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HUMA Committee briefing binder: Appearance by the Minister of Diversity, Inclusion and Persons with Disabilities - April 29, 2024

Official title: Speaking notes for The Honourable Kamal Khera, Minister of Diversity, Inclusion and Persons with Disabilities, for appearance before the standing committee on human resources, skills and social development and the status of persons with disabilities (HUMA) on Main and supplementary C estimates, House of Commons, April 29, 2024.

On this page

1. Opening remarks

1.a. Minister's opening remarks

Check against delivery.

Good afternoon, Mr. Chair, and committee members. 

Let me start by acknowledging that we are gathered on the traditional unceded territory of the Algonquin Anishinaabeg People.

Thank you for inviting me today. It's an opportunity for me to discuss the progress we're continuing to make toward accessibility and affordability for all Canadians with disabilities.

Mr. Chair, during the past eight years we have invested unprecedented amounts of money to further the inclusion and financial stability of persons with disabilities.

The Government's newest landmark legislation, the Canada Disability Benefit Act, created the legal framework for a direct benefit to support working-age persons with disabilities who need it the most.

I'm happy to tell you that the Government is making this new benefit a reality. Budget 2024 proposes funding of $6.1 billion over six years, beginning in 2024 to 2025, and $1.4 billion each year ongoing.

We intend to begin providing payments to eligible Canadians starting in July 2025, following successful completion of the regulatory process and consultations with persons with disabilities.

To support efficient nationwide delivery and consistency of eligibility, the proposed Canada Disability Benefit would be available to low-income working-age people with a valid Disability Tax Credit certificate.

We want to remove any financial barrier that prevents eligible Canadians from having access to the benefit.

That is why Budget 2024 proposes funding of $243 million over 6 years, beginning in 2024 to 25, and $41 million per year ongoing, to cover the cost of the medical forms required to apply for the Disability Tax Credit.

In the spirit of "Nothing Without Us," the Government will continue to engage with persons with disabilities on key elements of the benefit's design through the regulatory development process.

As recognized in the Canada Disability Benefit Act, provinces and territories play a critical role in providing supports and services to Canadians with disabilities. We will continue to engage provincial and territorial governments to understand how the federal Canada Disability Benefit may interact with existing provincial and territorial income-tested programs, including disability programs and social assistance.

Our goal is to ensure that Canadians with disabilities are better off as a result of the Canada Disability Benefit.

Mr. Chair, since 2015, we've been working to close inequalities by building an economy that works for everyone. And the Canada Disability Benefit is one of the measures that is helping achieve this goal.

This benefit helps to fill a gap in the federal government's social safety net between the Canada Child Benefit and Old Age Security for persons with disabilities.

It is projected to improve the financial well-being of over 600,000 Canadians.

Establishing the benefit is the first step in its rollout. And, as with any benefit, adjustments will happen over time. Getting the structure and administration in place will be essential to its success. Focusing on that in the coming months means that, by next year, the first payments will be issued.

Thank you. I'm happy to take your questions.

2. Background information

2.a. Parliamentary environment scenario note

The Standing Committee on Human Resources, Skills and Social Development and the Status of Persons with Disabilities (HUMA). Supplementary Estimates (C), 2023 to 2024 and Main Estimates 2024 to 2025.

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 (C), 2023 to 2024 and Main Estimates 2024 to 2025.

Committee Proceedings

Your appearance is scheduled to take place on April 29, 2024, from 3:30 p.m. until 4:30 p.m. and will be followed by Minister O'Regan for the second panel on that day. Other ESDC Ministers will appear at later dates.

You will be accompanied by:

You have no outstanding follow up written responses due to the Committee. HUMA has agreed that questioning of witnesses would be allocated as follows:

In round 1, there are 6 minutes for each party in the following order:

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

3. Parliamentary environment

You are expected to receive questions on:

2.b. Mandate letter tracker

Overview of Minister Khera's Mandate Letter Commitments - April 29, 2024.

Introduce and implement a Canada Disability Benefit for low-income working age persons with disabilities

Introduce and implement a Canada Disability Benefit for low-income working age persons with disabilities - Progress 1

The Canada Disability Benefit Act received Royal Assent on June 22, 2023.

To implement the Canada Disability Benefit (CDB), Budget 2024 committed $6.1 billion over 6 years, starting in 2024 to 2025, with $1.4 billion per year ongoing.

Included in this amount, Budget 2024 committed $7.8 million over 5 years, starting in 2024 to 2025, plus $1.9 million ongoing, to establish an appeals mechanism for the CDB.

Budget 2024 further proposed funding of $243 million over 6 years, beginning in 2024 to 2025, and $41 million per year ongoing, to cover the cost of the medical forms required to apply for the Disability Tax Credit.

To support the development of CDB regulations, an information session was held in August 2023 with over 100 disability stakeholders. In fall 2023, roundtables were held to discuss regulatory and implementation issues and bilateral meetings were also held with Indigenous organization and governments. An online engagement tool was also active between November 15, 2023, and January 4, 2024, to seek Canadians' perspectives on the design of Canada Disability Benefit regulations.

Introduce and implement a Canada Disability Benefit for low-income working age persons with disabilities - Next steps 2

The second phase of the regulatory engagement process for the CDB will be the publication of draft regulations in Part 1 of the Canada Gazette in late June 2024.Once the regulations have been revised, the finalized regulations will be published in Part 2 of the Canada Gazette. The Government has committed to starting Benefit payments in July 2025.

The federal Government will continue to engage provincial and territorial governments on the CDB to ensure harmonization of the Benefit.

Work continues among ESDC, Service Canada and the Canada Revenue Agency to prepare for the implementation of the Benefit, including the development of the application process.

Undertake a comprehensive review of access to federal disability programs, including for Canadians with mental health challenges

Undertake a comprehensive review of access to federal disability programs, including for Canadians with mental health challenges - Progress 1

In keeping with the principle of "Nothing Without Us", the Government is committed to engaging with external stakeholders - including people with lived experience of disability - on their experiences accessing federal disability programs and benefits to inform the outcomes of the review.

Following review of an inventory of federal disability-related programs and benefits, and collaboration with other federal departments, the draft report is currently in the process of being approved.

Undertake a comprehensive review of access to federal disability programs, including for Canadians with mental health challenges - Next steps 2

The report will be finalized and submitted to the Minister of Diversity, Inclusion and Persons with Disabilities in May 2024.

Launch an Employment Strategy for Canadians with Disabilities

Launch an Employment Strategy for Canadians with Disabilities - Progress 1

The Employment Strategy forms an important part of the Government's Disability Inclusion Action Plan, which aims to improve the social and economic inclusion of persons with disabilities and builds on more than $1.1 billion in funding that the federal Government has committed to advance the inclusion of persons with disabilities since 2015.

Since 2021, development of the Employment Strategy has been informed by ongoing consultations with a diverse range of stakeholders.

Budget 2022 announced $272.6 million over 5 years to support the implementation of an Employment Strategy for Canadians with disabilities through the Opportunities Fund for Persons with Disabilities.

Following the Call for Proposals launched on May 30, 2022, 100 additional projects under the Opportunities Fund were approved for funding to support the implementation of the Employment Strategy. As of March 2024, nearly all projects have signed new agreements.

These investments build on earlier enhancements to the Opportunities Fund, including $65 million provided in the 2020 Fall Economic Statement, and $15 million in emergency funding provided in June 2020. These investments helped to mitigate the impacts of the COVID-19 pandemic and stimulate economic recovery.

Launch an Employment Strategy for Canadians with Disabilities - Next steps 2

The Government will launch the Employment Strategy during National AccessAbility Week at the end of May 2024. It will communicate progress to date and set a forward-looking agenda in support of the Accessible Canada Act's vision of a barrier-free Canada by 2040.

Over the coming years, the Employment Strategy will guide federal efforts to transform the Canadian labour market into one that is fully inclusive and accessible. It will also embed and mainstream disability inclusion in the Government's skills training and employment programming and better coordinate the many policies, programs and initiatives that aim to help persons with disabilities find and keep good jobs.

Support national disability organizations to build capacity and partner in efforts to eliminate systemic barriers

Support national disability organizations to build capacity and partner in efforts to eliminate systemic barriers - Progress 1

Through the Social Development Partnerships Program (Disability component), ESDC provides funding to support the capacity of Canadian disability organizations and to build partnerships across the disability community and with other sectors.

In 2019, through this program, the Department partnered with LIFT Impact Partners (formerly LIFT Philanthropy Partners) to work with 8 disability organizations to increase their capacity to deliver on their mandates for social inclusion and employment outcomes for persons with disabilities.

Budget 2023 announced $10 million over 2 years to help address the unique needs and ongoing barriers faced by persons with disabilities by investing in capacity building and the community-level work of Canada's disability organizations.

In November 2023, a Call for Proposals was launched to support projects that build organizational and intersectional capacity of the disability sector. Funded projects will promote broader information-sharing across organizations within Canada to support knowledge base building, share tools and best practices, and develop intersectional and cross-disability perspectives.

Since 2023, a project has been in progress with LIFT Impact Partners that enables not-for-profit disability organizations to enhance and scale their organizational capacity, thus improving efficiency, effectiveness, and accountability in the disability community.

Agreements with 9 national disability organizations are in place as of March 26, 2024.

Support national disability organizations to build capacity and partner in efforts to eliminate systemic barriers - Next steps 2

Assessments are underway on the remaining LIFT Impact Partner projects, and a second batch of projects is expected to be recommended to the Minister for approval in May 2024. The Government will notify successful applicants in the coming months.

Advance our commitment to permanently fund support services that ensure equitable access to reading and other published works for Canadians with print disabilities

Advance our commitment to permanently fund support services that ensure equitable access to reading and other published works for Canadians with print disabilities - Progress 1

Access to alternate format reading materials is critical for persons with print disabilities to be able to fully participate in Canadian society. That is why the Government invested $38 million over 7 years in Budget 2022 to improve access to alternate format reading materials. This funding is part of investments under the Disability Inclusion Action Plan to support:

In March to April 2023, Statistics Canada conducted a survey to better understand the experiences of people who use reading materials in alternate formats. Between April to August 2023, ESDC also held engagement sessions with organisations representing the persons with print disabilities and disability community members, organisations providing services related to alternate format reading materials, and other stakeholders to inform the development of the EARP. Statistics Canada released the survey findings in October 2023.

The 2023 to 2024 agreements with CELA and NNELS were signed in July 2023 to access funding for 2023 to 2024, and a recent amendment provided an extension into 2024 to 2025.

Advance our commitment to permanently fund support services that ensure equitable access to reading and other published works for Canadians with print disabilities - Next steps 2

In spring 2024, the Department plans to launch the first Call for Proposals for the Equitable Access to Reading Program (EARP). Applications from the CFP will be assessed in the summer and funding agreements with successful applicants will be signed in the fall.

A report of the findings from the Statistics Canada survey that engaged with people who use reading materials in alternate formats is forthcoming in 2024.

Implement the Accessible Canada Act and harmonize accessibility standards across Canada

Implement the Accessible Canada Act and harmonize accessibility standards across Canada - Progress 1

The Accessible Canada Regulations came into force on December 13, 2021, taking an important step towards a barrier-free Canada, and creating communities, workplaces and services that enable everyone to participate fully in society.

These regulations require federally regulated organizations to report to the public on their policies and practices to identify, remove, and prevent barriers to accessibility. Under the regulations, public sector entities were required to publish their initial accessibility plans by December 31, 2022, and large private sector entities needed to publish their initial accessibility plans by June 1, 2023. Responsibility for compliance and enforcement of the Regulations is held by the Canadian Human Rights Commissioner.

The latest guidance document on accessibility plans and reporting requirements was published by the Government on March 17, 2023.

In fall 2022 and winter 2023, the Government completed early engagement on the next set of regulations under the Accessible Canada Act, which deal with removing barriers in the area of information and communication technologies. A report summarizing engagement was published in February 2023.

In the 2023 United Nations Declaration on the Rights of Indigenous Peoples Act (UNDA) Action Plan, the Department committed to helping ensure that the implementation of the Accessible Canada Act with respect to the First Nations band councils is supported in advancing accessibility at the community level.

Implement the Accessible Canada Act and harmonize accessibility standards across Canada - Next steps 2

The Government will continue to develop standards-based regulations under the Accessible Canada Act that address barriers in priority areas such as information and telecommunication technologies.

Pre-publication of the second set of regulations under the Accessible Canada Act, on accessible information and communications technologies, is expected to take place in fall 2024.

The Government is planning to continue engagement with First Nations communities to support the implementation of the UNDA Action Plan measures in summer 2024.

Enhance the capacity and effectiveness of Black-led and Black-serving organizations through the continued implementation of the Supporting Black Canadian Communities Initiative

Enhance the capacity and effectiveness of Black-led and Black-serving organizations through the continued implementation of the Supporting Black Canadian Communities Initiative - Progress 1

To enhance the capacity and effectiveness of Black-led and Black-serving organisations, the Government has advanced a number of key initiatives to support and improve Black-led organizations' workplaces and community spaces through the Supporting Black Canadian Communities Initiative (SBCCI).

National Funders released their SBCCI Funding Model Study in fall 2023. On November 20, the National Funders signed their amended contribution agreements and launched their third Call for Proposals to disburse $21.5 million in capacity building and capital assistance grants for Black-led, community-based organisations.

Through the National Funders Network, more than $70 million has been invested in over 1,300 projects to support Black-led and Black-serving community organisations.

More than 1,300 projects have been funded under the Capital Assistance Fund stream with a total investment of almost $82 million to support renovation and equipment purchases for Black-led and Black-serving organisations.

The External Reference Group was formally launched on November 7, 2022, consisting of 7 members of African descent from the not-for-profit, education, public and private sectors. The External Reference Group met with the Minister in December 2023 regarding SBCCI priorities for 2024-2025.

In March 2024, ESDC signed grant agreements with the Michaëlle Jean Foundation and the Black Screen Office for projects under the Emerging Priorities Pillar.

Enhance the capacity and effectiveness of Black-led and Black-serving organizations through the continued implementation of the Supporting Black Canadian Communities Initiative - Next steps 2

The Government continues to engage with Black Canadian communities to strengthen the capacity of grassroots, Black-led community-based organisations, address emerging priorities and bring positive benefits to Canada's Black communities by removing systemic barriers and tackling anti-Black racism.

In spring 2024, the contribution agreements with the National Funders will be amended to provide additional funds to address oversubscription to the third Call for Proposals.

In May 2024, the contribution agreement will be signed with the organisation selected to establish the National Institute for People of African Descent.

Develop policies and projects that tackle discrimination and unconscious bias in public and private institutions, including anti-Black racism

Develop policies and projects that tackle discrimination and unconscious bias in public and private institutions, including anti-Black racism - Progress 1

Budget 2024 proposed to provide $273.6 million over 6 years, starting in 2024 to 2025, with $29.3 million ongoing, for Canada's Action Plan on Combatting Hate. This includes a commitment of $12 million over 5 years, starting in 2024 to 2025, to fund projects aimed at combatting hate against the 2SLGBTQI+ community.

The Government of Canada participated in the third session of the United Nations Permanent Forum on People of African Descent from April 16 to April 19. 2024.

This Permanent Forum serves as a platform for improving the safety and quality of life and livelihoods of people of African descent. During this session, government representatives, civil society organizations and individuals discussed and developed strategies to combat racial discrimination, inequality and promote social justice.

On February 7, 2024, the Prime Minister announced an extension until 2028 of the federal Government's efforts under the framework of the Decade. In light of this announcement, the Minister of Diversity, Inclusion and Persons with Disabilities held a series of roundtable discussions with Black community stakeholders across Canada to seek their views and perspectives on Canada's extension of its efforts.

Policy work is underway to ensure development of a whole-of-government approach to support Black communities in full and equal participation in all aspects of society.

Develop policies and projects that tackle discrimination and unconscious bias in public and private institutions, including anti-Black racism - Next steps 2

In summer/fall 2024, targeted consultations will take place with Black communities on the Government's work to advance commitments on the Decade to date.

The Federal Secretariat will continue to advance a whole-of-government Anti-Racism Framework as part of an updated Canada's Anti-Racism Strategy. The Strategy is expected to be launched in spring 2024.

Strengthen and support the work of the Federal Anti-Racism Secretariat to ensure a whole-of government approach in addressing systemic racism

Strengthen and support the work of the Federal Anti-Racism Secretariat to ensure a whole-of government approach in addressing systemic racism - Progress 1

Policy work has continued throughout fall 2023 and winter 2024 on updates to Canada's Anti-Racism Strategy.

In addition, policy work is currently underway to ensure development of a whole-of-government approach in addressing systemic racism. This includes engagement with Indigenous organizations as part of the co-development of an approach for combatting anti-Indigenous racism, as well as implementing a comprehensive whole-of-government approach to address the social determinants of justice by combatting anti-Black racism and hate.

New areas of action include a consolidated effort to tackle anti-South Asian racism, support Chinese Canadian communities, tackle antisemitism and Islamophobia and work with government organizations to see implemented recommendations recently received from Indigenous, Black, East Asian, and South Asian partners and stakeholders.

Strengthen and support the work of the Federal Anti-Racism Secretariat to ensure a whole-of government approach in addressing systemic racism - Next steps 2

The Federal Secretariat expects the updated Canada's Anti-Racism Strategy (CARS) to be launched in spring 2024.

The Federal Secretariat will continue to pursue a whole-of-government approach, as part of its Integrated Anti-Racism Results Delivery Framework, which will be significantly advanced through the upcoming release of the updated CARS. Stakeholder engagement sessions will be convened in order to ensure a comprehensive focus on results.

Develop an anti-racism framework for the core public administration

Develop an anti-racism framework for the core public administration - Progress 1

Efforts to advance this commitment have taken place through development of Canada's Anti-Racism Strategy, which includes an Anti-Racism Framework to support the federal organizations and employees with addressing racial inequities and remove systemic barriers.

Several federal organizations, including 16 departments and central agencies as well as anti-racism and equity units, piloted the Anti-Racism Framework from June 2021 to January 2022 and feedback was compiled.

Develop an anti-racism framework for the core public administration - Next steps 2

The Federal Secretariat will continue to advance a whole-of-government Anti-Racism Framework as part of an updated Canada's Anti-Racism Strategy. The Strategy is expected to be launched in spring 2024.

Support the Minister for Women and Gender Equality and Youth in the evaluation process of GBA Plus with the goal of enhancing the framing and parameters of this analytical tool, and with particular attention to the intersectional analysis of race, indigeneity, rurality, disability and sexual identity, among other characteristics

Support the Minister for Women and Gender Equality and Youth in the evaluation process of GBA Plus with the goal of enhancing the framing and parameters of this analytical tool, and with particular attention to the intersectional analysis of race, indigeneity, rurality, disability and sexual identity, among other characteristics - Progress 1

Discussions continue between Women and Gender Equality Canada and other departments on enhancing Gender-Based Analysis Plus.

Support the Minister for Women and Gender Equality and Youth in the evaluation process of GBA Plus with the goal of enhancing the framing and parameters of this analytical tool, and with particular attention to the intersectional analysis of race, indigeneity, rurality, disability and sexual identity, among other characteristics - Next steps 2

Going forward, the Department will continue to support the integration of intersectional analysis in ESDC's policies and programs by providing training to employees and partnering with Women and Gender Equality Canada and other departments on knowledge sharing.

Support the Minister of Labour in their work to accelerate the review of the Employment Equity Act and ensure timely implementation of improvements

Support the Minister of Labour in their work to accelerate the review of the Employment Equity Act and ensure timely implementation of improvements - Progress 1

The Government launched the Employment Equity Act Review Task Force in July 2021.

The Task Force heard from hundreds of stakeholders. They held 109 meetings, received over 400 written submissions, and an additional 350 expression of views shared via electronic correspondence.

On December 11, 2023, the Task Force's report was released.

At the same time, the Government announced initial commitments to modernize the Act. This included:

In Budget 2024, the Government announced its intention to propose legislative amendments to modernize the Employment Equity Act, including by expanding designated equity groups.

Support the Minister of Labour in their work to accelerate the review of the Employment Equity Act and ensure timely implementation of improvements - Next steps 2

[If consultations have not been launched] Consultations will soon begin with affected communities and organizations representing unions and employers on how best to effectively implement the Government's initial commitments to modernize the Employment Equity Act, and on how other Task Force recommendations could be implemented.

Following the consultations, we will consider the feedback received from stakeholders and partners to inform legislative amendments to the Act.

Support the Minister of Justice and Attorney General of Canada in their work to develop, in consultation and cooperation with provinces, territories and Black Canadians, a Black Canadians Justice Strategy

Support the Minister of Justice and Attorney General of Canada in their work to develop, in consultation and cooperation with provinces, territories and Black Canadians, a Black Canadians Justice Strategy - Progress 1

In February 2023, an external Steering Group composed of 9 experts and leaders from Black communities across Canada was established with the support of the Anti-Racism Secretariat, to provide advice to the Government on the development of Canada's Black Justice Strategy.

In July 2023, the Steering Group developed a Framework to guide engagement and consultations with Black communities. Development of this framework was led by 12 Black community-based organizations.

From September 2023 to October 2023, engagement and consultations with Black communities took place in 9 provinces and territories. An online survey was available on the Justice Canada website during the same period.

Support the Minister of Justice and Attorney General of Canada in their work to develop, in consultation and cooperation with provinces, territories and Black Canadians, a Black Canadians Justice Strategy - Next steps 2

The Steering Group's Report is anticipated for public release in May 2024.

The Department of Justice Canada is leading the development of an action plan, with support from ESDC, in response to the Steering Group's Strategy Report, which is expected to be released in 2024.

Support the President of the Treasury Board in their work to create a diverse, equitable and inclusive workforce by ensuring the hiring, retention and promotion of diverse talents throughout the Public Service

Support the President of the Treasury Board in their work to create a diverse, equitable and inclusive workforce by ensuring the hiring, retention and promotion of diverse talents throughout the Public Service - Progress 1

The Government is committed to building a diverse, equitable and inclusive public service by taking continual and deliberate steps to remove discrimination from our institutions, addressing all forms of such oppression, challenging biases, and empowering employees.

The Government has launched several initiatives, developed with equity seeking employee networks, to support departments in improving diversity and inclusion:

The Government committed to fostering a safe, healthy and inclusive environment, where Black public servants are recognized for their important contributions and provided every opportunity to succeed. In support of this goal, close to $50 million was committed through Budgets 2022 and 2023 to create career development programs and a mental health fund for Black public servants.

On February 21, 2024, the Government announced first steps in its Action Plan for Black Public Servants, to address barriers to mental health and increase opportunities for career advancement for Black public servants.

Support the President of the Treasury Board in their work to create a diverse, equitable and inclusive workforce by ensuring the hiring, retention and promotion of diverse talents throughout the Public Service - Next steps 2

The Government continues to support the implementation of the Accessibility Strategy for the Public Service and assist departments and agencies in meeting their requirements under the Accessible Canada Act.

The Government remains committed to hiring 5,000 net new employees with disabilities by 2025 to help improve the representation of employees with disabilities at all levels of the federal public service.

An executive leadership program for Black leaders and Black-centric enhancements to the Employee Assistance Program will be launched to support Black public servants.

Budget 2024 proposed to spend $5 million over 5 years, starting in 2024 to 2025, plus $4 million per year ongoing, to support the Office of Public Service Accessibility and the Federal Internship Program for Canadians with Disabilities, and improve the recruitment and assessment process for persons with disabilities who are entering the public service.

Met Commitments

Finalize and release Canada's Disability Inclusion Action Plan

Date met 1

October 7, 2023

Note 2

The commitment was met when the Disability Inclusion Action Plan was publicly released on October 7, 2022.

Introduce a Canada Disability Benefit Act

Date met 1

June 22, 2023

Note 2

This commitment was met on June 22, 2023, following the Canada Disability Act being passed by Parliament and Bill C-22 receiving royal assent.

Implement the Black-led Philanthropic Endowment Fund

Date met 1

March 31, 2023

Note 2

This commitment was met on March 31, 2023, with the release of endowment funds to the Foundation for Black Communities (FFBC).

The FFBC signed a contribution agreement with the department to receive $199,476,227, of which $190 million would be invested and the remaining funding used to support FFBC's startup costs and early granting activities.

2.c. Questions and answers on Employment and Social Development Canada (ESDC) contracting

Question 1

ESDC reports (OPQ 2364) that since 2015, it has awarded over $835M in contracts for consulting services to the following companies:

Are contracting amounts reasonable?

ESDC awarded contracts to these consulting companies for high-level advisory services, specialized technical skills, as well as business intelligence. ESDC sought guidance on decreasing implementation risks, achieving sustainable results and bringing rapid performance improvements to the department for transformation projects including the Benefits Delivery Modernization (BDM) programme, a multi-year, multi-phase modernization to our benefits delivery systems.

Additionally, the pandemic saw an increase in ESDC's need for consultant services to support the increased delivery of benefits and other services rendered directly to Canadian citizens during exceptional times. ESDC acquired the services of resources with application maintenance skills that were not part of the core skillset of internal employees. In some instances, supplier resources and skillsets were retained to transfer knowledge to employees, thereby increasing the benefits obtained from the contract by increasing the public service's skillset and maturing the department's capabilities in the realm of Information Management (IM) and Information Technology (IT) solutions. Furthermore, ESDC major initiatives (i.e., BDM) also leveraged vendors with extensive global experience in executing large-scale business transformations and engaged external firms for independent third-party assessments.

Question 2

What percentage of the Department's budget was spent on these companies and what has been the contracting trends since 2015?

Trend over past years
Percentage (%) of the Department's total budget:
Table 1
Fiscal Year Value of Contracts Awarded to Consulting Companies (McKinsey & Co., Deloitte, PricewaterhouseCoopers, Accenture, KPMG, Ernst & Young, GC Strategies, Coredal Systems Consulting Inc., Dalian Enterprises Inc, Coradix Technology Consulting Ltd, Dalian and Coradix in Joint Venture) ESDC Authorities Available for Use (Operating and Statutory) Percentage of Departmental Budget
2015 to 2016 $26,896,693.98 $3,073,684,687 0.88%
2016 to 2017 $25,782,483.90 $3,294,334,843 0.78%
2017 to 2018 $25,366,225.80 $3,551,344,895 0.71%
2018 to 2019 $28,711,947.25 $3,492,395,646 0.82%
2019 to 2020 $57,506,302.45 $3,637,240,451 1.58%
2020 to 2021 $167,696,239.98 $4,660,947,009 3.6%
2021 to 2022 $93,090,430.03 $5,342,967,694 1.74%
2022 to 2023 $311,801,882.25 $5,596,852,689 5.57%

Question 3

What is the rationale for hiring consultants?

Consultants provide a flexible and rapid deployment of resources with specialized skills and expertise to support ESDC's operational requirements and internal systems, specifically providing guidance for the department's transformation efforts, and to help ensure ESDC programs and services are delivered efficiently, effectively, and prudently. The contracts awarded to the aforementioned consulting companies (see question 1) provided resources with specialized skills and expertise to support ESDC operational requirements and internal systems, such as the Job Bank, Employment Insurance (EI), Old Age Security (OAS), Canada Student Loans and Grants, and 1-800-O-Canada.

Question 4

Does hiring consultants amount to using "replacement workers" instead of public servants?

ESDC retained the services of consultants where it was deemed that no employee was available, or that certain skillsets or specialized knowledge were lacking. Some contracts were awarded to supplement ESDC's in-house capacity to manage large projects for the department, specifically during the development and deployment of programmes related to social services and support required during the early stages of the pandemic, which saw an unprecedented and unpredictable increase in demand for services for Canadians. The department continues to ensure that contracts include a knowledge-transfer component or plans for sustained management of solutions to be less reliant on consultants as we move from the building and implementation stages to the management of solutions.

Question 5

What is the difference between contracts with companies that have global expertise and "staff augmentation" companies?

At times, ESDC engages with major multinational firms (Accenture, PwC, Deloitte, KPMG, etc.) to support large-scale transformations and implementations. These contracts provide ESDC with access to comprehensive skill sets essential for navigating the complexities of modernization projects across all phases. Leveraging the extensive expertise of these firms ensures that ESDC's initiatives are equipped with the necessary resources and capabilities to achieve success.

Additionally, ESDC collaborates with "staff augmentation" companies when consultants with specific skill sets or experiences are required to complement the capabilities of internal public servants. These contracts are typically awarded using Public Services and Procurement Canada's (PSPC) methods of supply for professional services, ensuring a streamlined and transparent procurement process.

By strategically leveraging the strengths of both large multinational firms and consulting companies with specialized skillsets, ESDC can effectively address diverse project requirements while optimizing resource allocation and fostering innovation.

Question 6

How does ESDC ensure integrity of its contracting process?

ESDC follows all applicable policies, directives, laws, and trade agreements, in all its procurement activities. Notably, ESDC, conducts procurements inline with the key principles found in Treasury Board's Directive on the Management of Procurement, the Government Contracts Regulations (GCRs), and the guidance provided in PSPC's Supply Manual. Furthermore:

Question 7

Investigations by PSPC found that 3 subcontractors for professional services undertook contract work across 36 Government of Canada departments and agencies. These individuals fraudulently billed the Government of Canada by an estimated $5 million by billing multiple organizations for the same period under multiple separate contracts. Is ESDC one of those 36 Departments?

Yes. The contracts in question are:

Will ESDC recover overpayments under these contracts?

Yes, the restitution process is centralized and led by PSPC on behalf of all affected departments. PSPC has the authority to seek restitution from suppliers.

Question 8

What does ESDC do to detect and prevent fraud?

ESDC performs integrity checks on suppliers and verifies the security clearance of resources, when applicable, and consults the Ineligible and suspended suppliers under the Ineligibility and Suspension Policy list maintained by PSPC prior to contract award. The department also relies on the Treasury Board's Directive on Delegation of Spending and Financial Authorities to ensure a scaffolded, risk-based approach by financial delegations in every step of the procurement process. Finally, ESDC's procurement operations are routinely audited and reviewed by the department's Internal Audit branch, which serves as an accountability measure as required in the Financial Administration Act.

Question 9

Can you confirm that you have had contracts with GC Strategies Inc. and if so:

What was the amount?

ESDC awarded three contracts to GC Strategies Inc. for a combined total of $3,132,343.05.

Will you be getting that money back?

ESDC did not find GC Strategies Inc. to be in violation of any contractual clauses and we have not contested any work delivered. As such there are no grounds to seek restitution. ESDC has no active contracts with GC Strategies Inc. Additionally, the PSPC Contract Security Program (CSP) has revoked the organization security clearance held by GC Strategies Inc. effective April 3, 2024. As a result, no further contracts will be awarded by or on behalf of ESDC to this supplier.

Did you get value for money?

The competitive procurement process enabled us to maximize value for money by leveraging vendor competition, which drove down costs while maintaining stringent quality standards and ensuring the suitability of the chosen vendor. The resources provided under each contract were retained for the duration of the contract and provided expertise that was otherwise not available through internal public servants at ESDC.

What did they do and why couldn't that have been done in house?

These contracts provided resources with specialized technical skills in the areas of Microsoft Project Server and Business Intelligence. These specialized resources were needed to support decision making within the organization by analysing, developing, testing, and deploying key IT solution modules for ESDC's Project Management Information Solutions (PMIS). These professional services were acquired to perform the work and transfer of knowledge to ESDC employees. The details for each contract are listed below:

Contract 1 signed December 2, 2015: The purpose of this contract was to support implementation of PMIS Phase 2.

Contract 2 signed July 11, 2017: The purpose of this contract was to support PMIS Phase 3.

Contract 3 signed April 1, 2022: The purpose of this contract was to continue support and further enhance PMIS to support the ESDC investment initiatives and improve the current functionalities of the PMIS product to align with departmental Project and Programme Management Maturity.

Details deposed to Parliament regarding GC Strategies Inc.

Statement: Employment and Social Development Canada (ESDC) has reviewed the information available in its financial system and found 3 contracts for GC Strategies Inc. since November 4, 2015.

Amount of GC Strategies Inc. contracts: $3,132,343.05

Due diligence practices and status of contracts: All three contracts were awarded following competitive procurement processes under a PSPC method of supply. One contract was awarded on December 2, 2015; another on July 11, 2017; and a third on April 1, 2022. All contracts have expired - ESDC has no active contracts with GC Strategies Inc.

3. Disability inclusion - Hot issues

3.a. Canada Disability Benefit

Issue

Progress on the implementation of the Canada Disability Benefit.

Background

The Canada Disability Benefit Act received Royal Assent on June 22, 2023.

The Act establishes the framework for the Canada Disability Benefit, with key details of the benefit to be addressed in regulations.

The Government has engaged the disability community and other stakeholders on the benefit since 2021. Engagement activities have included virtual roundtables, bilateral meetings, an online survey, as well as disability community-led and Indigenous community-led efforts.

The design of the benefit was ratified by Cabinet in May 2023 and, in Budget 2024, the Government committed to provide funding of $6.1 billion over 6 years, beginning in 2024 to 2025, and $1.4 billion per year ongoing. The Government also committed to start payment of the benefit in July 2025.

Key facts

Budget 2024 proposed funding for the Canada Disability Benefit of $6.1 billion over 6 years, beginning in 2024 to 2025, and $1.4 billion per year ongoing, including costs to deliver the benefit. It also announced that the Government plans to begin paying the benefit to eligible Canadians starting in July 2025.

The Canada Disability Benefit Act will come into force on June 22, 2024. The Act also requires that, within 12 months of coming into force, the Governor in Council make the regulations necessary to enable the benefit to be paid. In addition, the Act requires the Government report to Parliament:

  1. 6 months following coming into force on how the disability community has been engaged in the regulatory process and
  2. 12 months following coming into force on progress made in the regulatory process. Building on engagement activities that took place in 2021 and 2022, in summer 2023 the Government launched a 2-phase engagement process to inform the development of the regulations and the implementation of the benefit

Phase 1:

Phase 2:

The second phase of the engagement process will begin with the publishing of proposed regulations in Part I of the Canada Gazette - publication is being planned to take place by June 22, 2024. Canadians will be able to review and provide comments on the proposed regulations. The Government will analyze the comments received and will consider the feedback received before finalizing the regulations that will then be published in Part II of the Canada Gazette.

Key messages

3.b. Accessible Canada Act

Issue

Progress on the implementation of the Accessible Canada Act (ACA).

Background

The ACA came into force in 2019 and has the overarching goal of realizing a barrier-free Canada by 2040.

Through a proactive and systemic approach, the ACA helps to identify, remove, and prevent barriers to accessibility in seven (7) priority areas within the federal jurisdiction including:

Authorities for making regulations under the ACA are shared across several government entities, including:

Key facts

Implementation of the ACA is well underway.

2 new roles and one new organization were established under the ACA:

The Accessible Canada Regulations (ACR), which operationalize the planning and reporting requirements of the ACA, came into force in December 2021.

The Department is developing new regulations on accessible information and communication technologies. Extensive engagement with the disability community, federally regulated entities and other stakeholders was carried out in fall 2022 to inform the development of regulations, and a ‘What We Heard' report summarizing stakeholders' views was published in summer 2023.

To date, ASC has established 11 technical committees that are actively developing standards to remove barriers in several different priority areas. Compliance with standards developed by ASC is voluntary unless they are adopted into regulations.

Measuring progress in the removal of barriers is an important aspect of the implementation of the ACA. In 2022, the Government of Canada published the Federal Data and Measurement Strategy for Accessibility. The Strategy sets out key areas of work that aim to provide Canadians with information and long-term data on progress made to remove barriers to accessibility. In August 2023, the Department published the first set of indicators that will be used to guide accessibility data collection going forward. A second set of indicators is currently in development.

In June 2021, the Department launched the Accessibility Data Hub, a collaborative initiative hosted on Statistics Canada's website to share data on accessibility with the Canadian public.

The Government continues to invest in raising awareness about accessibility and the goal of realizing a barrier-free Canada by 2040. In May 2022, it established the annual Canadian Congress on Disability Inclusion (CCDI) to launch National AccessAbility Week (NAAW) celebrations across the country.

Since 2019, the Accessible Canada fund has provided $2.7M annual funding to support the disability community. This includes funding projects to increase capacity and enhance leadership within the disability stakeholder community, raise awareness of the Accessible Canada Act, change attitudes and behaviours, and mobilize knowledge to advance accessibility and inclusion.

Budget 2022 provided $5.5M under the Opportunities Fund for Persons with Disabilities to fund projects enhancing professional sign language interpretation capacity. The second of a two-step call for proposals closed in February 2024. Funding agreements for successful projects are expected to be issued by summer 2024.

In the 2023 United Nations Declaration on the Rights of Indigenous Peoples Act Action Plan, the Government committed to ensuring that the implementation of the ACA with respect to First Nations band councils is culturally appropriate and that First Nations are supported in advancing accessibility at the community level.

Key Messages

The Government of Canada is committed to advancing accessibility and disability inclusion.

Realizing a barrier-free Canada requires action by all levels of government and by all Canadians. The reality is that advancing accessibility benefits everyone.

To strengthen this commitment, the Government introduced the landmark Accessible Canada Act in 2019 with the goal of creating a barrier-free Canada by January 1, 2040. It stands as one of the most significant achievements ever for disability rights in Canada.

With its focus on identifying, removing, and preventing barriers, the Act is paving the way for the widespread adoption of an inclusive culture across Canada. One that focuses on consideration of accessibility from the outset rather than as an afterthought.

3.c. Social Development Partnerships Program - Disability component

Issue

What progress has the government made to fulfill its mandate commitment to build the capacity of national disability organizations?

Background

Key Facts

Key Messages

3.d. Disability Inclusion Action Plan

Issue

How is the government advancing implementation of the Disability Inclusion Action Plan (DIAP).

Background

The December 2021 mandate letter for the Minister of Employment, Workforce Development and Inclusion committed to finalizing and releasing a DIAP.

The Government released Canada's first-ever DIAP in October 2022. The Action Plan has 4 pillars: financial security; employment; accessible and inclusive communities; and adopting a modern approach to disability.

Key actions to be implemented under the DIAP include the development of a new Canada Disability Benefit and an Employment Strategy for Persons with Disabilities.

Recently, Budget 2024 provided:

Budgets 2022 and 2023 made significant initial investment to advance the implementation of the DIAP including:

Other DIAP commitments announced previously in Budget 2022 include:

Key facts

The first annual update on the Disability Inclusion Action Plan was released the week after International Day of Persons with Disabilities, on December 8th, 2023. The annual update highlights progress on action items across the four pillars of the DIAP that have taken place since summer 2022.

Key messages

As outlined in the annual update recently posted online, the Government has made significant progress in implementing the DIAP, including:

The government will continue working closely with the disability community to implement the DIAP, ensuring it meets the needs of persons with disabilities.   

The lived experiences of persons with disabilities have informed every part of the Action Plan. Through engagement efforts, we heard about the valuable contributions that persons with disabilities make in our communities and our economy. We know that persons with disabilities face barriers to social and economic participation due to discrimination, stereotypes, and systemic exclusion. Although we have made significant progress, there is more work to be done.

3.e. Persons with Disabilities Seeking MAID

Issue

Most disability organizations are strongly opposed to the legislative changes passed by Parliament on March 17, 2021, to remove the MAID eligibility requirement that one's natural death must be reasonably foreseeable.

Background

In January and February 2020, Minister Qualtrough, Minister of Employment, Workforce Development and Disability Inclusion, along with the Minister of Justice and Attorney General and Minister of Health, attended consultation meetings across Canada to discuss the Government's response to the September 2019 Truchon decision. In the Truchon decision, the Quebec Court of Appeal found the MAID requirement that one's natural death must be reasonably foreseeable violated the Charter.

These consultation meetings included discussion about appropriate safeguards under MAID. Representatives of the disability community participated in these discussions.

In March 2021, the Government passed a law to remove the MAID eligibility requirement that one's natural death must be reasonably foreseeable. Minister Qualtrough fulfilled a key commitment in her 2019 mandate letter by supporting the Minister of Health and Justice in responding to this court ruling.

The changes to MAID law passed in March 2021 also included a provision that temporarily excluded MAID for those suffering from a mental illness alone until March 17, 2023. However, Parliament subsequently passed legislation to postpone this expiration until March 17, 2024.

Disability organizations strongly opposed to MAID outside of an end-of-life context generally raise following concerns: the proposed changes promote stigma and prejudice against persons with disabilities; consultations with the Government of Canada on MAID with persons with disabilities were insufficient; and experiences with stigma, poverty and gaps in the system of support are influencing the decision of persons with disabilities to access MAID.

Following the legislative changes to MAID on March 17, 2021, a Special Joint Parliamentary Committee on MAID (AMAD) was formed to undertake a review of issues related to MAID, including the protection of Canadians with disabilities. The final report was tabled on February 15, 2023. AMAD's final report highlighted the general concerns that disability organizations have been raising in regards to MAID, including financial insecurity.

The Government Response to AMAD's report, tabled on June 15, 2023, acknowledged the need for action across all governments, sectors and society to reduce economic and social barriers to inclusion. The Response also recognized the need to address knowledge gaps on MAID and disability, such as through regulations.

AMAD's third report entitled "MAID and Mental Disorders: The Road Ahead" was released on January 29, 2024. The report concludes that the medical system in Canada is not prepared for MAID where mental disorder is the sole underlying medical condition. Given the conflicting testimony, the committee recommended that MAID where mental disorder is the sole underlying medical condition should not be made available until it can be safely and adequately provided.

On February 1st, 2024, the Minister of Health introduced legislation to further postpone the extension of MAID, where mental disorder is the sole underlying medical condition, until March 2027. On February 29, 2024, C-62, an Act to amend An Act to amend the Criminal Code (medical assistance in dying), No. 2, received Royal Assent.

Key facts

The Government of Canada and the provincial and territorial governments share responsibilities for both MAID and supporting persons with disabilities. While federal MAID legislation sets out the framework for the legal provision of MAID in Canada, provinces and territories are responsible for oversight, delivery of health care services and regulation of medical professionals.

Under the MAID monitoring regulations, Health Canada is responsible for obtaining data on MAID trends, including the profiles of those who are accessing MAID, through the provinces and territories. As required by the changes to MAID law in March 2021, these regulations were amended to collect additional data about disability and other disadvantaged groups to develop a more accurate picture of who is accessing MAID. These amendments came into force on January 1, 2023.

Health Canada is also taking other steps to supplement data reported under the MAID monitoring regulations. This includes developing a research plan and striking an Expert Reference Network (ERN) to function as a resource for discussion on the research plan and MAID delivery practices. Health Canada plans to provide more details to ESDC about the composition and role of this Expert Reference Network.

In February 2024, Parliament passed legislation to exclude MAID for those suffering from a mental illness alone for three years, until March 2027. The disability community openly supported the decision to further delay the expansion of eligibility criteria for MAID.

Key messages

As we heard from witness testimony at Parliamentary committees, the disability community is concerned about the influence of longstanding socioeconomic barriers and systemic ableism faced by persons with disabilities. Taking action to reduce these barriers to inclusion is an important role that we all share across governments, sectors and society.

I am committed to working with my federal colleagues as well as with my provincial and territorial counterparts to ensure that we collectively support persons with disabilities to live in dignity, participate meaningfully in all aspects of life and are valued for their contributions.

It will also be important to understand exactly how and when MAID is being accessed. Recently, Health Canada implemented changes to the Federal MAID Monitoring System through regulatory amendments to improve data collection and support analysis of inequality or disadvantage in the MAID system.

3.f. Accessible print materials

Access to alternate format reading material

Access to reading materials in alternate formats such as Braille, large print, and audio is critical for persons with print disabilities to fully participate in Canada's economy, culture and society.

Background

From 2005 to 2021, the Government of Canada provided almost $40 million in ad hoc funding to CNIB, Centre for Equitable Library Access (CELA) and National Network for Equitable Library Service (NNELS) to convert reading materials into alternate formats and provide them to persons with print disabilities. The launch of the new Equitable Access to Reading Program (EARP) will provide consistent, predictable, long-term funding to organizations that support making alternate format reading materials available to persons with print disabilities.

In 2021, as an early action item under the Disability Inclusion Action Plan, the Government committed to "permanently improve access to alternate format reading materials for persons with print disabilities". To meet this mandate commitment, Budget 2022 invested $38 million over seven years to provide long-term, predictable funding to support the production of reading materials in alternate formats for persons with print disabilities. This funding included:

Key facts

In October 2022, ESDC received an initial $5 million that was announced in Budget 2022 through Supplementary Estimates B to provide support to CELA and NNELS in 2022 to 2023 and 2023 to 2024, and $500,000 for a Statistics Canada survey to inform the EARP.

ESDC signed contribution agreements with CELA and NNELS in July 2023 to provide funding for 2023 to 2024 and Statistics Canada released its survey results on October 3, 2023.

In January 2024, Treasury Board approved ESDC access to the remaining $32.5 million in funding announced in Budget 2022 to launch the EARP, beginning in 2024 to 2025. The new EARP will be launched in 2024, pending Parliamentary approval of the Main Estimates 2024 to 2025, which will increase ESDC's annual reference levels by $32.5 million to launch and administer the EARP.

Key messages

With approximately 5.2 million Canadians having a difficulty with reading printed materials and over half of these individuals (51.5% or 2.5 million) requiring alternate formats to read, the Government of Canada recognized the need for more measures to improve the availability of alternate formats to ensure their full inclusion in society and the economy.

As an early action to implement the Disability Inclusion Action Plan, Budget 2022 provided $38 million in funding, beginning in 2022 to 2023, to improve access to alternate format reading materials for persons with print disabilities through the Centre for Equitable Library Access (CELA) and National Network for Equitable Library Service (NNELS), conduct research on the needs of persons with print disabilities, and launch a new Equitable Access to Reading Program (EARP) in 2024 to 2025 to boost the availability of reading materials in alternate formats.

To implement these commitments on alternate formats ESDC signed a total of $5 million in contribution agreements with CELA and NNELS to support the production of alternate format reading materials as ESDC develops the EARP. The agreements to provide funding for 2022 to 2023 were signed in autumn 2022, while those to provide funding for 2023 to 2024 were signed in July 2023.

Conducted a Statistics Canada survey between March and April 2023 to assess the needs of persons with print disabilities to inform the EARP. Survey results were released on Statistics Canada's website in October 2023. In addition, ESDC undertook engagement with a wide range of disability organizations and other stakeholders implicated in alternate formats. A What Was Heard report on this engagement will be forthcoming in spring 2024.

Pending Parliamentary approval of Main Estimates 2024 to 2025, which will increase ESDC's annual reference levels by $32.5 million over five years beginning in 2024 to 2025 to launch and administer EARP, the department will launch EARP in 2024 through a competitive Call for Proposals.

4. Diversity and Anti-Racism - Hot issues

4.a. Canada's Anti-Racism Strategy

Background

Canada's Anti-Racism Strategy 2019 to 2022
Mandate Letter Commitments: Canada's Anti-Racism Strategy
Data and Evidence

Since the start of the Israel-Hamas conflict, there has been a significant uptick in racial incidents, cases of racial discrimination, and threats against local communities in Canada, leading to growing concerns about the rise of antisemitism and Islamophobia.

4.b. United Nations Decade for People of African Descent

Issue

What has the Government of Canada done to advance its commitments to the United Nations International Decade for People of African Descent (the Decade)

Background

Key facts

Key messages

4.c. Supporting Black Canadian Communities Initiative

Issue

Budget 2023 is proposing to provide $25 million in 2024 to 2025 for the SBCCI. How will Black-led communities benefit from this funding

Background

Key facts

Key messages

4.d. Black-led Philanthropic Endowment Fund

Issue

How will the Black-led Philanthropic Endowment Fund benefit Black communities?

Background

Key facts

Key messages

4.e. Fact Sheet Community Support, Multiculturalism, and Anti-racism Initiatives Program

Background

Since 2019, the Government of Canada has committed close to $100 million through Canada's Anti-Racism Strategy, including $70 million to support community organizations across Canada in addressing issues of anti-racism and multiculturalism.

The Community Support, Multiculturalism, and Anti-Racism Initiatives Program (CSMARI) supported the mandate of the department of Canadian Heritage by building on Canada's strength as a diverse and inclusive society.

The CSMARI Program had three funding components: Events, Projects, and Community Capacity Building. Since 2018 to 2019:

The Program's objectives were to:

Table: CSMARI Program components – Overview (not included in original binder)
Component Objective Eligible applicants
Events Funding community-based events that, among other priorities, promote intercultural or interfaith understanding, build community resilience, combat anti-Asian racism and celebrate the UN International Decade for People of African Descent.
  • Non-profits
  • Unincorporated groups of individuals
  • Municipalities with population under 10,000
  • Indigenous non-profit organizations
  • Read more about who can apply for funding for the Events component.
Organizational Capacity-Building Building the capacity of organizations to promote diversity and inclusion.
  • Non-profits
  • Indigenous governments, tribal & band councils, & non-profit organizations
  • Read more about who can apply for funding for the Organizational Capacity- Building component.
Projects Community development, anti-racism initiatives, and engagement projects that promote diversity and inclusion by encouraging interaction among community groups.
  • Non-profits
  • Indigenous governments, tribal & band councils, & non-profit organizations
  • Crown Corporations
  • Non-federal public institutions
  • Provinces and territories, municipal governments.
  • Read more about who can apply for funding for the Projects component.

CSMARI Events

Continuous intake, applicants could apply at any time and previously were required to apply 18 weeks prior to Event start date

CSMARI Community Capacity Building (CCB)

2 Intakes (launch): 2018 and 2020

CSMARI Projects

2 Intakes (launch), in 2018 and 2020, and an off-cycle intake in 2023:

Community Support for Black Canadian Youth Initiative (CSBCY) Projects

Considerations

In fall 2023, Treasury Board approved a submission designed to streamline and improve delivery of the program and access a new funding envelope related to the new Canada Anti-Racism Strategy. As part of this request, the application process was simplified, and the program was consolidated under a single program. The renewed program, entitled Multiculturalism and Anti-Racism Program (MARP), maintains its original three funding components: Events, Projects and Organizational Capacity Building. An Organizational Capacity-Building Call for Proposals was launched on December 11, 2023, and a new Call for Proposals under the Projects component will be launched in fall 2024.

4.f. Anti-Racism Action Program

Background

Since 2019, the Government of Canada has committed close to $100 million through Canada's Anti-Racism Strategy (CARS), including $70 million to support community organizations across Canada addressing issues of anti-racism and multiculturalism.

The Anti-Racism Action Program (ARAP) was one important means by which the Government of Canada implemented CARS.

The ARAP was intended to help address barriers to employment, justice and social participation among Indigenous peoples, racialized communities and religious minorities.

Since the ARAP was launched in 2019 to 2020, 174 projects have been funded for a total investment of $35.1 million.

The objectives of the program were to:

Stream; ARAP:

All funded Grants and Contributions can be found at this link

Intake and projects approved:

1 Intake, closed January 2020, 1,100 applications received.

1st round of assessment in 2020 (ARAP 1.0).

2nd round of assessment (ARAP 2.0) following Fall Economic Statement 2020, supplement of $20M.

Considerations

To simplify the funding application process for organizations, the program has consolidated its two programs, the Community Support, Multiculturalism, and Anti-Racism Initiatives Program (CSMARI) Program and the ARAP, under a single program. The renewed program, entitled Multiculturalism and Anti-Racism Program, maintains its original three funding components: the Events, the Projects and the Organizational Capacity Building.

4.g. Community Media Advocacy Centre

Issue

What is the status of the Department of Canadian Heritage's (PCH) recovery of funding from the Community Media Advocacy Centre (CMAC)?

Key Facts

Key Messages

*In December 2023, MARP consolidated its two programs into one. The renewed program maintains its original three funding components: Events, Projects and Organizational Capacity Building

Appendix

5. Estimates

5.a. ESDC - 2023 to 2024 Supplementary estimates C overview

Subject: Overview - Tabling of the Supplementary Estimates (C) for Fiscal Year Ending March 31, 2024.

Issue

Why does Employment and Social Development Canada (ESDC) require additional authorities in the Supplementary Estimates (C) for fiscal year ending March 31, 2024?

Key Facts

Supplementary Estimates seek parliamentary approval for changes to departmental spending plans for the current fiscal year.

ESDC is requesting a total of $1.5 billion in additional authorities through the Supplementary Estimates (C).

Response

ESDC is requesting adjustments for:

Table 1: Voted Appropriations (in dollars)
A. Voted Appropriations Operating Vote 1 Grants and Contributions Vote 5 Debt Write-Off Vote 10 Total
1. Funding to write off unrecoverable debts owed to the Crown for Canada Student Loans and Canada Apprentice Loans 0 0 215,518,566 215,518,566
2. Funding for onboarding Old Age Security under Benefits Delivery Modernization (Budget 2023) 37,707,092 0 0 37,707,092
3. Funding for employment assistance services under the Enabling Fund for Official Language Minority Communities (Budget 2023) 3,656,092 6,000,000 0 9,656,092
4. Funding for a sustainable jobs training stream under the Canadian Apprenticeship Strategy 4,143,074 5,079,932 0 9,223,006
5. Funding for a new agriculture and fish processing stream within the Temporary Foreign Worker Program (horizontal item) 5,543,622 0 0 5,543,622
6. Funding for the Action Plan for Official Languages 2023 to 2028 (Budget 2023) (horizontal item) 1,518,488 1,126,904 0 2,645,392
7. Funding for the Registration and Authentication Call Centre (Budget 2023) 1,924,765 0 0 1,924,765
8. Funding to launch a Sustainable Jobs Training Fund through the Sectoral Workforce Solutions Program 1,471,175 0 0 1,471,175
9. Funding to improve external identity validation measures 376,442 0 0 376,442
Sub-total Voted Appropriations 56,340,750 12,206,836 215,518,566 284,066,152
Table 2: Transfers (in dollars)
 
B. Transfers		 Operating Vote 1 Grants and Contributions Vote 5 Total
10. From the Public Health Agency of Canada to the Department of Employment and Social Development for activities related to the Indigenous Early Learning and Child Care Transformation Initiative 0 890,149 890,149
11. From various organizations to the Treasury Board Secretariat for the Transfer Payments Innovation Agenda -15,000 0 -15,000
12. From the Department of Employment and Social Development to the Canadian Accessibility Standards Development Organization for the reallocation of compensation adjustments -225,000 0 -225,000
13. From the Department of Employment and Social Development to the Office of Infrastructure of Canada for compensation adjustments as well as for the costs of providing information technology services for the Reaching Home Project Results Reporting Platform -974,619 0 -974,619
14. From the Department of Employment and Social Development to the Department of Indigenous Services for the Indigenous Early Learning and Child Care Transformation Initiative 0 -3,332,300 -3,332,300
15. From the Department of Employment and Social Development to the Department of Crown-Indigenous Relations and Northern Affairs to support Indigenous Early Learning and Child Care 0 -5,344,730 -5,344,730
Sub-total Transfers -1,214,619 -7,786,881 -9,001,500
Table 3: Budgetary Statutory Authorities (in dollars)
C. Budgetary Statutory Authorities Total
16.
  • Old Age Security Payments
  • Guaranteed Income Supplement Payments
  • Allowance Payments
  • -437,000,000
  • -12,000,000
  • 1,000,000
17.
  • Canada Student Grants
  • Payments under the Canada Student Financial Assistance Act (CSFAA)
  • Payments under the Apprentice Loans Act (ALA)
  • Interest and other liabilities under the CSFAA
  • 499,201,074
  • 30,648,045
  • 939,894
  • -45,412
18.
  • Canada Education Savings Grant payments
  • Canada Learning Bond payments
  • -10,000,000
  • -9,000,000
19.
  • Canada Disability Savings Bond payments
  • Canada Disability Savings Grant payments
  • -72,887,482
  • -171,957,262
20.
  • 20.1 Canada Recovery Benefit
  • 20.2 Canada Recovery Caregiving Benefit
  • 20.3 Canada Recovery Sickness Benefit
  • 20.4 Canada Worker Lockdown Benefit
  • 4,661,541
  • 14,410,894
  • 474,838
  • -787,009
21. Spending of revenues pursuant to subsection 5.2(2) of the Department of Employment and Social Development Act (DESDA) 125,818,612
22. Contributions to employee benefit plans 8,487,664
Sub-total Budgetary Statutory Authorities -28,034,603

Summary of Total Budgetary Authorities (in dollars)

Statutory Non-Budgetary Authorities (in dollars)

Background

A. Voted Appropriations

1- Funding to write off unrecoverable debts owed to the Crown for Canada Student Loans and Canada Apprentice Loans - $215.5 million

ESDC is requesting an amount of $215.5 million to write-off 20,201 debts related to Canada Student Direct Loans (CSL) and Canada Apprentice Loans (CAL) in these Supplementary Estimates. A very small amount ($2,711) is associated to the write-off of 23 Canada Apprentice Loans.

The CSL and CAL write-off is related to student loan debts for which all reasonable collection efforts have been exhausted.

The write-off of unrecoverable Canada Student Loans and Canada Apprentice Loans is an annual accounting exercise, approved by the National Write-Off and Remissions Review Committee.

Removing these student loan debts from Canada Student Financial Assistance Program accounts reduces the total portfolio size, providing room within the portfolio's regulatory limit, allowing for more student loans to be available to Canadians.

This year's write-off of $215.5 million (compared to a final write-off amount of $220.6 million in the fiscal year 2022 to 2023) represents less than one percent of the Canada Student Loan Program and Canada Apprentice Loans portfolio value, which is consistent with the proportion of loans written-off in previous years. This trend is expected to continue.

ESDC is requesting authority to include $215,518,566 in Vote 10 (Debt write-off) to write off unrecoverable debts owed to the Crown for Canada Student Loans and Canada Apprentice Loans as part of the Supplementary Estimates (C) 2023 to 2024.

2- Funding for onboarding Old Age Security under Benefits Delivery Modernization (Budget 2023) - $37.7 million

ESDC delivers more than $60 billion in OAS benefits. Budget 2023 announced a funding of $123.9 million over seven years, starting in the fiscal year 2023 to 2024 to complete OAS IT modernization to ensure the timely and reliable delivery of these critical benefits.

The Benefits Delivery Modernization (BDM) Programme is the largest Information Technology (IT) transformation initiative ever undertaken by the Government of Canada. The goal of BDM is to modernize the technology that administers Old Age Security (OAS), Employment Insurance (EI) and Canada Pension Plan (CPP).

OAS is the first benefit to onboard onto the BDM platform. The most significant milestone to date of the BDM Programme was achieved in June 2023 with the successful deployment of the first release of OAS onto BDM, covering over 600,000 Foreign Benefits clients. The OAS on BDM project remains on track for the full migration of the remaining 7.3 million clients by December 2024 followed by a 9‑month stabilization period.

The amount of $37.7 million represents the Consolidated Revenue Fund (CRF) portion of the funding required for the fiscal year 2023 to 2024. An additional $53.3 million is funded from the Employment Insurance (EI) Operating Account for the EI Planning, Design, and Proof of Concept. EI funding is not included in the Estimates.

ESDC is requesting authority to include $37,707,092 in Vote 1 (operating expenditures, excluding EBP costs of $5,065,891) for onboarding Old Age Security under Benefits Delivery Modernization as part of the Supplementary Estimates (C) 2023 to 2024.

3- Funding for employment assistance services under the Enabling Fund for Official Language Minority Communities (Budget 2023) - $9.7 million

Budget 2023 announced a funding of $208 million over five years, starting in the fiscal year 2023 to 2024, and $54.0 million ongoing to expand the Enabling Fund for Official Language Minority Communities (OLMC) program to support official language minority community organizations to deliver employment assistance services (EAS).

In the fiscal year 2023 to 2024, ESDC is requesting $9.7 million to start operationalizing the program to respond to OLMC EAS needs across Canada.

This new EAS stream and the Enabling Fund for Official Language Minority Communities core program supports the Department's contribution to the Action Plan for Official Languages 2023 to 2028: Protection - Promotion - Collaboration.

The Enabling Fund is the Department's main program for meeting its responsibilities under the Official Languages Act to enhance the vitality of Official Language Minority Communities in Canada.

This new stream strengthens this commitment by ensuring Canadians living in linguistic minority communities have access to employment assistance services provided in the official language of their choice, and by organizations that best understand their unique needs.

ESDC is requesting authority to include $3,656,092 in Vote 1 (operating expenditures, excluding EBP costs of $782,894) and $6,000,000 in Vote 5 (Grants and Contributions) for employment assistance services under the Enabling Fund for Official Language Minority Communities as part of the Supplementary Estimates (C) 2023 to 2024.

4 - Funding for a sustainable jobs training stream under the Canadian Apprenticeship Strategy - $9.2 million

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

The funding of $9.2 million requested for the fiscal year 2023 to 2024 will support a new sustainable jobs stream under the Union Training and Innovation Program, which is now part of the Canadian Apprenticeship Strategy program. This measure will provide funding for union-led green skills training for 20,000 apprentices and journeypersons in the Red Seal trades, helping to better equip them with the skills needed to succeed in the clean economy.

ESDC is requesting authority to include $4,143,074 in Vote 1 (operating expenditures, excluding EBP costs of $676,737) and $5,079,932 in Vote 5 (Grants and Contributions) to implement a sustainable job training stream under the Canadian Apprenticeship Strategy as part of the Supplementary Estimates (C) 2023 to 2024.

5 - Funding for a new agriculture and fish processing stream within the Temporary Foreign Worker Program (horizontal item) - $5.5 million

Every year, over 66,000 temporary foreign workers enter Canada to work in the country's primary agriculture and fish and seafood processing sector, which represents approximately 43% of all temporary foreign worker positions approved by Employment and Social Development Canada (ESDC) in 2022.

Budget 2022 announced $48.2 million over three years, to create a new Foreign Labour Program for agricultural and fish processing. This program will help further strengthen worker protection and better support the labour needs of Canada's food producers.

In collaboration with Immigration, Refugees and Citizenship Canada (IRCC), ESDC is actively working to deliver on the Federal 2022 Budget commitment to develop the new foreign labour program for agriculture and fish processing.

Funding of $5.5 million requested by ESDC for the fiscal year 2023 to 2024 will support the creation of the new stream, including a sector-specific work permit, and expanded and modernized partner country agreements.

The objective is to have the new stream implemented by January 1, 2027, with transitional measures and benefits being rolled out to employers and workers starting in 2025.

ESDC is requesting authority to include $5,543,622 in Vote 1 (operating expenditures, excluding EBP costs of $916,710) for a new agriculture and fish processing stream within the Temporary Foreign Worker Program as part of the Supplementary Estimates (C) 2023 to 2024.

6 - Funding for the Action Plan for Official Languages 2023 to 2028 (Budget 2023) (horizontal item) - $2.6 million

Budget 2023 proposed to provide $373.7 million over five years, starting in the fiscal year 2023 to 2024, to support new and enhanced federal initiatives under the Action Plan for Official Languages 2023 to 2028.

The funding of the Action Plan for Official Languages 2023 to 2028: Protection - Promotion - Collaboration, released on April 26, 2023 will be distributed across 24 initiatives, which are divided among 6 federal institutions (Canadian Heritage, Immigration, Refugees and Citizenship Canada, Health Canada, Justice Canada, Statistics Canada and Employment and Social Development Canada) and would be implemented by each of them.

This funding will address the demographic weight of Francophone minority communities; support the development of Quebec's English-speaking communities; revive the growth of bilingualism among Canadians; further support Francophone immigration outside Quebec; protect and promote the French language; provide more opportunities for everyone to learn and appreciate the official languages throughout life; and support sectors essential to the vitality of official language minority communities: immigration, employment, education, justice, health, arts and culture.

ESDC is requesting authority to include $1,518,488 in Vote 1 (operating expenditures, excluding EBP costs of $337,717) and $1,126,904 in Vote 5 (Grants and Contributions) for the Action Plan for Official Languages 2023 to 2028 as part of the Supplementary Estimates (C) 2023 to 2024.

7 - Funding to support the Registration and Authentication Call Centre (Budget 2023) - $1.9 million

Budget 2023 proposed $30.3 million over two years, starting in the fiscal year 2023 to 2024, to support the Registration and Authentication (R&A) Call Centre. This funding will ensure the R&A Call Centre will have the capacity to maintain service levels to support Canadians having technical challenges with their My Service Canada Account.

The amount of $1.9 million represents the Consolidated Revenue Fund (CRF) portion of the funding required for the fiscal year 2023 to 2024. Additional $10.5 million is funded from the Employment Insurance (EI) Operating Account and $0.8 million is funded from Canada Pension Plan. EI and CPP funding are not included in the Estimates.

This funding will ensure ESDC can continue to provide clients with timely access to agents to resolve enquiries and improve the ability of clients to access secure online services and programs for which they are eligible.

ESDC is requesting authority to include $1,924,765 in Vote 1 (operating expenditures, excluding EBP costs of $392,829) to support the Registration and Authentication Call Centre as part of the Supplementary Estimates (C) 2023 to 2024.

8 - Funding to launch a Sustainable Jobs Training Fund through the Sectoral Workforce Solutions Program - $1.4 million

In 2022, the Government announced the 2030 Emissions Reduction Plan, an achievable sector-by-sector roadmap for Canada to reach its climate targets in a manner that will help ensure economic competitiveness, prosperity and create good jobs.

Subsequently, through the Fall Economic Statement 2022 and Budget 2023, the Government of Canada announced $125 million over five years, starting in the fiscal year 2023 to 2024, to launch the Sustainable Jobs Training Centre.

The funding of $9.2 million requested for the fiscal year 2023 to 2024 will support the work necessary to launch the new Sustainable Jobs Training Centre, now called the Sustainable Jobs Training Fund, to help workers upgrade or gain new skills for jobs in the low-carbon economy.

Through a Call for Proposals, this Fund will support a series of training projects to help 15,000 workers across the country upgrade or gain new skills for jobs in the low carbon economy.

The Department is advancing work on this commitment and it is anticipated that a Call for proposals will take place in 2024.

ESDC is requesting authority to include $1,471,175 in Vote 1 (operating expenditures, excluding EBP costs of $314,886) to launch a Sustainable Jobs Training Fund through the Sectoral Workforce Solutions Program as part of the Supplementary Estimates (C) 2023 to 2024.

9 - Funding to improve external identity validation measures - $0.4 million

ESDC is seeking to access $17.1 million over five years, starting in the fiscal year 2023 to 2024, to maintain strong authentication tools and processes to support identity validation and prevent external fraud such as identity theft.

This funding will ensure that the Department can continue to protect the personal information contained in the Department digital service delivery platforms such as My Service Canada Account (MSCA), validate client identity and ensure that benefits are paid to the right individuals.

The amount of $0.4 million represents the Consolidated Revenue Fund (CRF) portion of the funding required for the fiscal year 2023 to 2024. In addition, $2.7 million is funded from the Employment Insurance (EI) Operating Account and $0.3 million is funded from Canada Pension Plan which are not included in the Estimates.

ESDC is requesting authority to include $376,442 in Vote 1 (operating expenditures) to improve external identity validation measures as part of the Supplementary Estimates (C) 2023 to 2024.

B. Transfers

10 - From the Public Health Agency of Canada to the Department of Employment and Social Development for activities related the Indigenous Early Learning and Child Care Transformation Initiative - $0.9 million

Under the IELCC Initiative, Indigenous partners have the flexibility to request that some or all of their funding be advanced through existing funding agreements with a selection of federal departments that deliver IELCC programs, namely, ESDC, Indigenous Services Canada (ISC), Public Health Agency of Canada (PHAC), and Crown-Indigenous Relations and Northern Affairs Canada (CIRNAC).

A Memorandum of Understanding (MOU) between ESDC, PHAC, and ISC was developed to set out the terms and conditions for the transfer of funds between the departments, be used to fund recipients responsible for the implementation of the Indigenous Early Learning and Child Care (IELCC) Transformation Initiative, as per IELCC plans and leadership endorsed resolutions determined by Indigenous partners.

A selection of First Nations partners in Alberta have requested that ELCC funding they previously received through PHAC be advanced through their agreements with ESDC.

ESDC is requesting authority to include a transfer of $890,149 in Vote 5 (Grants and Contributions) from the Public Health Agency of Canada for activities related to the Indigenous Early Learning and Child Care Transformation Initiative as part of the Supplementary Estimates (C) 2023 to 2024.

11 - From various organizations to the Treasury Board Secretariat for the Transfer Payments Innovation Agenda - $15 thousand

The Office of the Comptroller General (OCG) leads the Grants and Contributions (Gs and Cs) Innovation Agenda, called the Policy on Transfer Payments Renewal and Innovation Agenda (Agenda), in partnership with the transfer payment community.

The Agenda consists of an enterprise-wide approach that addresses key enabling systems and resources that would lead to broader and more meaningful impact on digital and data capabilities; policies and processes flexibility, integrity and results; and supporting the Gs and Cs practitioners and enabling innovation.

In the fiscal year 2023 to 2024, TBS signed Memorandum of Understanding (MOU) with the largest seventeen Gs and Cs delivery departments, including ESDC, to support the OCG in the delivery of the Agenda.

For the period covered by this MOU, the estimated total cost to ESDC will be $65 thousands in Vote 1 over 2 years, starting in the fiscal year 2023 to 2024.

ESDC is requesting authority to include a transfer of $15,000 in Vote 1 (Operating expenditures) to the Treasury Board Secretariat for the Transfer Payments Innovation Agenda as part of the Supplementary Estimates (C) 2023 to 2024.

12 - From the Department of Employment and Social Development to the Canadian Accessibility Standards Development Organization for the reallocation of compensation adjustments - $225 thousand

The transfer of $225 thousand represents funding for the economic increase resulting from the PSAC, EC, CT and EX collective agreements recently ratified.

The funding tied to CASDO employees was incorrectly allocated to ESDC by the Treasury Board Secretariat, resulting in a salary shortfall for CASDO.

An agreement was reached between both organizations, for ESDC to transfer salary funding to CASDO.

ESDC is requesting authority to include a transfer of $225,000 in Vote 1 (Operating expenditures) to the Canadian Accessibility Standards Development Organization for the reallocation of compensation adjustments as part of the Supplementary Estimates (C) 2023 to 2024.

13 - From the Department of Employment and Social Development Canada to the Office of Infrastructure of Canada for compensation adjustments as well as for the costs of providing information technology services for the Reaching Home Project Results Reporting Platform - $1.0 million

On October 26, 2021, an Order in Council transferred the Reaching Home program from ESDC to Infrastructure Canada (INFC).

A Memorandum of Understanding (MOU) is in place between ESDC and INFC, for ESDC to provide implementation and technical support to INFC. As part of this MOU, ESDC provided Information Technology (IT) support for a number of Infrastructure Canada IT business solutions in the fiscal year 2023 to 2024. The services provided are valued at $467,119.

ESDC and INFC are collaborating on the eventual transfer of IT services to INFC in the coming years.

The transfer also includes $0.5 million of funding for the recently ratified collective agreements. The funding for the economic increase tied to the Homelessness program was allocated to ESDC as opposed to INFC and consequently, INFC is facing a salary shortfall.

An agreement was reached between both organizations, for ESDC to transfer salary funding to INFC.

ESDC is requesting authority to include a transfer of $974,619 in Vote 1 (Operating expenditures) to the Office of Infrastructure of Canada for compensation adjustments as well as for the costs of providing information technology services for the Reaching Home Project Results Reporting Platform program as part of the Supplementary Estimates (C) 2023 to 2024.

14 - From the Department of Employment and Social Development to the Department of Indigenous Services for the Indigenous Early Learning and Child Care Transformation Initiative - $3.3 million

Under the IELCC Initiative, Indigenous partners have the flexibility to request that some or all of their funding be advanced through existing funding agreements with a selection of federal departments that deliver IELCC programs, namely, ESDC, Indigenous Services Canada (ISC), Public Health Agency of Canada (PHAC), and Crown-Indigenous Relations and Northern Affairs Canada (CIRNAC).

A Memorandum of Understanding (MOU) between ESDC, PHAC, and ISC was developed to set out the terms and conditions for the transfer of funds between the departments, be used to fund recipients responsible for the implementation of the Indigenous Early Learning and Child Care (IELCC) Transformation Initiative, as per IELCC plans and leadership endorsed resolutions determined by Indigenous partners.

A selection of First Nations partners in the Atlantic region, Ontario and Alberta have requested that their ELCC funding be advanced through their agreements with ISC.

ESDC is requesting authority to include a transfer of $3,332,300 in Vote 5 (Grants and Contributions) to the Department of Indigenous Services for the Indigenous Early Learning and Child Care Transformation Initiative as part of the Supplementary Estimates (C) 2023 to 2024.

15 - From the Department of Employment and Social Development to the Department of Crown-Indigenous Relations and Northern Affairs to support Indigenous Early Learning and Child Care - $5.3 million

Under the Indigenous Early Learning and Child Transformation Initiative (IELCC Initiative), Indigenous partners have the flexibility to request that some or all their funding be advanced through existing funding agreements with federal departments that deliver IELCC programs. These departments include ESDC, Indigenous Services Canada (ISC), the Public Health Agency of Canada (PHAC), and Crown-Indigenous Relations and Northern Affairs Canada (CIRNAC).

ESDC and CIRNAC are entering an Interdepartmental Letter of Agreement (ILA) to provide for the transfer of funds from ESDC to CIRNAC to support the transfer of IELCC through the Recipient's Financial Transfer Agreement (FTA).

A selection of Inuit partners, Self-Governing First Nations in the Yukon, and Métis Nation partners have requested that their ELCC funding be advanced through their agreements with CIRNAC.

ESDC is requesting authority to include a transfer of $5,344,730 in Vote 5 (Grants and Contributions) to the Department of Crown-Indigenous Relations and Northern Affairs to support Indigenous Early Learning and Child Care as part of the Supplementary Estimates (C) 2023 to 2024.

C. Statutory Budgetary Authorities

16 - Elderly Benefits - Decrease of $448.0 million

Old Age Security Payments - Decrease of $437.0 million

There is an overall decrease of $437.0 million in forecasted expenditures for the OAS pension - representing 0.8% - for the fiscal year 2023 to 2024, as estimated by Finance Canada in the Fall Economic Statement 2023. This decrease is an amalgamation of three components:

Guaranteed Income Supplement Payments (GIS) - Decrease of $12.0 million

There is an overall decrease of $12.0 million in forecasted expenditures for the GIS - representing 0.1% - for the fiscal year 2023 to 2024, as estimated by Finance Canada in the Fall Economic Statement 2023. This decrease is an amalgamation of two components:

Allowance Payments - Increase of $1.0 million

There is an overall increase of $1 million in forecasted expenditures for the Allowances - representing 0.2% - for the fiscal year 2023 to 2024, as estimated by Finance Canada in the Fall Economic Statement 2023. This increase is an amalgamation of two components:

17 - Canada Student Loans Programs - Increase of $530.7 million

Canada Student Grant - Increase of $499.2 million

The estimated Canada Student Grants for the fiscal year 2023 to 2024 have been increased by $499.2 million due to the new measure announced in the Budget 2023 increasing the maximum Canada Student Grants amount by 40% above pre-pandemic levels.

Payments related to the direct financing arrangement under the Canada Student Financial Assistance Act - Increase of $30.6 million

The estimated cost related to the direct financing arrangement under the Canada Student Financial Assistance Act for the fiscal year 2023 to 2024 has been increased by $30.6 million. This is mainly due to a higher-than-expected alternative payment to non-participating jurisdictions as a result of higher borrowing cost.

Payments related to the direct financing arrangement under the Apprentice Loan Act - Increase of $939.9 thousand

The estimated cost related to the direct financing arrangement under the Apprentice Loan Act for the fiscal year 2023 to 2024 has been increased by $939.9 thousand. This is mainly due to the following factors:

Interest and other Liabilities under the Canada Student Financial Assistance Act (Risk Shared Loans) - Decrease of $45.4 thousand

The estimates for Interest payments and liabilities have been adjusted to take into consideration the cost of buying-back Scotia Bank's portfolio net of the expected increase in recoveries following the recent re-purchase of multiple bank portfolios.

18 - Adjustment to Canada Education Savings grant and Canada Learning Bond payments - Decrease of $19.0 million

Canada Education Savings Grants - Decrease of $10.0 million

The main drivers behind this decline are the drop in performance of financial markets, high inflation, and economic uncertainty, which caused a decline in Canada Education Savings Grants (CESG) uptake and savings by families into RESPs as well as an increase in the number of families withdrawing contributions from RESPs prematurely which triggered CESG repayments.

Canada Learning Bond payments - Decrease of $9.0 million

The decrease in Canada Learning Bond (CLB) payments is a result of the lingering negative impact of the COVID-19 pandemic on the number of CLB beneficiaries. The number of children eligible for the CLB as well as the number of new and existing CLB beneficiaries dropped during the pandemic and are taking longer than expected to recover.

19 - Canada Disability Savings Program (Grant and Bond) - Decrease of $244.8 million

The decrease of $244.8 million in Canada Disability Savings Program expenditures in the fiscal year 2023 to 2024 is mainly due to:

The decrease in forecasts for the number of Registered Disability Savings Plans (RDSP) as well as CDSG and CDSB payments is due to the following factors:

- Budget 2022 changes to the Income Tax Act permitted persons with type one diabetes (T1D) to be eligible for the Disability Tax Credit; the increase in the number of RDSPs opened as a result of this change was lower than expected in the first 6 months of the fiscal year 2023 to 2024.

20 - Adjustment to Canada Recovery Benefits and Canada Worker Lockdown Benefit - Increase of $18.8 million

As part of Canada's COVID-19 Economic Response Plan, effective September 27, 2020, the Government introduced a suite of three new benefits to provide income support to Canadians: the Canada Recovery Benefit, the Canada Recovery Sickness Benefit and the Canada Recovery Caregiving Benefit.

Payments for the Canada Recovery Benefit - Increase of $4.7 million

The Canada Recovery Benefit (CRB) was available to those who were not employed or self-employed for reasons related to COVID-19 and were not eligible for EI, or who were working and had a reduction of at least 50% in their employment/self-employment income for reasons related to COVID-19.

The CRB was initially available for a maximum of 26 weeks. However, as the course of the pandemic evolved, the Government extended the benefit on several occasions, most recently increasing the maximum duration from 50 to 54 weeks in July 2021. The benefit program ended on October 23, 2021.

The CRB provided a weekly benefit amount of $500 paid for up to 42 weeks. Claimants who had already received CRB payments for 42 weeks and new CRB claimants as of July 18, 2021 received a weekly benefit of $300 for up to 54 weeks.

The overall increase of $4.7 million in forecasted expenditures for the CRB for the fiscal year 2023 to 2024, as estimated by Finance Canada and the Canada Revenue Agency (CRA), is reflective of the extension of income support available from a maximum of 50 to a maximum of 54 weeks, as well as revised projected take-up rates based on take-up to date, and CRA's continued administration of the program including compliance and collection.

Payments for the Canada Recovery Caregiving Benefit - Increase of $14.4 million

The Canada Recovery Caregiving Benefit (CRCB) provided $500 per week for up to 44 weeks for workers who were unable to work at least 50% of their scheduled work week because they had to stay at home to provide care to a young child or a family member who required supervision when they were not able to attend their school or facility due to COVID-19.

As COVID-19 public health measures remained in place, on December 17, 2021, the Government of Canada extended the CRCB until May 7, 2022, and increased the maximum duration of benefits by an additional two weeks, from 42 to a maximum of 44 weeks, to ensure that workers continued to have income support if they could not work because they had to provide care to a child or a family member.

The CRCB ended on May 7, 2022, with last period for retroactive applications closing on July 6, 2022.

The overall increase of $14.4 million in forecasted expenditures for the CRCB for the fiscal year 2023 to 2024, as estimated by Finance Canada and the Canada Revenue Agency (CRA), is reflective of the revised projected take-up rates based on take-up trends.

Payments for the Canada Recovery Sickness Benefit - Increase of $0.5 million

The Canada Recovery Sickness Benefit (CRSB) provided $500 per week for up to six weeks for workers who were unable to work at least 50% of their scheduled work week because they contracted COVID-19, must self-isolate for reasons related to COVID-19, or had an underlying health condition that makes them more susceptible to COVID-19.

As COVID-19 public health measures remained in place, to ensure that impacted workers continued to have income support during the pandemic, on December 17, 2021, the Government extended of the CRSB until May 7, 2022 and increased the maximum duration of benefits by an additional two weeks, from four weeks to six weeks.

The CRSB ended on May 7, 2022, with its last period for retroactive applications closing on July 6, 2022.

The overall increase of $0.5 million in forecasted expenditures for the CRSB for the fiscal year 2023 to 2024, as estimated by Finance Canada and the Canada Revenue Agency (CRA), is reflective of the revised projected take-up rates based on take-up trends, and Canada Revenue Agency's continued administration of the program including compliance and collection.

Payments for the Canada Worker Lockdown benefit - Decrease of $0.8million

From the beginning of the COVID-19 pandemic, the Government of Canada has put Canadians first, providing them with the support they need to stay safe and healthy.

In December 2021, to support workers affected by a COVID-19 public health lockdown, the Government of Canada established the Canada Worker Lockdown Benefit (CWLB).

The CWLB provided a benefit amount of $300 per week for the duration of the lockdown and was available to workers who temporarily lost their employment or self-employment or experienced a reduction of at least 50% in their average weekly income for reasons related to a COVID-19 lockdown order in a designated region.

Once an Order designating lockdown region(s) for the CWLB was approved by the Governor in Council, eligible workers in these regions were able to access the benefit for specific weeks.

The CWLB was available to eligible workers from October 24, 2021 to May 7, 2022.

The overall decrease of $0.8 million in forecasted expenditures for the CWLB for the fiscal year 2023 to 2024, as estimated by Finance Canada and the Canada Revenue Agency (CRA), is reflective of the fact that the provinces and territories reopened quicker than expected following the Omicron wave. This resulted in a decrease in CRA's administration work and associated costs.

21 - Adjustment to Spending of revenues pursuant to subsection 5.2(2) of the Department of Employment and Social Development Act (DESDA) - Increase of $125.8 million

The increase to the estimated Spending of revenues pursuant to subsection 52.2(2) of DESDA of $125.8 million for the fiscal year 2023 to 2024 is due to the new service delivery partnership with Health Canada to support service delivery of the Canadian Dental Care Plan to the public.

Announced in Budget 2023, the Canadian Dental Care Plan will help ease the financial barriers to accessing oral health care for up to nine million uninsured Canadian residents with an annual family income of less than $90,000. On December 11, 2023, the Government of Canada announced the details of the phased roll-out of the Canadian Dental Care Plan, with enrolled Canadians to start seeing an oral health provider as early as May 2024.

22 - Contributions to employee benefit plans - Increase of $8.5 million

Contributions to employee benefit plans (EBP) include costs to the government for the employer's matching contributions and payments to the Public Service Superannuation Plan, the Canada and the Quebec Pension Plans, death benefits, and the Employment Insurance Operating Account.

The forecasted increase of $8,487,664 is directly linked to the Vote 1 - Operating funding being requested through the Supplementary Estimates (C) for the Voted Appropriations items presented in Section A (items 2, 3, 4, 5, 6, 7 and 8 above). The total EBP for each item is as follow:

Statutory Non-Budgetary Authorities

23 - Adjustment to Loans - Increase of $1,260.3 million

Loans disbursed under the Canada Student Financial Assistance Act - Increase of $1,255.3 million

The increase to the estimated Loans disbursed under the Canada Student Financial Assistance Act (CSFAA) of $1,255.3 million for the fiscal year 2023 to 2024, is mainly due to the following factors:

Loans disbursed under the Apprentice Loan Act - Increase of $5.0 million

The increase to the estimated Loans disbursed under the Canada Apprentice Loan Act (CAL) of $5.0 million for the fiscal year 2023 to 2024, is mainly due to the following factors:

Key Quotes

Nil

Prepared by Key contact Approved by Date
Isabelle Goudreau
A/Senior Director, Planning and Expenditure Management, CFOB 		Brian Leonard
Deputy Chief Financial Officer - Corporate Financial Planning
[Redacted, Telephone Number] 		Karen Robertson
Chief Financial Officer
[Redacted, Telephone Number] 		February 09, 2024

5.b. ESDC - DIPD 2023 to 2024 Supplementary estimates C placemat

ESDC is requesting a total of $247.0 million in additional authorities through the Supplementary Estimates (C), which would bring the total planned spending to $187.0 billion.

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

Figure on the left: ESDC total planned spending is $187.0 billion

  • Employment Insurance (EI) Benefits planned spending is $23.8 billion or 12.7% of total planned spending
  • Canada Pension Plan (CPP) Benefits planned spending is $62.3 billion or 33.3% of total planned spending
  • Other EI and CPP Recoveries and Workers Compensation planned spending is $3.6 billion or 1.9% of total planned spending
  • EI and CPP Operating Costs planned spending is $3.0 billion or 1.7% of total planned spending
  • Estimates to date, representing Main Estimates plus Supplementary Estimates A, B and C, is $94.3 billion or 50.4% of total planned spending

Figure on the right: ESDC Estimates to date, representing the proposed authorities to date, is $94.3 billion

  • Statutory planned spending is $82.4 billion or 87% of total Estimates to date
  • Vote 1 and Vote 10 - Operating Expenditures planned spending is $1.8 billion or 2% of total Estimates to date
  • Vote 5 - Grants and Contributions planned spending is $10.1 billion or 11% of total Estimates to date

Of the $187.0 billion in planned spending for the fiscal year 2023 to 2024, $94.3 billion is reported in the Estimates, of which $92,5 billion are statutory and voted transfer payment programs. Here are a few programs included in ESDC's Estimates to date:

ESDC - Summary of Budgetary Authorities as reported in Supplementary Estimates (C) in millions of dollars

Descriptive Text:

Of the $247.0 million requested through Supplementary Estimates (C), the following items fall under the responsibility of the Minister of Diversity, Inclusion and Persons with Disabilities: Adjustment to Canada Disability Savings Program = -$244.8 million.

5.c. ESDC - 2024 to 2025 Main estimates overview

Subject: Tabling of the Main Estimates for the Department of Employment and Social Development for the fiscal year ending March 31, 2025.

Issue

What are the financial highlights for the Department of Employment and Social Development's Main Estimates for the fiscal year ending March 31, 2025?

Key Facts

In Part II of Main Estimates for the fiscal year ending March 31, 2025, the Department of Employment and Social Development presents planned budgetary expenditures of $98.7 billion, which is over $4.5 billion higher than the planned budgetary expenditures of $94.2 billion for the fiscal year ending March 31, 2024.

Response

Background

Table: Variance planned budgetary expenditures for the year ending March 31, 2025 compared to the year ending March 31, 2024 (in millions of dollars)
Main Estimates by fiscal year Vote 1 Operating Vote 5 Grants and Contributions Statutory Items Total
2024 to 2025 Main Estimates 1,296.7 10,185.6 87,249.9 98,732.2
2023 to 2024 Main Estimates 1,273.3 9,892.3 82,986.7 94,152.3
Variance 23.4 293.3 4,263.2 4,579.9

Approximately $98,732.2 million in total budgetary funding is anticipated through the Main Estimates ($11,482.3 million in voted appropriations and $87,249.9 million in statutory spending). This excludes funding anticipated through Budget 2024. Over 88% of planned budgetary expenditures will directly benefit Canadians through statutory transfer payment programs, including the Old Age Security (OAS) program. Please note Employment Insurance and Canada Pension Plan benefits and related administrative costs are not included in the Estimates but are reflected in the Departmental Plan.

Overall, the Department of Employment and Social Development's total budgetary authorities for the year ending March 31, 2025 show a net increase of $4,579.9 million, or approximately 4.9%, from the previous year's total Main Estimates of $94,152.3 million.

This increase is primarily attributable to statutory items:

Voted grants and contributions (Vote 5) are expected to reach $10,185.6 million by March 31, 2025, an increase of $293.3 million from the Main Estimates for the year ending March 31, 2024 mainly attributable to an increase to payments to provinces and territories for Early Learning and Child Care, partly offset by a decrease in funding related to the Sectoral Workforce Solutions Program, the Apprenticeship Service, Skills for Success, the Youth Employment and Skills Strategy and the Social Finance Fund.

In addition, the Department plans to spend $1,296.7 million in net operating expenditures (Vote 1) in the year ending March 31, 2025, representing an increase of $23.4 million from previous year's total Main Estimates of $1,273.3 million. The increase is mainly related to compensation adjustments for new collective agreements.

Figures in the 2024 to 2025 Main Estimates include a reduction of $40.5 million for the Refocusing Government Spending exercise announced in the Budget 2023.

Regarding non-budgetary loans, there is a net increase in authorities of $1,048.4 million from the Main Estimates for the year ending March 31, 2024, mainly due increased Canada Student Loans disbursements related to the temporary measure announced in the Budget 2023, which proposed to raise the Canada Student Loan limit from $210 to $300 per week for the 2023 to 2024 academic year, and to lower Canada Student Loans repayments, mainly due to the economic situation and the permanent elimination of interests accrued, which can allow some borrowers to elect to pay off other debts with higher interest rates.

Key Quotes

Nil

5.d. ESDC - DIPD 2024 to 2025 Main estimates placemat

Figure: ESDC Total Planned Spending and Main Estimates
Figure: ESDC Total Planned Spending and Main Estimates: description follows
Descriptive text:

Figure on the left: ESDC total planned spending is $194.2 billion

  • EI Benefits planned spending is $25.1 billion or 12.9% of total planned spending
  • CPP Benefits planned spending is $65.3 billion or 33.6% of total planned spending
  • Other EI and CPP Recoveries and Workers Compensation planned spending is $2.6 billion or 1.3% of total planned spending
  • EI and CPP Operating Costs planned spending is $2.5 billion or 1.3% of total planned spending
  • Main Estimates represents $98.7 billion or 50.8% of total planned spending
  • Figure on the right: ESDC Main Estimates is $98.7 billion
  • Statutory planned spending is $87.2 billion or 88.4% of total Main Estimates
  • Vote 1 - Operating Expenditures planned spending is $1.3 billion or 1.3% of total Main Estimates
  • Vote 5 - Grants and Contributions planned spending is $10.2 billion or 10.3% of total Main Estimates

Of the $194.2 billion in planned spending for 2024 to 2025, $176.5 billion (91%) directly benefits Canadians through the following statutory transfer payment programs:

Of the $10.2 billion in voted grants and contributions included in ESDC's 2024 to 2025 Main Estimates, the following programs fall under the responsibility of the Minister of Diversity, Inclusion and Persons with Disabilities:

Additional information [text not in original document]

Figure: Canadians have access to ESDC services through
Figure: Canadians have access to ESDC services through: description follows
Descriptive text:
  • ESDC has 317 Service Canada Centres
  • ESDC has 247 Scheduled Outreach sites
  • ESDC has 19 Service Canada centres - Passport Services
  • ESDC has 15 Service Delivery Partner sites

Service Canada's in-person service network as of December 11, 2023.

As of April 1, 2024, ESDC's total number of Full-Time Equivalents (FTE) is 36,543.

For fiscal year 2024 to 2025, ESDC has reductions of $40.5 million related to the Refocusing Government Spending exercise. Reductions are as follow:

5.e. PCH - 2023 to 2024 Supplementary estimates C overview

Issue

Supplementary Estimates (C) 2023 to 2024.

Background

Key Facts

Transfer to Justice Canada - Total: $190,000

Transfer to Justice Canada for Canada's Anti-Racism Strategy. This funding will support research products to build understanding of the disparities and challenges faced by racialized and religious minority communities.

5.f. PCH - 2024 to 2025 Main estimates overview

Issue

Main Estimates 2024 to 2025.

Background

Key Facts

6. Funding

6.a PCH - Funding by project by province

Province/Territory Number of applications - 2018 to 2019 Amount approved - 2018 to 2019 Number of applications - 2019 to 2020 Amount approved - 2019 to 2020 Number of applications - 2020 to 2021 Amount approved - 2020 to 2021 Number of applcations - 2021 to 2022 Amount approved - 2021 to 2022 Number of applcations - 2021 to 2022 Amount approved- 2021 to 2022 Number of applcations - Total Amount approved - Total
Newfoundland and Labrador 9 $88,850 11 $220,985 5 $321,000 7 $1,038,635 12 $502,772 44 $2,172,242
Prince Edward Island 4 $38,300 5 $126,395 5 $311,803 2 $57,000 3 $149,260 19 $682,758
Nova Scotia 24 $344,189 35 $1,648,837 15 $815,919 16 $695,722 19 $1,318,871 109 $4,823,538
New Brunswick 15 $196,761 18 $807,413 6 $223,899 11 $514,525 19 $1,320,421 69 $3,063,019
Quebec 106 $1,957,626 181 $6,901,557 74 $3,854,339 120 $6,384,088 166 $9,990,454 647 $29,088,064
Ontario 94 $2,198,970 193 $14,521,663 78 $7,751,085 132 $12,876,316 183 $16,657,930 680 $54,005,964
Manitoba 11 $222,860 19 $2,528,549 7 $709,766 9 $1,219,228 14 $1,327,026 60 $6,007,429
Saskatchewan 8 $195,777 19 $1,341,010 6 $317,918 9 $573,000 14 $1,455,178 56 $3,882,883
Alberta 29 $1,011,255 42 $2,062,301 24 $1,304,488 32 $2,595,676 50 $2,933,070 177 $9,906,790
British Columbia 47 $550,349 71 $3,502,735 42 $2,164,775 47 $2,535,008 79 $5,358,719 286 $14,111,586
Nunavut 1 $57,800 1 $68,050 1 $56,341 4 $268,180 1 $50,000 8 $500,371
Northwest Territories 1 $23,438 1 $26,443 1 $50,000 3 $142,339 2 $90,000 8 $332,220
Yukon 3 $20,713 3 $30,810 4 $231,000 1 $40,000 4 $235,156 15 $557,679
Grand total 352 $6,906,888 599 $33,786,748 268 $18,112,333 393 $28,939,717 566 $41,388,857 2178 $129,134,543

Notes:

Page details

2024-09-19