have focused on developing tools, resources and training materials for a variety of workplaces across Canada, including workplaces in the marine, trucking, and banking sectors, and also within First Nations communities.

On January 4, 2023, the Department approved 8 new projects that will be announced in the coming weeks. Selected projects will support workplaces through:

Supporting harassment and violence prevention projects across Canada will help make workplaces safer and more welcoming to new and diverse employees, ensuring that everyone feels safe and valued.

Ratification of C190 demonstrates the Government of Canada’s commitment to ending workplace violence and harassment, both at home and abroad.

4.f. Arbitration/Back to work legislation at the Port of Montréal

Issue

Overview of the collective bargaining situation at the Port of Montréal following the coming into force of back to work legislation and the subsequent appointment of a mediator-arbitrator.

Background

The Maritime Employers Association (MEA) and the Syndicat des débardeurs, Canadian Union of Public Employees (CUPE), Local 375, were negotiating the renewal of their collective agreement. This agreement expired on December 31, 2018, and covers all the employees (approximately 1,110) of all the employers engaged in the loading and unloading of vessels, and in other related work, in the territory of the Port of Montréal.

The Labour Program’s Federal Mediation and Conciliation Service began working with the parties in October 2018. Federal mediators and conciliators worked with the parties for more than two and a half years. In spite of this, the parties were unable to reach an agreement.

On May 1, 2021, following multiple work stoppages, escalating job action and 2 general unlimited strikes, the Act to provide for the resumption and continuation of operations at the Port of Montreal (Act) came into force. The Act established a neutral mediation-arbitration process to resolve the issues in dispute between the parties and conclude a new collective agreement.

On May 12, 2021, Mr. André G. Lavoie was appointed as mediator-arbitrator pursuant to the Act. All matters remaining in dispute at that time were referred to him for resolution and he issued his final report on December 9, 2022.

Key facts

On May 25, 2021, the union filed an application with the Superior Court of Quebec. The application alleges that the Act violates their members’ rights to freedom of association protected under section 2(d) of the Canadian Charter of Rights and Freedoms and asks that the court rule the law unconstitutional. The Attorney General of Canada is defending the constitutionality of the Act. The case is still before the Court and no decision on the merits of the application has yet been rendered.

Given the complexity of the issues in dispute between the parties, mediator-arbitrator Lavoie sought and was granted 2 extensions to his mandate.

Mr. Lavoie’s ruling of December 9, 2022, serves as the basis for the new collective agreement between the parties. The new 5-year collective agreement will expire on December 31, 2023.

Key messages

Our Government did everything that it could to support and encourage the parties to reach a new negotiated collective agreement. Federal mediators and conciliators worked closely with the parties for more than two and a half years. In spite of this, the parties were unable to reach an agreement.

On December 9, 2022, mediator-arbitrator André Lavoie issued his ruling, which serves as the basis for the new collective agreement between the Syndicat des débardeurs, Canadian Union of Public Employees, Local 375, and the Maritime Employers Association. The new 5-year collective agreement will expire on December 31, 2023.

Mr. Lavoie was appointed in May 2021 to assist the parties through a neutral mediation-arbitration process to resolve the issues in dispute between the parties and conclude a new collective agreement, as set out in Bill C-29, An Act to provide for the resumption and continuation of operations at the Port of Montreal.

I understand that the union has filed an application to challenge the constitutionality of the Act before the Superior Court of Quebec. Our Government is defending the constitutionality of the legislation.

5. Just transition – Hot issues

5.a. The transition to a net-zero emissions economy through the creation of sustainable jobs

Issue

Actions undertaken and planned by the federal Government to support workers in the transition to a net-zero emissions economy through the creation of sustainable jobs.

Background

The Minister of Labour has a mandate commitment to work with the Minister of Natural Resources to move forward with legislation and comprehensive action to achieve a just transition to a net-zero emissions economy through the creation of sustainable jobs

The proposed framework and legislation for sustainable jobs is aimed at making sure that the federal government is well positioned to contribute to developing a skilled and ready workforce to drive economic opportunities across industries and sectors as Canada transitions to net-zero emissions.

A just transition to a low-carbon economy requires a people-centred approach. To that end, the government facilitated significant stakeholder engagement in 2021 to 2022 with workers and labour organizations, industry, academia, non-governmental organizations, youth, and experts. Meetings continue with provinces, territories, and Indigenous organizations.

Recognizing that each region of the country has a different mix of resources and economic strengths, federal outreach builds on existing regional initiatives, such as the Regional Energy and Resource Tables, which are identifying and pursuing opportunities for economic diversification and sustainable jobs that will lead to sustained growth in a net-zero emissions context.

The 2022 Fall Economic Statement proposed to provide $250 million over 5 years, starting in 2023 to 2024, to Employment and Social Development Canada to help ensure Canadian workers can thrive in a changing global economy. Specific measures include a Sustainable Jobs Training Centre, a new sustainable jobs stream under the Union Training and Innovation Program, and a Sustainable Jobs Secretariat.

Sustainable Jobs Plan

[On February 1, 2023,] the Minister of Natural Resources, the Minister of Labour, and the Minister of Employment, Workforce Development, and Disability Inclusion released the Sustainable Jobs Plan, which is an interim plan for 2023 to 2025 detailing federal actions to support the transition to a net-zero emissions economy and encourage the creation of sustainable jobs.

[If Sustainable Jobs Plan has not yet been released: In the coming weeks/months, the Minister of Natural Resources, the Minister of Labour, and the Minister of Employment, Workforce Development, and Disability Inclusion will release the Sustainable Jobs Plan, which is an interim plan for 2023 to 2025 detailing federal actions to support the transition to a net-zero emissions economy and encourage the creation of sustainable jobs.]

This interim plan precedes and sets an initial frame for the Sustainable Jobs Action Plans that will be released every 5 years starting in 2025 to guide and organize efforts to support the transition to a low-carbon economy.

The plan outlines existing and planned measures across 10 thematic areas to guide Government action to support the creation of sustainable jobs, including establishing legislation that ensures ongoing engagement and accountability. It has been informed by consultations with provinces and territories, Indigenous peoples, workers and unions, industry, environmental organizations, and Canadians.

Legislation

In 2019, the Government of Canada committed to introduce legislation to support workers and their communities in the transition to a low-carbon economy.

Following significant stakeholder consultations, the government is preparing to introduce this legislation in 2023. It will provide a robust federal governance, accountability, and engagement framework that will ensure a coherent and coordinated federal approach for implementing measures that advance sustainable job creation.

Government response to the report of the Standing Committee on Public Accounts

In spring 2022, the Commissioner of the Environment and Sustainable Development released their federal audit, Just Transition to a Low-Carbon Economy, which pointed to a lack of planning, governance, and monitoring and reporting to address this transition.

The Standing Committee on Public Accounts (PACP) has reviewed the audit and tabled a report with recommendations for the government to provide more detailed reporting on the progress to date.

Natural Resources Canada, supported by Employment and Social Development Canada (ESDC), Atlantic Canada Opportunities Agency, and Prairies Economic Development Canada, are in the process of preparing an official Government Response to address these recommendations. The response is due to PACP by February 23, 2023.

Key facts

Public consultations to inform the development of sustainable jobs legislation were launched in July 2021 and have included 17 roundtable sessions with a range of stakeholders, including workers and labour organizations, industry, academia, non-governmental organizations, youth, and experts in skills and training as well as diversity and inclusion.

Since 2015, the Government of Canada has earmarked $120 billion in investments to help achieve climate and environmental objectives, accelerate economic growth, and support the creation of sustainable jobs.

ESDC has also made significant investments in skills programs that have an explicit priority to fund projects that support a net zero economy. Each program aims to eliminate skills gaps through different strategies such as sectoral solutions, community workforce plans, union training and Indigenous partnerships.

Key messages

Advancing sustainable jobs is about supporting an economic transformation to net-zero that provides opportunities for workers and communities, and that all workers have the foundational and transferable skills they need to adapt in the evolving workforce. This transition should be based on well-paid sustainable jobs that are inclusive and provide decent work.

Collaboration is key to our success. That is why the sustainable jobs legislation will be informed by feedback from Canadians and include ongoing mechanisms for engagement. This will ensure Canada’s sustainable jobs measures are aligned with the local realities and reflect the needs and experiences of partners and stakeholders, from labour unions, industry, academia and Indigenous organizations, in a meaningful way. 

The Government continues to consult with a broad range of stakeholders on sustainable jobs to ensure we get this right for workers as we look to move forward with legislation and comprehensive action.

The Sustainable Jobs Plan will represent Canada’s path forward on sustainable jobs and include a set of comprehensive measures and initiatives, bringing together both existing and planned future efforts to drive progress, including those announced in the 2022 Fall Economic Statement.

With this plan, the Government will be committing to an accountability, governance, and engagement framework to guide federal efforts over time, and to help ensure that all Canadians have a real and meaningful chance to succeed in the net-zero emissions economy. [May need to adjust the last 2 bullets depending on release date of the Sustainable Jobs Plan]

6. Fairness – Hot issues

6.a. Pay equity

Issue

The mandate commitment to continue advancing the implementation of the Pay Equity Act across federally regulated workplaces.

Background

In Canada in 2021, for every dollar a man earned, a woman earned 90 cents on the dollar as measured in hourly wages for full-time workers.

The Pay Equity Act and its enabling Regulations came into force on August 31, 2021. With the Act now in force, full implementation primarily entails regulatory development, including the creation of an administrative monetary penalty (AMP) scheme and continuing to work with Indigenous partners to identify potential adaptions to make the Act work for Indigenous Governing Bodies.

Labour Program officials are developing a regulatory package to prescribe key elements of the AMPs system set out in the Act, as well as other requirements, such as how to maintain a pay equity plan in a workplace with no predominantly male job classes.

Initial stakeholder consultations on this regulatory package took place in spring 2022.

The Act does not currently apply to Indigenous Governing Bodies (such as First Nations band councils). These workplaces are excluded from the application of the Act until a date the Governor in Council may specify by order. This delay allows the Government to engage Indigenous Governing Bodies, such as First Nations band councils, and Indigenous community members. Labour Program officials are working with these groups to determine if adaptations to the regime are necessary to tailor the regime to them.

Key facts

The Pay Equity Act legislation directs employers to take proactive steps to ensure that they are providing equal pay for work of equal value.

As of 2022, the Act applies to approximately 1.4 million workers employed by federally regulated public and private sector employers with 10 or more employees, as well as in the Prime Minister’s and Ministers’ offices. The new regime also applies to parliamentary workplaces.

The Act requires employers to establish a pay equity plan within 3 years of becoming subject to the Act. In addition, employers are required to review and update pay equity plans at least every 5 years in order to identify and close any gaps that may emerge.

The Act is administered and enforced by a Pay Equity Commissioner, who is a full-time member of the Canadian Human Rights Commission.

Key messages

We have taken long-overdue action to make equal pay for work of equal value a reality for federally regulated workers.

The Pay Equity Act, which came into force on August 31, 2021, directs employers to take proactive steps to ensure that they are providing equal pay for work of equal value and has brought about a dramatic shift in how the right to pay equity is protected in federally regulated workplaces.

The new regime is administered and enforced by Canada’s federal Pay Equity Commissioner, who is supported by the Pay Equity Division at the Canadian Human Rights Commission.

In this role, the Pay Equity Commissioner assists workplace parties in understanding their rights and obligations under the Act, and in facilitating the resolution of disputes.

I will continue to advance the implementation of the Pay Equity Act by moving forward regulations that will, among other things, strengthen the Commissioner’s ability to encourage compliance.

6.b. Pay transparency

Issue

The Government of Canada fulfils its commitment to addressing pay gaps through the introduction of pay transparency measures for federally regulated, private-sector employers subject to the Employment Equity Act (the Act).

Background

Pay gaps

A pay gap is the average difference between what 2 groups typically earn. A pay gap provides a basic understanding of what the pay balance looks like within an organization. It is determined by comparing the hourly pay of a subject group (for example, women) to a comparator group (for example, men) and expressing it as a dollar value.

Despite narrowing educational and work experience gaps, the gap in pay between men and women persists among workers in Canada. Some of the reasons cited for this ongoing disparity include:

Pay gap reporting

Making pay gap information publicly available can help to shift business culture and expectations towards greater equality. Since 1986, federally regulated employers were already required to provide pay information as part of their reporting obligations under the Act. Prior to the 2022 reporting cycle, the employment equity reports submitted annually by employers were publicly available online but pay gap data was not highlighted.

The new approach will provide Canadians with user-friendly, comparative online information on a Government website on designated group representation rates and pay gaps for each federally regulated private-sector employer. Individual employee information including data related to individual salaries will not be collected or disclosed.

Key facts

While educational and work experience gaps are narrowing, the gap in pay between men and women persists among workers in Canada. In Canada in 2021, for every dollar a man earned, a woman earned 89 cents on the dollar as measured in hourly wages for full-time workers.

Among federally regulated private-sector employees in permanent full-time positions in 2020, 69.0% of men and 57.6% of women earned $60,000 and more per year. This compares to:

Budget 2018 committed $3 million over 5 years, starting in 2018 to 2019, to implement pay transparency for federally regulated private-sector employers with 100 or more employees to reduce pay gaps. On December 3, 2018, Treasury Board approved the funding requested for the pay transparency measures.

Budget 2019 announced amendments to the Employment Equity Act and Regulations to support the implementation of pay transparency measures. Following several rounds of stakeholder consultation, the amendments came into force on January 1, 2021 and apply to the annual employment equity reports submitted by employers on June 1, 2022. Specifically:

The Government’s new pay transparency measures will make pay gap information for women, Indigenous peoples, persons with disabilities and members of visible minorities working in federally regulated workplaces (for example, banking, communications, transportation) publicly available.

Employers reported their first pay gap information for the 2021 reporting year on June 1. This information will be published online in 2023.

Key messages

We will soon be the first country to publish pay gaps that go beyond gender. We will publish pay gaps for women, Indigenous peoples, persons with disabilities and members of visible minorities.

We will launch a new website before the end of 2023. The website will provide the public with user-friendly information on representation rates and pay gaps that affect the 4 designated groups.

The online information will include comparable pay gap information in the form of aggregated percentages for each employer, overall and for each Employment Equity Occupational Group, showing for women, Indigenous peoples, persons with disabilities and members of visible minorities the mean and median hourly pay gaps, the mean and median bonus pay gaps, and the mean and median overtime pay and hours gaps.

Canadians told us that they want pay discrimination to end. It is important that we get this right. This initiative will provide the information needed, so that employers and workers find a solution to recognize the dignity of all workers.

The UK tried it and it works. All large employers in the UK publish gender wage gaps online annually since 2017. The results are clear. Publishing pay gaps raises awareness about this issue.

6.c. Modernizing Federal Contractors Program to ensure federal contractors are paying employees the federal minimum wage

Issue

In 2021, the Government of Canada announced its commitment to modernize the Federal Contractors Program to ensure federal contractors are paying their employees the federal minimum wage.

Background

The Federal Minimum Wage (currently $15.55 CAD)Footnote 9 is enforced through the Canada Labour Code on federally regulated firms. Federal contractors are not covered under the Code.

The intent of the initiative is to ensure that suppliers to the federal government pay their employees at the federal minimum wage level or the provincial rate of pay, whichever is higher.

The Federal Contractors Program (FCP) aims to achieve employment equity outcomes through government procurement. It requires that organizations who do business with the Government of Canada implement employment equity in their workplace.

In advancing this initiative, the Labour Program is collaborating with Treasury Board Secretariat (TBS) and Public Services and Procurement Canada (PSPC) – the largest federal contracting department – to establish a coordinated approach to align federal mandate items across other procurement practices which are also being modernized.

Key facts

In the 2021 mandate letter, the Minister of Labour was asked to implement the federal minimum wage through a modernized FCP.

The FCP applies to provincially regulated organizations that have a combined workforce of 100 or more employees, and that have received an initial goods and services contract valued at $1 million or more (including applicable taxes).

Currently, contractors must ensure their workforce is representative of Canada’s labour force with respect to the members of the 4 designated groups under the Employment Equity Act: women, Indigenous peoples, persons with disabilities, and members of visible minorities.

Since 2013, the FCP has enrolled 408 contractors based on the $1 million contract value threshold which represents a small fraction of the unique contractors that PSPC has contracts with.

Federal contractors working in provinces where the minimum wage is higher than the federal minimum wage (currently British Columbia, Nunavut, and YukonFootnote 10) will not be required to adjust their wages.

Key messages

We believe in equity and are working to level the playing field for all Canadians. Creating equitable, diverse and inclusive workplaces will build a country where every Canadian has a real and fair chance to succeed and contribute to the economy.

This initiative will support workers in organizations that contract with the federal government, lift more Canadians out of poverty, and support our economic recovery.

6.d. Legislation on forced labour in supply chains

Issue

The Minister of Labour, alongside other named Ministers, has a mandate letter commitment to introduce legislation to eradicate forced labour from Canadian supply chains and ensure that Canadian businesses operating abroad do not contribute to human rights abuses.

Background

The Government published a What We Heard Report in March 2022, which provides a summary of the 2019 consultations on possible measures to address labour exploitation in supply chains. Stakeholders were invited to review the Report and share any additional feedback. Overall, stakeholders support the introduction of supply chain legislation, though views differed on the scope and form of potential legislation. For example, while civil society and labour organizations favoured comprehensive, mandatory human rights due diligence (HRDD) requirements, business representatives favoured a reporting-based regime.

Globally, there has been increased attention given to the issue of human rights abuses and labour exploitation in supply chains. Several jurisdictions have introduced or announced planned measures to address labour exploitation and human rights abuses and violations in supply chains, such as a prohibition on the importation of goods produced by forced labour (for example, the United States and the European Commission) and/or supply chain legislation (for example, United Kingdom, France, Australia, Netherlands, Norway, Germany, European Union)

In Canada, parliamentarians are also seized with the issue. Five Senate Public and Private Member’s Bills have been introduced in the Senate and the House of Commons. They propose:

The most notable is Senate Public Bill S-211, which concluded clause-by-clause consideration by the Standing Committee on Foreign Affairs and International Development (FAAE) on November 28, 2022, and was subsequently referred to the House of Commons without amendments on November 30, 2022.

Some stakeholders have expressed concern that the Bill does not go far enough to address the issue of forced labour in supply chains (for example, because it does not include due diligence obligations). Others have noted some operational considerations, including time needed to prepare for implementation.

Irrespective of the outcomes of Bill S-211, the Government remains committed to advancing supply chain legislation that it is strong, effective, and enforceable.

In addition to the Minister of Labour’s mandate letter commitment, there are a number of complementary initiatives across the federal government aimed at tackling the issue of forced labour. These include, for example:

The Canada Border Services Agency (CBSA) is responsible for the administration and enforcement of the Customs Tariff. ESDC’s Labour Program provides support to CBSA by conducting research and analysis on the risk of forced labour for specific complaints or allegations received by CBSA pertaining to the import ban. CBSA may use information from the Labour Program as well as other sources of information to inform potential enforcement considerations.

Key facts

According to the 2022 Global Estimates on Modern Slavery it is estimated that there are 27.6 million people in situations of forced labour worldwide.

In addition, the latest available estimates indicate that child labour has risen for the first time in 20 years, with approximately 160 million children in child labour. Almost half of those in child labour (over 79 million children) are working in dirty, dangerous, and degrading jobs that compromise their health, safety, and education.

World Vision estimates that there are approximately 4.3 million children in situations of forced child labour.

On January 24, 2023, World Vision released its report, Supply Chain Risk Report 2023: Canada’s Growing Child & Forced Labour Problem. The report indicates that there was $48 billion in goods imported into Canada in 2021 that are at risk of being made with forced labour and/or child labour. Some of the goods at risk include electronics, garments and textiles, footwear, coffee, and fish, among others.

Key messages

The Government remains committed to advancing legislation that will eliminate forced labour from supply chains and will continue to work closely with stakeholders and international partners on this issue.

The Government published a What We Heard Report on March 11, 2022, which provides a summary of previous consultations on possible measures to address labour exploitation in supply chains. Submissions were received from a range of organizations and individuals and the Government will continue to consider the results of consultations moving forward. Supply chain legislation is just 1 tool, among many, needed to address forced labour and other forms of exploitation. The Government will continue to work with its partners to strengthen Canada’s overall approach and global efforts to eliminate forced labour.

On Bill S-211

Senate Public Bill S-211 has sparked important dialogue and helped advance the issue of forced labour in supply chains. While the Government supported the referral of S-211 to committee study, some stakeholders have expressed concern that the bill does not go far enough to address the issue of forced labour in supply chains. Others have noted some operational considerations, including time needed to prepare for implementation.

The Government remains committed to advancing supply chain legislation that it is strong, effective, and enforceable.

This is a complex and important issue, and we will continue to work together with stakeholders and international partners to make sure we get it right.

6.e. Legislation to prevent the hiring of replacement workers (anti-scabs legislation): NDP-Liberal Supply and Confidence Agreement

Issue

Introducing legislation by the end of 2023 to prohibit the use of replacement workers when a unionized employer in a federally regulated industry has locked out employees or is in a strike.

Background

The Minister of Labour’s 2021 mandate letter included a commitment to “create a fairer collective bargaining process in federally regulated workplaces by advancing legislation to prohibit the use of replacement workers when a unionized employer has locked out its employees.”

This commitment was updated on March 22, 2022, as part of the Government’s supply and confidence agreement with the NDP, Delivering for Canadians Now, A Supply and Confidence Agreement. Under this agreement, the Government committed to “introducing legislation by the end of 2023 to prohibit the use of replacement workers, ‘scabs,’ when a union[ized] employer in a federally regulated industry has locked out employees or is in a strike.”

On October 19, 2022, the Minister of Labour launched consultations to hear from Canadians and stakeholders on the Government’s commitment to introduce legislation to prohibit the use of replacement workers in federally regulated workplaces by the end of 2023.

The consultations on prohibiting replacement workers and improving the maintenance of activities process under Part I of the Canada Labour Code (Code) closed on January 31, 2023.

From November 2022 to January 2023, the Labour Program held 5 roundtables with union and employer representatives, as well as Indigenous partners on these topics. A What We Heard Report summarizing the input received during the consultations is being prepared and will be released at a future date.

In these sessions, union representatives argued for a strong prohibition on replacement workers with robust enforcement mechanisms. By contrast, employer representatives argued that prohibiting replacement workers is not necessary and that doing so will destabilize labour relations in federal sectors, leading to more and longer work stoppages.

Key facts

The Code does not currently prohibit employers from using replacement workers in the event of a work stoppage in order to continue operations. However, since 1999, it prohibits employers from hiring replacement workers to undermine union representation.

Between June 2011 and October 2022, there were 75 work stoppages in federally regulated sectors. Labour Program research suggests that replacement workers or managers were used in 40% of these work stoppages (that is, 30 of the 75 work stoppages) to perform some or all of the work of bargaining unit members who were on strike or locked out.

Only Quebec and British Columbia have legislation that prohibits employers from using replacement workers during work stoppages.

Numerous Private Members’ Bills (PMBs) have been proposed to strengthen the prohibition against using replacement workers in the Code since 1999. The most recent PMBs were introduced in 2022. However, all previous PMBs were defeated or “died on the order paper” in the House of Commons.

Key messages

The Government is committed to maintaining a fair and balanced approach to labour relations for employers, unions and employees in the federal jurisdiction.

That’s why we have committed to introducing legislation by the end of 2023 to prohibit the use of replacement workers during strikes and lockouts in federally regulated industries.

We know these are important changes, and we know how important it is to get this right. On October 19, 2022, I launched consultations to hear from Canadians and stakeholders on this commitment. I also asked stakeholders to share their views on best way to improve the maintenance of activities process under Part I of the Canada Labour Code.

Consultations closed on January 31, 2023. During this time we held 5 roundtables with employers, unions, and our Indigenous partners. I was glad to attend several of these sessions to hear from stakeholders directly.

We will certainly take those views into account as we develop our legislation over the coming months.

If pressed on a prohibition on replacement workers leading to longer and more frequent strikes

I know that employers and unions have strong views when it comes to prohibiting replacement workers, and what effect this will have on labour relations going forward.

That’s why I made sure to sit down with stakeholders at the table and hear their views and concerns firsthand.

That’s what tripartism is all about – and that’s how you make labour policy that works.

6.f. Menstrual products

Issue

The Minister of Labour’s mandate letter includes a commitment to lead efforts to provide menstrual products in federally regulated workplaces to help ensure menstruating employees’ participation in work.

Background

Regulations under Part II (Occupational Health and Safety) of the Canada Labour Code (the Code) require employers to provide supplies such as toilet paper, soap, warm water, and a means to dry hands. Current requirements do not require employers to provide menstrual products.

Providing menstrual products in the workplace can relieve health risks that menstruating employees may face when menstrual products are not available.

The Labour Program is advancing a regulatory amendment to have federally regulated workplaces provide menstrual products to their employees.

After an extensive period of consultation, the proposed regulations were
pre-published in the Canada Gazette, Part I in October 2022. Overall, feedback received on the initiative was positive (62%) indicating the initiative could further enhance health and wellbeing of federally regulated employees and promote Canada’s values of equity and inclusivity.

Final regulations are expected to be published in Canada Gazette, Part II in spring 2023, anticipated to come into force before the end of 2023.

In November 2022, the NDP introduced Bill C-307, An Act to Amend the Canada Labour Code (menstrual products), which calls for menstrual products to be provided to all persons granted access to the workplace and is broader than the Labour Program’s currently proposed regulations to provide menstrual products to only employees.

The bill’s sponsor, Don Davies (NDP, Vancouver Kingsway), is #134 on the list of consideration for private members’ business (PMB), which means that this bill would not be eligible for debate at second reading until fall 2024. Mr. Davies currently has 27 other PMB items and will only be able to select one.

Key facts

In federally regulated workplaces, close to 500,000 employees, who account for approximately 40% of the workforce, could benefit from the provision of menstrual products.

A 2018 survey found that one third of Canadian women under the age of 25 struggled to afford menstrual products, while 70% have missed work or school, or have withdrawn from social activities, because of their period (Plan Canada International, 2018).

A 2013 study conducted in the United States found that 86% of women have started their period unexpectedly in public without the supplies they need, causing feelings of anxiety or embarrassment, and often resulting in the disruption of workplace activities (Free the Tampons, 2013).

Key messages

The public is increasingly aware that menstrual products are essential to a large proportion of Canadians who menstruate.

Providing menstrual products in the workplace will better protect physical, and psychological health and safety of employees who may need them.

This initiative advances the Government’s commitment to a more inclusive Canada by ensuring all employees’ participation in healthy and safe workplaces.

Final regulations are likely to be published in Part II of the Canada Gazette in spring 2023 with a coming info force date before the end of 2023.

6.g. Supporting working women during pregnancy and while breastfeeding

Issue

The Minister has committed to strengthen provisions in the Canada Labour Code (Code) to better support employees who need to be reassigned during pregnancy and while breastfeeding.

Background

In Québec, the Commission des normes, de l’équité, de la santé et de la sécurité du travail (CNESST) pays pregnant or nursing employees whose job functions pose a risk to their health or the health of their child or fetus, up to 90% of their wages if their employer is not able to reassign them to safer work. Since this entitlement is offered under Quebec’s occupational health and safety legislation, it does not apply to federally regulated workers.

Over the past several years, the Labour Program has received a significant volume of correspondence on the income assistance gap between employees under provincial jurisdiction and federal jurisdiction in Quebec.

Federal jurisdiction

In the federal jurisdiction, Parts II (occupational health and safety) and III (labour standards) of the Code entitle pregnant and nursing employees to request that their employer modify their job functions or reassign them to another job if continuing any of their current job functions poses a risk to their health or to the health of their child or fetus (as attested to in a medical certificate). This request can be made during the period from the beginning of the pregnancy to the end of the 24th week following the birth.

An employee is entitled to take a leave of absence with pay while their employer examines their request for reassignment or job modification. The paid leave ends once the employer modifies the employee’s job functions, reassigns them, or informs them that it is not reasonably practicable to do either.

In situations where the employer cannot modify the employee’s job functions or reassign them, the employee is entitled to an unpaid leave of absence for the duration of the risk as indicated in the certificate. During the leave of absence, the employee may be eligible for certain Employment Insurance special benefits (that is, sickness, maternity or parental), which can cover 55% of their earnings, up to a maximum of $650 a week.

In 2017, the Government expanded the period during which an employee can begin EI maternity from 8 to 12 weeks before the employee’s due date. The period during which an employee can begin maternity leave under the Code was correspondingly expanded from 9 to 13 weeks. This was done to allow pregnant workers to withdraw from the workplace earlier, for any reason, including to avoid risks related to their pregnancy.

Since September 2019, the Code also provides for unpaid nursing breaks for employees to nurse or to express breast milk.

Finally, the Code also prohibits an employer from dismissing, suspending, demoting, or disciplining an employee because they are pregnant or have indicated their intention to take maternity leave. A pregnant employee who is facing such discrimination can file a complaint under the Code’s reprisal recourse. Remedies could include reinstatement and financial compensation for lost wages.

Québec

In Quebec, the Act respecting occupational health and safety provides that an employee is entitled to be reassigned if, in the case of a pregnant employee, their working conditions may be physically dangerous, or in the case of a nursing employee, their working conditions involve risks, as attested to in a medical certificate.

If reassignment is not made immediately, the employee is entitled to go on preventive withdrawal until the reassignment is made or until the date of delivery or until the employee is no longer breastfeeding.

During preventive withdrawal, the worker is entitled to an income replacement indemnity, which is administered by the Commission des normes, de l’équité, de la santé et de la sécurité du travail (CNESST). This part of Quebec’s program differs from the federal jurisdiction as it provides a paid leave, whereas the federal program does not (except if voluntarily provided by employers).

For the first 5 working days, the worker is on preventive withdrawal; during this time, the employer must pay the worker 100% of their regular wages. From that point on, the worker receives an income replacement indemnity equivalent to 90% of their net income (up to a maximum assessable income of $91,000).

The worker is eligible to receive preventive withdrawal benefits until 4 weeks before the week of the expected date of delivery — at that time, they must switch to the Québec Parental Insurance Plan (QPIP). If the worker is not eligible for the QPIP, they may receive the CNESST income replacement indemnity until the date of delivery. In the case of preventive withdrawal while breastfeeding, the worker is entitled to this for as long as they are breastfeeding.

Key facts

Part III of the Code sets labour standards for employees in the FRPS, including about, 945,000 employees (roughly 6% of the Canadian employees) and 19,000 employers.

Women account for approximately 35.3% of the workforce in federally regulated workplaces in Canada.

Key messages

The Government is committed to better support employees who are nursing or pregnant by strengthening provisions for maternity-related reassignment and leave under the Canada Labour Code.

The Labour Program is currently developing policy to address this commitment.

6.h. Labour Mobility Deduction for Tradespeople

Issue

The Labour Mobility Deduction for Tradespeople introduced in Budget 2022 provides tax recognition on up to $4,000 per year in eligible travel and temporary relocation expenses to eligible tradespeople and apprentices working in the construction industry.

Background

The Labour Mobility Deduction allows eligible workers to deduct eligible expenses of up to half of their employment income from a relocation, up to a total of $4,000 per year. Eligible expenses are amounts incurred for temporary lodging, round-trip transportation, and meals in the course of that round trip.

This measure was introduced in response to a commitment in the mandate letter of the Deputy Prime Minister and Minister of Finance. Your mandate letter asked that you support the Minister of Finance and Deputy Prime Minister in respect of this commitment.

The Labour Mobility Deduction was enacted on June 23, 2022, when Parliament passed Bill C-19, the Budget Implementation Act, 2022, No. 1.

Key facts

As announced in Budget 2022, the Labour Mobility Deduction is estimated to cost $595 million over 2021 to 2022, to 2026 to 2027.

People will be able to start claiming the Labour Mobility Deduction in spring 2023 when filing their 2022 tax returns.

Key messages

Canada is growing, and that means more homes, roads, and important infrastructure projects need to be built. Skilled trades workers are essential to Canada’s success and we need them to be able to get to the job site—no matter where it is.

Workers in the construction trades often travel to take on temporary jobs, and prior to the introduction of the Labour Mobility Deduction for Tradespeople in Budget 2022, their associated expenses often did not qualify for tax relief.

Improving labour mobility for workers in the construction trades can help to address labour shortages and ensure that important projects, like housing, can be completed across the country.

[If pressed on Private Member’s Bill C-241]

The Government supports the principle of Private Member’s Bill C-241, namely facilitating labour mobility for tradespeople by ensuring that their expenses are recognized for tax purposes when relocating for work. That is why the Government has already introduced and implemented the Labour Mobility Deduction for Tradespeople in Budget 2022, which achieves this objective.

6.i. The federal minimum wage under Part III of the Canada Labour Code and Inflation

Issue

Minimum wage for employees working in federally regulated workplaces and the current impacts on collective agreements negotiations.

Background

Building a strong economy is an important issue for the Government. Canada’s prosperity and stability depend on every Canadian having a fair chance to join the middle class.

The Government introduced amendments in the Canada Labour Code, Part III on December 29, 2021, to establish a federal minimum wage of $15.00 per hour, indexed to account for inflation.

On April 1, 2022, the federal minimum wage increased to $15.55 an hour.

On April 1, 2023, the federal minimum wage will be increased to $16.65 per hour.

Key facts

The federal minimum wage directly benefits over 26,000 workers.

As in the federal public service negotiations, the inflationary pressure on wages is a real concern in federal private sector bargaining.

Wage settlements have varied widely but are higher than they have been. For example, an Atlantic port authority is paying its staff over 30% over 4 years, and a deal with VIA Rail and Unifor is coming in at 6.5% in the first year.

Collective agreements coming up for renewal have pre-pandemic / pre-inflation wage rates. There is frustration with the current wage levels and an expectation that these should increase. There is an expectation that it will remain a significant issue at the table over the course of the next months.

This is having an impact on a number of high-profile collective agreements between unions and employers in ports and railways, which are either expired or set to expire soon. Any work stoppage in a large port or in the freight railway network will create significant problems for the movement of goods into, out of, and across Canada.

Key messages

For employees working in minimum-wage jobs, trying to support themselves and their families, every dollar makes a difference. Whether it be at the grocery store, in their housing payments or simply making ends meet, affected workers benefit when the minimum wage rises. 

No one working full-time in Canada should live in poverty. To further support Canadians to join the middle class and to address inflation, the minimum wage will be increased to $16.65 an hour as of April 1, 2023.

The Government introduced the federal minimum wage which sets a threshold and increases with inflation, with provisions to ensure that where the provincial or territorial minimum wage is higher, that minimum wage prevails.

Before setting a federal minimum wage, employees working in federally regulated workplaces, were receiving the minimum wage rate set by the province in which they were employed. Current provincial and territorial rates are:

7. Overview - Supplementary Estimates (B) for fiscal year ending March 31, 2023

7.a. Employment and Social Development (ESDC) 2022 to 2023 Supplementary Estimates (B) Items requested by Vote (in dollars)

Table 2: Voted appropriations (in dollars)
A. Voted appropriations (in dollars) Total
1. Funding for the Black-Led Philanthropic Endowment Fund [4 words redacted] 199,906,399
2. Funding to increase Old Age Security workload capacity [4 words redacted] 46,420,245
3. Funding for the Temporary Foreign Worker Program for rebasing Labour Market Impact Assessment processing (Budget 2022) [4 words redacted] 18,742,308
4. a) Funding to stabilize information technology to support program delivery [4 words redacted] 14,839,250
4. b) Funding to stabilize information technology to support program delivery (Reprofile) 1,412,157
4. Total funding to stabilize information technology to support program delivery 16,251,407
5. Funding to increase the reach of Temporary Foreign Worker Program inspections to the extent possible (horizontal item) [4 words redacted] 13,810,143
6. Funding to build a more inclusive and prosperous Canada under the Disability Inclusion Action Plan (Budget 2022) [4 words redacted] 13,610,520
7. a) Funding for the Benefits Delivery Modernization: planning for the onboarding of Old Age Security (Reprofile) 11,529,335
7. b) Funding for the Benefits Delivery Modernization – Tranche 1 Implementation: Foundations Phase (Reprofile) 2,001,915
7. Total funding for the Benefits Delivery Modernization 13,531,250
8. a) Funding for the Canada Emergency Response Benefit Integrity Measures (Reprofile) 1,779,738
8. b) Funding for the Employment Insurance Emergency Response Benefit Integrity Measures (Reprofile) 11,669,497
8. Total funding for the Canada Emergency Response Benefits integrity measures 13,449,235
9. Funding to improve the quality of the Temporary Foreign Worker Program inspections and begin rebuilding the Employer Compliance Regime (Budget 2022) [4 words redacted] 13,300,680
10. Funding to address labour demand and training the workforce of the future (Budget 2022) [4 words redacted] 13,262,114
11. Funding to enhance the New Horizons for Seniors Program (Budget 2022) [4 words redacted] 10,000,000
12. Funding for government advertising programs (horizontal item) [4 words redacted] 6,000,000
13. Funding to implement public health measures for in-person services at Service Canada Centres (Budget 2022) [4 words redacted] 5,941,433
14. Funding for Early Learning and Child Care (Reprofile) 4,422,857
15. Funding for the Investment Readiness Program (Reprofile) 4,356,106
16. Funding to amend the Canada Labour Code to implement ten days of paid medical leave [4 words redacted] 3,104,112
17. Funding for retroactive compensation [4 words redacted] 2,155,118
18. Funding for Indigenous Early Learning and Child Care (Reprofile) 1,885,963
19. Funding for the Employment Equity Act review (Budget 2022) [4 words redacted] 1,722,859
20. Funding for the Employment Equity Act review (Reprofile) 800,000
21. Funding for the resettlement of Afghan refugees (Budget 2022) (horizontal item) [4 words redacted] 169,135
Total voted appropriations 402,841,884

Table 3: Transfers (in dollars)

B. Transfers (in dollars) Total
22. From the Department of Indigenous Services to the Department of Employment and Social Development for the Indigenous Early Learning and Child Care Transformation Initiative 14,587,931
23. Internal reallocation of resources from Apprenticeship Grants ($115,000) to the Support for Labour Market Information in Canada grants 0
24. Internal reallocation of resources from Apprenticeship Grants ($42,204,322) and Grant for the Union Training and Innovation Program ($1,300,000) to Canadian Apprenticeship Strategy grants 0
25. From various organizations to the Treasury Board Secretariat to support the Capacity Accelerator Project -30,000
26. From the Department of Employment and Social Development to the Department of Natural Resources in support of the 2 Billion Trees program activities -125,000
27. From the Department of Employment and Social Development to the Department of Crown-Indigenous Relations and Northern Affairs to support Indigenous Skills and Employment Training and Indigenous Early Learning and Child Care -27,087,752
Total Transfers -12,654,821

Table 4: Statutory Budgetary Authorities and Total Supplementary Estimates (B) Authorities (in dollars)
C. Statutory Budgetary Authorities (in dollars) Total
28. Contributions to employee benefit plans 21,202,344
Grand Total Supplementary Estimates (B) 2022‑23 411,389,407

7.b. Supps B Cards subject: Tabling of Employment and Social Development Canada’s Supplementary Estimates (B) for fiscal year ending March 31, 2023

Issue A10

Why is Employment and Social Development Canada (ESDC) requesting $13.3 million to address Labour demand and training the workforce of the future in the Supplementary Estimates (B) for fiscal year ending March 31, 2023? 

Key facts

Canada is facing significant labour shortages across the country. The structural workforce challenges that impeded economic growth and stability long before the pandemic, such as digital disruptions, automation, and population aging, are ever present and will continue to accelerate in the coming years.

Investing in Canada’s workforce to improve the labour market integration of skilled newcomers and equity-deserving groups, such as women, Indigenous people, persons with disabilities and individuals from racialized communities, is essential to addressing labour shortages and strengthening Canada’s economy.

ESDC is requesting $13.3 million in 2022-2023 through Supplementary Estimates B to support key sectors of the economy to address skills and labour shortages, as well as increase opportunities for equity-deserving groups.

The requested $13.3 million is part of the $115 million over five years (2022-2023 to 2026-2027) announced in Budget 2022, with $30 million ongoing for the Foreign Credential Recognition Program (FCRP), and $84.2 million over four years (2022-2023 to 2025-2026) for the Union Training and Innovation Program (UTIP).

For fiscal year 2022-2023, the funding to be derived from Supplementary Estimates (B) includes $4,536,268 for FCRP and $8,725,846 for UTIP, totalling $13,262,114 or approximately $13.3 million.

This funding will be used to:

Response

Canada is facing significant labour shortages across the country.

The funding requested will help support the labour market integration of skilled newcomers with an initial focus on internationally educated health professionals.

This funding will also be used to help women, persons with disabilities, Indigenous people, and racialized Canadians start careers in Red Seal trades, including through mentorship, career services and job matching.

These investments will help Canadians get the skills they need to succeed in the job market and connect workers to employers in in the sectors that are in demand.

Background
Foreign Credential Recognition Program

The Foreign Credential Recognition Program (FCRP) is a contributions program that supports the labour market integration of skilled newcomers through:

Since 2009, the annual FCRP budget had remained at $27.1 million, while the cost of providing services and the number of skilled newcomers entering Canada had increased. The 2020 Fall Economic Statement announced additional funding of $15 million for 2021-2022.

Budget 2022 announced $115 million over five years, starting in 2022-23, and $30 million per year ongoing to expand the FCRP with an initial focus on the health sector.

Helping newcomers is a responsibility shared by federal departments. While Immigration, Refugees and Citizenship Canada is mainly responsible for the general integration of all newcomers, ESDC plays a crucial role in the integration of skilled newcomers into the labour market, through the FCRP.

Foreign credential recognition is a complex process, as provinces and territories are responsible for most regulated professions and trades, and in most cases they further delegate that authority in legislation to regulatory bodies. Within Canada, there are more than 600 regulators overseeing more than 150 regulated occupations.

Since 2015, the Program has invested nearly $125 million in 90 projects to support skilled newcomers.

Table 5: Funding for Foreign Credential Recognition Program
Funding ($) and FTE Existing funding

(DP 2022-23)

 Supplementary Estimates B* Total funding
FTE 47 17 64
Salary 4,178,251 1,421,709 5,599,960
O and M 531,041 314,559 845,600
Total Operating (Vote 1) 4,709,292 1,736,268 6,445,560
G and C (Vote 5) 21,420,000 2,800,000 24,220,000
Sub- Total 26,129,292 4,536,268 30,665,560
EBP 626,738 383,861 1,010,599
Total FCRP 26,756,030 4,920,129 31,676,159

*Includes internal services resources

Union Training and Innovation Program (UTIP)

Budget 2022 committed to providing $84.2 million over four years to double funding for the Union Training and Innovation Program. Each year, the new funding would help 3,500 apprentices from equity-deserving groups begin and succeed in careers in the skilled trades through mentorship, career services, and job-matching.

The program currently provides $25 million annually to support union-based apprenticeship training, innovation and enhanced partnerships in the Red Seal trades through two streams of funding:

For both streams, priority is given to projects that target the participation and success of equity-deserving groups (for example, women, Indigenous people, racialized communities, persons with disabilities, and newcomers); and involve partnerships with employers, community and non-profit groups, training providers, provinces and territories, Indigenous communities, and colleges.

Unions serve as a primary delivery agent of training of apprentices and offer access to equipment and training centres that enable apprentices to access hands-on learning opportunities to practice their skills prior to working on site. An estimated one in three workers in Red Seal trades (33%) is a union member.

Table 6: Funding for Union Training and Innovation Program
Funding ($) and FTE Existing funding
(DP 2022-23)		 Supplementary Estimates B* Total funding
FTE 16 14 30
Salary 1,283,147 1,176,570 2,459,717
O and M 164,256 715,790 880,046
Total Operating (Vote 1) 1,447,403 1,892,360 3,339,763
G and C (Vote 5) 23,000,000 6,833,486 29,833,486
Sub- Total 24,447,403 8,725,846 33,173,249
EBP 192,472 317,674 510,146
Total UTIP 24,639,875 9,043,520 33,683,395

*Funding includes internal services

Total funding requested for UTIP and FCRP in the Supplementary Estimates B (excl. EBP): $13,262,114

Key quotes

NIL

  • Prepared by:
    • Lindsay McGraw, Senior Policy Analyst, Skilled Newcomers, Employment Integration and Partnership Division
    • Marie-Eve Chagnon, Senior Policy Analyst, Trades & Apprenticeship Division
  • Key contact:
    • Erin Connell, Director, Skilled Newcomers, Employment Integration and Partnership Division, [phone number redacted]
    • Cara Scales, A/Executive Director, Trades and Apprenticeship Division, [phone number redacted]
  • Approved by:
    • Chris Bates, Director General, Apprenticeship and Sectoral Initiatives Directorate, [phone number redacted]
  • Date:
    • October 17, 2022

Issue A12

Why is Employment and Social Development Canada (ESDC) requesting $6.0 million for government advertising programs in the Supplementary Estimates (B) for fiscal year ending March 31, 2023? 

Key facts

In line with Budget 2022, one of the Government of Canada’s goals is putting in place measures to address barriers faced by persons with disabilities to finding meaningful and well paid work.

Budget 2022 focused on ensuring that Canadian seniors have a secured and dignified retirement and that programs and services are developed to respond to Canada’s aging population.

Budget 2022 stated that the government is focused on connecting workers to good jobs in growing sectors, by creating new opportunities and increasing diversity in the trades, and helping Canadians gain the foundational skills needed to succeed in today’s economy.

The Government communicates with the public in both official languages to inform Canadians of policies, programs, services and initiatives, and of Canadians’ rights and responsibilities under the law.

Response

For the 2022-2023 Supplementary Estimates (B), the Department requested $6 million for advertising campaigns.

A budget of $0.5 million will be allocated to the “Inclusive Workplaces” campaign. This campaign promotes hiring persons with disabilities.

A budget of $2.5 million will be allocated to the “Services for Seniors’’ campaign. This campaign promotes programs and services related to seniors.

A budget of $3 million will be allocated for the “National Skilled Trades” campaign. This campaign promotes the skilled trades as a first choice career.

Background
Table 7: Funding for government advertising programs
Funding ($) Existing funding Supplementary Estimates B Total funding
O and M 1,500,000 6,000,000 7,500,000
Total Operating (Vote 1) 1,500,000 6,000,000 7,500,000
Program objectives

The 2022 to 2023 advertising campaign’s objectives are:

Allocation of funds

ESDC, in collaboration with Public Services and Procurement Canada (PSPC), will establish contracts with advertising agencies via the advertising standing offer process. Contracting is managed through PSPC. Funds are allocated to cover the costs of the planning, production, media buy and evaluation of the advertising campaigns.

Anticipated results

Inclusive Workplaces:

Services for Seniors:

National Skilled Trades:

Monitoring and measurement

The advertising campaigns will be evaluated through the following:

For information only

In 2021 to 2022, ESDC’s Jobs and Skills campaign received $1.5 million for phase II of the campaign that started on September 1st and will end on November 14, 2022. This phase informs young and adult Canadians about the various programs available to help them gain the skills they need to prepare for today's labour market and drive them to the new Develop Your Skills campaign page for more information on specific initiatives.

Key quotes

NIL

  • Prepared by: Meagan Campbell, Senior Communication Advisor, Marketing and Advertising, PASRB
  • Key contact: Stéphanie Leroux, Director, Marketing and Advertising, PASRB, [phone number redacted]
  • Approved by: Timothy Weil, General Director Employment Communications and Operations Directorate, [phone number redacted]
  • Date: October 7, 2022

Issue A16

Why is Employment and Social Development Canada (ESDC) requesting $3.1 million to amend the Canada Labour Code to implement ten days of paid medical leave in the Supplementary Estimates (B) for fiscal year ending March 31, 2023? 

Key facts

The Prime Minister’s 2021 mandate letter to the Minister of Labour directs the Minister of Labour to introduce ten days of paid medical leave for all federally regulated workers. The Labour Program is responsible for the management and implementation of this priority.

Through a deferred Budget 2022 decision, ESDC received $9.3 million over three years starting in 2022 to 2023 to Implement ten days of paid medical leave for federally-regulated employees.

To ensure that the Labour Program has the capacity to effectively prepare for and implement and enforce the legislation, ESDC is requesting $3.1 million in the Supplementary Estimates (B) for fiscal year ending March 31, 2023.

In terms of the introduction of possible new entitlements, paid leaves are among the most costly for the Labour Program to administer. As such, this funding will be used to develop training, guidance and communications; update information technology systems; and adapt its compliance and enforcement strategies.

Response

Provisions of Bill C-3 and Bill C-19, once in force, will introduce ten days of paid medical leave for employees in the federal jurisdiction. The legislation and accompanying regulations are both set to come into force on December 1, 2022.

To ensure the effective implementation of paid medical leave, $3.1 million is needed for the fiscal year ending March 31, 2023.

This funding will ensure that the Labour Program is able to inform stakeholders of the new paid medical leave and also ensure the effective enforcement of this new entitlement.

Background
Table 8: Funding to amend the Canada Labour Code
Funding ($) and FTE Existing funding Supplementary Estimates B Total funding
FTE 0 27 27
Salary 0 2,254,049 2,254,049
O and M 0 850,063 850,063
Total Operating (Vote 1) 0 3,104,112 3,104,112
EBP 0 608,593 608,593
Total 0 3,712,705 3,712,705

ESDC is seeking $3.1 million for fiscal year ending March 31, 2023 for 27 FTEs. The 27 FTEs requested will be responsible for developing educational and guidance materials; updating information systems; informing inspectors of the changes; and responding to complaints and enforcing the new legislative requirements.

The funds will allow ESDC to engage in program and policy development during and after the development of the supporting regulations, such as develop training and guidance; develop communications materials to clearly outline the requirements placed on employers and the rights available to employees in order to improve clarity and ensure a smooth implementation; update information technology systems; and, adapt compliance and enforcement strategies through additional Labour Affairs Officers, Technical Advisors, and Early Resolution Officers to handle the expected increase in monetary and non-monetary complaints.

Key quotes

"Paid sick leave will protect workers and their families, protect their jobs, and protect their workplaces. It's an important step in the fight against COVID-19 and a necessary addition to the social safety net that organized labour has been advocating for. We look forward to working with the provinces and territories to expand access to paid sick leave across the country.”

Minister of Labour, Seamus O’Regan Jr. 
  • Prepared by: Alexandre Syvrais-Gallant, Policy Officer
  • Key contact: Annic Plouffe, Acting Director
  • Approved by: Brenda Baxter, Assistant Deputy Minister, Compliance, Operations and Program Development
  • Date: October 14, 2022

Issue A19

Why is Employment and Social Development Canada (ESDC) requesting $1.7 million for the Employment Equity Act Review (Budget 2022) in the Supplementary Estimates (B) for fiscal year ending March 31, 2023?

Key facts

Diversity is Canada’s strength. One of the ways the Government of Canada promotes equality and diversity is through the Employment Equity Act. Removing barriers to employment helps build a country where every Canadian has a fair and equal chance to reach their full potential.

Since the introduction of the Act in 1986, continued progress has been made in federally regulated workplaces for the four designated groups under the Act – women, Indigenous Peoples, persons with disabilities and members of visible minorities.

However, many workers are still facing barriers to employment. Economic and social changes have also occurred, and the understanding of equity, diversity and inclusion has evolved.

The House of Commons Standing Committee on Human Resources, Skills Development and the Status of Persons with Disabilities conducted the last systematic review of the Act in 2002.

That’s why we launched an independent Task Force on July 14, 2021, to conduct an extensive review of the Act.

In the coming months, the Task Force will issue a report that includes concrete, independent and evidence-based recommendations on how to modernize the Act.

Response

As announced in the Budget 2022, ESDC is requesting $1.7 million in the Supplementary Estimates (B) for fiscal year 2022 to 2023 to support the completion of the Employment Equity Act Review.

This amount is comprised of operating funding to allow ESDC to secure the skills and resources required to support the Task Force with consultation management and planning, research, policy analysis, and communications. This amount takes into account the expanded scope of the review and the accelerated timelines for its completion.

After completing its review of the Act, the Task Force will make recommendations to the Minister of Labour on how best to adjust the Act to the new sociodemographic, economic and political realities of the Canadian society and its labour market. A final report is expected to be issued December 31, 2022.

Following a review of the Task Force’s recommendations, the Government will determine the feasibility, scope and processes for their implementation. The Labour Program within ESDC is expected to propose legislative, regulatory, policy and/or program changes emerging from the Review.

Background
Table 9: Funding for the Employment Equity Act Review
Funding ($) and FTE Workplace Equity – existing funding

(Departmental Plan 2022-23)

 Employment Equity Act review – Supplementary Estimates B*

(Consolidated Estimates Authorities Attestation)

 Total funding
FTE 22 6 28
Salary 2,062,952 571,422 2,634,374
O and M 340,973 1,151,437 1,492,410
Total operating (Vote 1) 2,403,925 1,722,859 4,126,784
G and C (Vote 5) 2,500,000 0 2,500,000
Sub- Total 4,903,925 1,722,859 6,626,784
EBP 309,443 154,282 463,725
Total 5,213,368 1,877,141 7,090,509

* Funding includes internal services

The 2020 Fall Economic Statement provided $4,000,000 in fiscal year 2021 to 2022 to support an independent task force to study, consult, and advise on how to improve the federal employment equity framework. This amount included $3,200,000 in operating expenditures to support the Secretariat and the remuneration and operations of the Task Force, as well as $800,000 in grants and contribution funding for consulting with grassroots Indigenous and disability organizations and communities.

In January 2021, the Minister of Labour mandate letter included a commitment to launch a review of the Act.

The Employment Equity Act Review was launched in July 2021, and the Task Force suspended its activities in the summer of 2021 following the dissolution of Parliament due to the 2021 federal election.

In December 2021, the mandate letter of the Minister of Labour was adjusted to accelerate the Review and ensure timely implementation of improvements. Budget 2022 provided $1.9 million to support the completion of a comprehensive review of the Act and its supporting programs in fiscal year 2022 to 2023.

The Task Force resumed its activities in January 2022. In June 2022, the Task Force completed its engagement with stakeholders and partners, where it heard about their lived experiences, needs and views on issues related to equity.

New funding

The total cost of new funding, including employee benefit plans (EBP) is $1,877,141 in 2022 to 2023. Salary costs will provide funding for full-time equivalents (FTEs) to support completion of the Review through administrative services, research, analysis, and communications. Non-salary costs include Task Force member compensation, travel and hospitality; external research; enhanced engagement with Two-Spirit, Lesbian, Gay, Bisexual, Transgender, Queer or Questioning, Intersex (2SLGBTQI) communities; official languages requirements; licenses and office support; and corporate costs and costs for Shared Services Canada.

Key quotes

Nil

  • Prepared by: Eldon Holder, Executive Director, Employment Equity Act Review Secretariat, Labour Program
  • Key contact:  Zia Proulx, Director General, Strategic Policy, Analysis, and Workplace Information Directorate, Labour Program, [phone number redacted]
  • Approved by: Rakesh Patry, acting Senior Assistant Deputy Minister for Gary Robertson, Senior Assistant Deputy Minister, Policy, Dispute Resolution and International Affairs, Labour Program, [phone number redacted]
  • Date: October 13, 2022

Issue A20

Why is Employment and Social Development Canada (ESDC) requesting to reprofile $0.8 million for the Employment Equity Act Review in the Supplementary Estimates (B) for fiscal year ending March 31, 2023?

Key facts

Diversity is Canada’s strength. One of the ways the Government of Canada promotes equality and diversity is through the Employment Equity Act. Removing barriers to employment helps build a country where every Canadian has a fair and equal chance to reach their full potential.

Since the introduction of the Act in 1986, continued progress has been made in federally regulated workplaces for the four designated groups under the Act – women, Indigenous Peoples, persons with disabilities and members of visible minorities.

However, many workers are still facing barriers to employment. Economic and social changes have also occurred, and the understanding of equity, diversity and inclusion has evolved.

The House of Commons Standing Committee on Human Resources, Skills Development and the Status of Persons with Disabilities conducted the last systematic review of the Act in 2002.

That’s why we launched an independent Task Force on July 14, 2021, to conduct an extensive review of the Act.

In the coming months, the Task Force will issue a report that includes concrete, independent and evidence-based recommendations on how to modernize the Act.

Response

Of the funding granted in the Fall Economic Statement 2020, Employment and Social Development Canada (ESDC) requested a re-profile of $0.8 million of lapsed funds under the Employment Equity Act review, related to enhanced community engagements that target more local and grassroots Indigenous and disability organizations.

A key element to achieving the policy objective associated with modernizing the Employment Equity Act is the issuance of one-time grants and contributions funding to National Indigenous and Disability Organizations through Engagement Protocol Agreements, and the Social Development Partnerships Program – Disability, respectively.

The reprofile is required to enable organizations representing these equity-seeking and equity-deserving communities to target more grassroots Indigenous and disability communities and, therefore, allow for an even wider range of views to be captured and shared with the Task Force.

Should the reprofile be denied, this would impair the ability of some organizations to participate in the work of the Task Force, and it could severely limit the completeness of the Task Force’s review as well as hinder the achievement of policy objectives.

Background
Table 10: Funding for the Employment Equity Act Review
Funding ($) Existing Funding Supplementary Estimates B

(Reprofiles)

 Total Funding
Grant - Social Development Partnership Program 23,728,540 400,000 24,128,540
Contribution - Indigenous Skills and Employment Training Program 247,586,021 400,000 247,986,021
Total 271,314,561 800,000 272,114,561

The Minister of Labour’s January 15, 2021, supplementary mandate letter contains a commitment to launch a review of the Employment Equity Act, “as we advance work on equity, diversity and inclusion for women, LGBTQ2 Canadians, Indigenous Peoples, Black and racialized Canadians, persons with disabilities and other underrepresented groups.” The Minister’s December 16, 2021, mandate letter includes a commitment to accelerate the review of the Act and ensure timely implementation of improvements.

The Task Force consists of 12 members and has a mandate to study various issues related to equity, diversity and inclusion in the workplace and engage with stakeholders, various partners and the public to hear their views on these matters.

During initial deliberations in late July 2021, the Task Force assessed the proposed engagement calendar and activities. The Task Force requested $800,000 in funding to expand the enhanced engagement approach, originally targeting Indigenous Peoples and persons with disabilities, to include additional equity groups such as Black Canadians and Two-Spirit, Lesbian, Gay, Bisexual, Transgender, Queer or Questioning, Intersex (2SLGBTQI) communities. The Task Force requested funding commensurate with what was provided to Indigenous partners and disability organizations.

These Task Force requests were not included in the original fall 2020 budget planning exercises because the Task Force members were not identified at the outset of the Review. However, these current requests are more aligned with the intent of the Review.

The Review work plan of July 2021 anticipated that the Task Force would complete public consultations, engagement sessions, research and a final report by March 2022. Due to the call of the federal election in August 2021, the Task Force suspended its activities under the Caretaker Convention and resumed its work in January 2022.

The new timeline ensures that the Task Force can conduct meaningful engagement, public consultation, research, and have access to timely data and research to inform its findings and recommendations. The Task Force plans to complete its engagement and consultation activities by October 2022, and issue a final report to the Minister of Labour by December 31, 2022. The Review Secretariat will then assess the recommendations, and develop options shortly thereafter.

Key quotes

Nil

  • Prepared by: Eldon Holder, Executive Director, Employment Equity Act Review Secretariat, Labour Program
  • Key contact: Zia Proulx, Director General, Strategic Policy, Analysis, and Workplace Information Directorate, Labour Program, [phone number redacted]
  • Approved by: Rakesh Patry, acting Senior Assistant Deputy Minister for Gary Robertson, Senior Assistant Deputy Minister, Policy, Dispute Resolution and International Affairs, Labour Program, [phone number redacted]
  • Date: October 13, 2022

7.c. ESDC 2022 to 2023 Supplementary Estimates (B) overview

ESDC is requesting a total of $411.4 million in additional authorities through the Supplementary Estimates (B), which would bring the total planned spending to $174.8 billion.

Figure 1: ESDC Total Planned Spending and Estimates to Date
Figure 1: ESDC Total Planned Spending and Estimates to Date
Descriptive text:

Figure on the left: ESDC total planned spending is $174.8 billion

  • EI Benefits planned spending is $24.8 billion or 14.2% of total planned spending
  • CPP Benefits planned spending is $57.2 billion or 32.7% of total planned spending
  • Other EI and CPP Recoveries and Workers Compensation planned spending is $2.5 billion or 1.4% of total planned spending
  • EI and CPP Operating Costs planned spending is $2.6 billion or 1.5% of total planned spending
  • Estimates to date (Main Estimates plus Supplementary Estimates A plus Supplementary Estimates B) represents $87.7 billion or 50.2% of total planned spending

Figure on the right: ESDC Estimates to date is $87.7 billion

  • Statutory planned spending is $75.7 billion or 86% of total Estimates to date
  • Vote 1 – Operating Expenditures planned spending is $1.4 billion or 2% of total Estimates to date
  • Vote 5 – Grants and Contributions planned spending is $10.6 billion or 12% of total Estimates to date

Of the $174.8 billion in planned spending, $87.7 billion is reported in the Estimates, out of which $86.3 billion are statutory and voted transfer payment programs. The following Labour voted and statutory programs are included in ESDC’s planned spending:

Of the $411.4 million requested through Supplementary Estimates (B), the following items fall under the responsibility of the Minister of Labour:

Figure 2: Canadians have access to ESDC services at 600 points of service

Figure 2: Canadians have access to ESDC services at 600 points of service

Descriptive text:
  • ESDC has 338 Service Canada Centres (including Passport Offices out of which 15 are consolidated and 21 standalone)
  • ESDC provides services to 247 Scheduled Outreach sites (146 were reactivated as of November 21, 2022)
  • ESDC has access to 15 Service Delivery Partner sites

ESDC footprint has a total of 405 sites, which include the above Service Canada Centres, general office spaces, passport print, processing and call centre locations.

As of January 1st, 2023, ESDC’s total number of FTEs (including Passport employees) is 37,234.

8. Mandate Letter Tracker

Standing Committee on Human Resources, Skills and Social Development and the Status of Persons with Disabilities, February 2, 2023 - Overview of Minister O’Regan Mandate Letter commitments.

Mandate letter commitments-1

Continue to work with federally regulated workplaces to ensure that COVID-19 vaccination is enforced

Progress (as Minister speaking points)-1

Next steps (as Minister speaking points)-1

The Government will continue to monitor the situation and make adjustments based on the latest public health advice and science to keep Canadians safe.

Mandate letter commitments-2

Amend the Canada Labour Code to provide 10 paid days of sick leave for all federally regulated workers

Progress (as Minister speaking points)-2

Next steps (as Minister speaking points)-2

Funding was secured over three years starting in 2022 to ensure the compliance and enforcement of the new paid sick leave provisions

Mandate letter commitments-3

Convene provinces and territories to develop a national action plan to legislate sick leave across the country while respecting provincial-territorial jurisdiction and the unique needs of small business owners.

Progress (as Minister speaking points)-3

I met with my provincial and territorial counterparts twice so far and made the case both times in favour of legislating paid sick leave because it’s good public policy and the right thing to do for both workers and employers.

Next steps (as Minister speaking points)-3

Now that federally regulated workers have access to paid sick leave, I am looking forward to sharing results on its implementation with my provincial and territorial colleagues so they are aware of its success and may encourage them to follow our example.

Mandate letter commitments-4

Develop a right-to-disconnect policy.

Progress (as Minister speaking points)-4

Next steps (as Minister speaking points)-4

We are taking these perspectives into account as we move forward with this important initiative.

Mandate letter commitments-5

Amend the Canada Labour Code to include mental health as a specific element of occupational health and safety and require federally regulated employers to address workplace stress and injury.

Progress (as Minister speaking points)-5

Next steps (as Minister speaking points)-5

We are taking stakeholders’ perspectives and the diverse needs of different sectors into account as we move forward with this important initiative.

Mandate letter commitments-6

Amend the Canada Labour Code to provide up to five new paid leave days for federally regulated employees who experience a miscarriage or stillbirth.

Progress (as Minister speaking points)-6

Next steps (as Minister speaking points)-6

Mandate letter commitments-7

Amend the Canada Labour Code to strengthen provisions to better support working women who need to be re-assigned during pregnancy and while breast-feeding.

Progress (as Minister speaking points)-7

Our Government is committed to better support employees who are nursing or pregnant by strengthening provisions for maternity-related reassignment and leave under the Canada Labour Code.

Next steps (as Minister speaking points)-7

In 2023, my officials will develop a range of options for moving forward on this commitment and develop a strategy for consulting with Canadians on this issue. 

Mandate letter commitments-8

Continue working with the provinces and territories to fully implement the International Labour Organization (ILO) Violence and Harassment Convention.

Progress (as Minister speaking points)-8

Next steps (as Minister speaking points)-8

C190 will come into force for Canada one year after ratification (i.e., on January 30, 2024), after which time Canada will commence periodically reporting to the ILO on our implementation of the Convention.

Mandate letter commitments-9

Lead the efforts to require federally regulated employers to provide menstrual products in the workplace to help ensure menstruating employees' participation in work.

Progress (as Minister speaking points)-9

Next steps (as Minister speaking points)-9

Final regulations are likely to be published in Part II of the Canada Gazette in spring 2023, with a coming info force date before the end of 2023.  

Mandate letter commitments-10

Accelerate the review of the Employment Equity Act and ensure timely implementation of improvements.

Progress (as Minister speaking points)-10

Next steps (as Minister speaking points)-10

Mandate letter commitments-11

Modernize the Federal Contractors Program to ensure federal contractors are paying their employees the federal minimum wage.

Progress (as Minister speaking points)-11

Next steps (as Minister speaking points)-11

Mandate letter commitments-12

Advance the implementation of the Pay Equity Act across federally regulated workplaces.

Progress (as Minister speaking points)-12

Next steps (as Minister speaking points)-12

In 2023, my officials will continue to advance the implementation of the Pay Equity Act by moving forward regulations that will, among other things, strengthen the Commissioner’s ability to encourage compliance:

Mandate letter commitments-13

Advance legislation to prohibit the use of replacement workers in federally regulated workplaces when a unionized employer has locked out its employees.

Progress (as Minister speaking points)-13

Next steps (as Minister speaking points)-13

We are taking the views collected into account as we develop legislation over the coming months.

Mandate letter commitments-14

Work to advance amendments that entitle workers employed by digital platforms to job protections under the Canada Labour Code (Improve labour protections for gig workers)

Progress (as Minister speaking points)-14

Next steps (as Minister speaking points)-14

In order to advance this work, officials are developing policy options for making legislative changes to improve labour protections for workers in the gig economy.

Mandate letter commitments-15

Introduce legislation to eradicate forced labour from supply chains and ensure that Canadian businesses operating abroad do not contribute to human rights abuses (shared commitment with ministers responsible for public safety, federal procurement and international trade).

Progress (as Minister speaking points)-15

Next steps (as Minister speaking points)-15

Mandate letter commitments-16

Strengthen harassment and violence prevention measures in federally regulated workplaces.

Progress (as Minister speaking points)-16

Next steps (as Minister speaking points)-16

My officials are working with stakeholders to prepare a call for applications for the Roster of Investigators in early 2023, with a goal of expanding the number of investigators, while ensuring that there is greater language diversity, geographic coverage of individuals, and investigators with additional expertise in conducting anti-racism investigations.

Mandate letter commitments-17

Work with the Minister of Natural Resources in moving forward with legislation and comprehensive action to achieve a Just Transition

Progress (as Minister speaking points)-17

Sustainable Jobs Plan

[On February X, 2023,] the Minister of Natural Resources, the Minister of Employment, Workforce Development, and Disability Inclusion and I released the Sustainable Jobs Plan, which is an interim plan for 2023-2025 detailing federal actions to support the transition to a net-zero emissions economy and encourage the creation of sustainable jobs. (TBC)

Legislation

Public consultations to inform the development of sustainable jobs legislation were launched in Juy 2021 and have included 17 roundtable sessions with a range of stakeholders, including workers and labour organizations, industry, academia, non-governmental organizations, youth, and experts in skills and training as well as diversity and inclusion.

Next steps (as Minister speaking points)-17

Sustainable Jobs Plan

If Sustainable Jobs Plan has not yet been released: In the coming weeks/months, the Minister of Natural Resources, the Minister of Employment, Workforce Development, and Disability Inclusion and I will release the Sustainable Jobs Plan, which is an interim plan for 2023-2025 detailing federal actions to support the transition to a net-zero emissions economy and encourage the creation of sustainable jobs.]

Legislation

The Government continues to consult with a broad range of stakeholders on sustainable jobs to ensure we get this right for workers as we look to move forward with legislation and comprehensive action.

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