Government Response to Opening the Door

GOVERNMENT RESPONSE TO THE SIXTH REPORT OF
THE STANDING SENATE COMMITTEE ON SOCIAL
AFFAIRS, SCIENCE AND TECHNOLOGY, ENTITLED
OPENING THE DOOR:
REDUCING BARRIERS TO
POST-SECONDARY
EDUCATION IN CANADA
HELPING ALL CANADIANS ACQUIRE
THE SKILLS AND KNOWLEDGE TO CONTRIBUTE TO
CANADA'S PROSPERITY
The Government of Canada welcomes the opportunity to respond to the Sixth
Report of the Standing Senate Committee on Social Affairs, Science and
Technology, entitled Opening the Door: Reducing Barriers to Post-Secondary
Education in Canada.
Canada’s growth and long term prosperity will depend in large part on the way
people develop and use their talent. With a diminishing share of the overall
population of working age, access to post-secondary education (PSE) will be vital
to meeting labour market demand for skills and increasing national productivity.
Growth in emerging economies also makes skill gains necessary, as firms will
rely on graduates from universities, colleges, polytechnics and apprenticeships to
innovate, adopt new digital technologies, and to improve competitiveness. In
light of these demographic and economic challenges, increasing PSE
participation, especially of individuals currently under-represented in PSE, has
become an economic necessity. But responsibility must be shared between both
governments and individuals, as there are also significant personal benefits for
Canadians with PSE, as graduates enjoy higher salaries, lower unemployment,
and a higher likelihood of making successful career transitions. This is why the
Government of Canada remains committed to working in partnership to reduce
barriers to, and contribute to the affordability of PSE.
The Government of Canada supports the creation of PSE opportunities for
Canadians by investing over $10 billion annually since 2009-2010 in direct
support to students and their families, research and infrastructure funding, and
transfers to provinces and territories. Recent federal announcements have
reaffirmed the Government of Canada’s commitment to helping Canadians
attend and afford PSE through up-front grants to students with financial need,
tax measures such as those to support apprenticeships, and tailored support for
groups such as Aboriginal people. The federal government also invests in the
research capacity of colleges and universities to train the next generation of
researchers and of highly skilled workers and to establish new connections with
innovative industries.
The Government of Canada supports the skills development of Canadians by
working in partnership with provinces, territories and stakeholders. It recognizes
the provincial and territorial governments’ primary responsibility for the design
and delivery of education and training. As a result, federal-provincial/territorial
collaboration in areas of mutual interest such as student financial assistance has
proven highly effective.
Canada leads the world in many measures of educational attainment, and
Canadians can be proud of their country’s record in terms of education and skills.
But in a competitive global knowledge economy, Canada cannot afford to take
prosperity for granted. The Government of Canada, through its Economic Action
Plans and other measures highlighted in this document, seeks to build on these
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educational successes and will continue to help Canadians develop the
knowledge and skills needed to fully participate in their communities, to fill the
jobs of today, and create the jobs of tomorrow.
PROMOTING SUCCESS IN POST-SECONDARY EDUCATION AND
TRAINING
The Government of Canada makes significant investments to help make postsecondary education and skills development more affordable and accessible for
all Canadians, with the long-term objective of supporting jobs, growth and longterm prosperity.
Making Post-Secondary Education Affordable for Students and Families
The Government of Canada offers a range of programs to promote high
attainment rates and equity in college, university and apprenticeships while
enabling students and families with proven financial need to complete their
education at a reasonable cost.
Loans, Grants and Repayment Assistance
The Canada Student Loans Program
Since its introduction in 1964, 4.7
(CSLP) offers financial assistance to
million students have received $34
students with demonstrated need.
billion from the CSLP, including nearly
The Government of Canada provides
$2.1 billion in student loans in 2009this assistance in partnership with
2010.
participating provinces and
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territories following a 60% / 40%
cost-sharing formula. Provinces and territories play a significant role in
delivering the CSLP’s benefits and, consequently, changes to the program at the
federal level are undertaken in close collaboration with provincial and territorial
partners.
CSLP supports include student loans for full- and part-time students, nonrepayable grants to targeted groups (e.g., low- and middle-income students,
students with disabilities, students with dependents), and repayment assistance
measures for borrowers who experience difficulty repaying their loans.
The Government of Canada is
In 2010-2011, over 300,000 students
committed to modernizing and
received $621 million in non-repayable
improving its programs and services
grants through the Canada Student
to meet the evolving needs of
Grants Program.
Canadians. One of the most
significant modifications to the CSLP
over the last decade has been the introduction of the Canada Student Grants
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Quebec, Nunavut and the Northwest Territories receive alternative payments
from the Government of Canada to operate their own student financial
assistance programs, and do not participate in the CSLP.
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Program (CSGP) in Budget 2008. It provides up-front predictable grants to
students from low- and middle-income families who qualify for a Canada Student
Loan. This includes monthly grants of $250 for low-income students, and $100
for middle-income students, both of which are available through all years of an
undergraduate or college program. Grants for students with dependents and
students with permanent disabilities are also available for each year of study
including post-graduate studies. Budget 2008 also announced the development
of the income-based Repayment Assistance Plan (RAP). More than 160,000
borrowers have benefited from RAP, which allows those who have difficulty
repaying their loan to pay back only what they can reasonably afford.
Budget 2011 built on these efforts and demonstrated the Government of
Canada’s commitment to meet the evolving needs of Canadian students. Key
announcements for students included: doubling the in-study income exemption
for Canada Student Loans, which will allow roughly 100,000 students earn more
employment income without affecting their eligibility for loans; helping part-time
students by increasing their eligibility for Canada Student Loans and Grants and
reducing the interest rates charged on their loans while studying; and providing
partial Canada Student Loan forgiveness for new family physicians and nurses
who choose work in under-served rural and remote areas, including communities
that provide health services to First Nations, Inuit and Métis populations.
Economic Action Plan 2012 committed to extend eligibility for this initiative to
family medical residents in training with an accredited medical school in Canada.
In addition to these measures, the Canada Student Loans Program continues to
work to improve online services, simplify application and repayment processes,
and improve communication with students.
PSE savings incentives
The Government of Canada also
Since its inception in 1998, the Canada
promotes accessible and affordable
Education Savings Program has
post-secondary education through
disbursed $6.47 billion in grants to
savings incentives and tax measures.
almost 4.3 million Canadians.
The Canada Education Savings
Program (CESP) offers savings
incentives in the form of Canada Education Savings Grants (CESG) and Canada
Learning Bonds (CLB) to encourage Canadian families to plan and save for a
child’s PSE using tax-assisted Registered Education Savings Plans (RESPs). By
helping families build savings, the CESP aims to help make PSE more affordable.
As of 2011, more than 44 percent of Canadian children had received a savings
incentive through the CESP.
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PSE tax measures
The Government of Canada also
supports post-secondary students and
their families through a number of tax
measures, which cumulatively
provided about $1.8 billion in 2008
for PSE and training and for families
saving towards their children’s PSE.
In Budget 2011, the Government of
Canada built on its support for aspiring
tradespeople by making all
occupational, trade and professional
examination fees required to obtain a
professional status in Canada eligible for
the Tuition Tax Credit.
The Government of Canada
recognizes the cost of PSE through three non-refundable tax credits: the Tuition
Tax Credit, the Education Tax Credit; and the Textbook Tax Credit. The
Education and Textbook Tax Credits are intended to recognize the non-tuition
expenses associated with the pursuit of PSE. In recognition of the important role
that families play in helping students overcome financial barriers, unused credit
amounts may be transferred to a parent, grandparent or spouse. Credits that
are not transferred can be carried forward by the student indefinitely for use in a
future taxation year. Additionally, to help foster academic excellence, the
Government introduced a full tax exemption for post-secondary scholarships,
fellowships and bursaries in Budget 2006.
These measures make PSE more affordable by lowering the taxes owed by
students and their families. A Finance Canada evaluation conducted in 2006 on
the impact of the income tax system on investments in higher education found
that, taken together, tax measures and support programs provide a substantial
incentive to undertake PSE.
Together, direct financial assistance to students, savings incentives, and tax
measures recognize the costs associated with investments in PSE and help to
promote increased affordability and access to the skills, education and training
that Canadians need to actively participate in the economy and their
communities.
Supports for Apprentices
The Government of Canada has taken significant steps to support apprentices
and recognizes the important contributions tradespersons make to Canada’s
economy, demonstrated through a combination of grants and tax measures.
In Budget 2006, the Government of Canada introduced the Apprenticeship
Incentive Grant (AIG). The AIG is a taxable cash grant of $1,000 per year for
registered apprentices once they have successfully completed their first or
second year/level (or equivalent) of an apprenticeship program in a designated
Red Seal trade for a maximum of $2,000 per eligible apprentice. As of April 15,
2012, over 246,000 AIGs had been issued since program inception.
Through Canada’s Economic Action Plan in Budget 2009, the federal government
announced the Apprenticeship Completion Grant (ACG). The ACG provides an
additional $2,000 taxable cash grant to registered apprentices upon completion
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of apprenticeship training and receipt of journeyperson certification in a
designated Red Seal trade. As of April 15, 2012, over 70,795 apprentices had
received support through the ACG.
Through these measures, apprentices
who complete their apprenticeship
training in a designated Red Seal
trade and become certified
journeypersons are eligible to receive
up to $4,000. To date, the
Government of Canada has provided
over $384 million in apprenticeship
grants.
In addition to grants and tax measures,
the Government of Canada supports
approximately 60,000 apprentices each
year for the technical or school-based
portions of their apprenticeship through
Employment Insurance Part I and Part II
funding.
The Government of Canada also provides tax support to tradespersons. The
Deduction for Tradespeople’s Tool Expenses allows tradespeople to deduct up to
$500 of the total cost of eligible tools acquired in a taxation year that exceeds
the amount of the Canada Employment Credit ($1,095 in 2012).
Encouraging Participation in Skills Development, Education, and Training
Informing Canadians about PSE, apprenticeship training, and the labour market
While there are many benefits associated with PSE, the decision by individuals to
invest in and complete PSE remains a complex one. In order to help Canadians
make a well-informed decision, the Government of Canada recognizes the
importance of providing Canadians with timely and relevant information about
PSE, labour market outcomes and the supports available to students and
families.
Through the Working in Canada
Economic Action Plan 2012 provides $21
website, the Government of Canada
million over two years to enhance the
provides customized reports that
content and timeliness of the job and
combine job postings, occupational
labour market information that the
profiles, labour market information
Government of Canada supplies to
and forecasts, certification and skills
Canadians.
requirements, and training and
education information. This website
is continually updated with the latest available information on PSE programs
(including trade schools and apprenticeships), educational institutions, and
scholarships. It is widely used by students, parents and guidance counselors to
obtain information about occupations, labour market outcomes and outlooks as
well as the education and training required to work in specific occupations.
The Government of Canada provides information about the costs and benefits
associated with PSE and how best to save, plan and pay for that education
through the CanLearn website. This website contains an array of information on
PSE programs and available loans, grants, scholarships and bursaries. It also
provides student financial assistance-related tools, such as a loan repayment
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estimator and parental contribution calculator, which are intended to help
students and their families make informed decisions about PSE.
The Government of Canada also promotes careers in the skilled trades through
the Youth Awareness Program, which encourages youth to enter the skilled
trades through skills competitions designed to increase the visibility of the skilled
trades. Canadians can find information on apprenticeship training programs on
the Red Seal website, which includes information on examinations, financial
supports, and trade profiles, and on the Ellis Chart website, which provides
governments, industry and educational institutions with data on more than 300
designated trades training, certification, requirements, prior learning
assessment, and accreditation processes.
Collectively, these federal initiatives provide Canadians with the tools they need
to make informed investments in education and training, help them choose the
right skills for the right jobs, and help them find jobs to match their abilities,
education, and training.
Supports for Employers
In recognition of the importance of continuing education in today’s rapidly
evolving knowledge and skills-based economy, the Government of Canada is
working to support Canadian businesses to train their employees. For income
tax purposes, expenditures on employee training receive favourable treatment in
the income tax system. An employer may deduct expenses incurred for an
employee's training provided that such expenses are reasonable in the
circumstances. This is a relatively favourable tax treatment, since the employer
may deduct the expenses in the year that they are incurred but the training is
likely to provide benefits to the employer over a number of years. Through the
Apprenticeship Job Creation Tax Credit, employers can also receive a nonrefundable tax credit equal to 10% of the eligible salaries and wages payable to
registered apprentices in designated Red Seal trades for the first two years of
their apprenticeship contract, to a maximum of $2,000 per year per eligible
apprentice.
In addition to these credits, the
Economic Action Plan 2012 extends the
Government of Canada offers a
temporary Hiring Credit for Small
number of financial incentives to
small and medium enterprises (SMEs) Business to make it more attractive to
hire new workers. This temporary credit
that support job growth and
will benefit about 536,000 employers,
investments in workforce skills
reducing small business 2012 payroll
development. These include: a
costs by about $205 million.
temporary Hiring Credit for Small
Business; an additional $20 million in
funding over two years to support the Canadian Youth Business Foundation's
activities in extending loans to young entrepreneurs and providing mentoring
services; $80 million over three years to the National Research Council Canada’s
Industrial Research Assistance Program (NRC-IRAP) to support collaboration
between colleges and SMEs to accelerate the adoption of information and
communication technologies; as well as an additional $110 million annually
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provided to IRAP announced in Economic Action Plan 2012 to double support to
Canadian companies to create new products, services, and industrial processes.
Helping Canadians Overcome Barriers to Participation in Skills
Development
Through its investments in student financial aid, the provision of learning and
labour market information, and tax measures, the Government of Canada helps
Canadians achieve post-secondary graduation rates that are among the best in
the world. Our success in promoting access to PSE has been demonstrated
through the increased participation rate of some groups such as persons with
disabilities and young men. While women still participate in PSE at a higher rate
than men, men have recently experienced higher rates of increase in PSE
participation. Despite these successes, a number of Canadians still face
significant non-financial barriers to education and training.
In a rapidly changing economy,
As new technologies are changing the
possessing foundational levels of
way skills are used in the workplace, the
literacy, numeracy and digital skills is
Government of Canada reallocated $60
important for finding and maintaining
million in Budget 2011 to enhance
employment. Yet some Canadians
digital skill development and increase
lack the skills and education they
enrollment in digital disciplines such as
need to succeed in the workforce.
science, technology, engineering and
The Government of Canada
mathematics.
demonstrates its commitment to
helping these individuals reach their
full potential through a variety of initiatives.
Through the Office of Literacy and Essential Skills (OLES), the Government of
Canada complements provincial and territorial literacy and essential skills efforts
by working with partners across Canada to help employers, practitioners and
trainers build literacy and essential skills into their training programs. These
efforts help Canadians and their families develop the skills necessary to evolve
with their jobs and adapt to change. For example, OLES is collaborating with
Industry Canada’s Canada Business Network to build on their existing
infrastructure to encourage and support small business owners and
entrepreneurs to invest in skills development in the workplace.
The federal government recognizes the critical role that community-based
organizations play in supporting those at risk of not completing high school. In
Budget 2010, the Government of Canada announced $20 million in support for
Pathways to Education Canada, an organization with an established record of
reducing high school drop-out rates and increasing post-secondary enrolment
among disadvantaged youth. This organization’s innovative approach addresses
the complex set of factors that shape attitudes and aspirations associated with
completing high school and accessing PSE.
Through its variety of supports to address barriers to PSE - including financial
supports, information, supports for skills training, and targeted measures for
disadvantaged groups – the Government of Canada has contributed to the
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development of a stable foundation of educational and skills development
supports, a foundation upon which Canadians can acquire the skills they need to
fully participate in and shape the economy of the future.
SUPPORTING ABORIGINAL SUCCESS
The Government of Canada recognizes the vital part that a young and rapidly
growing Aboriginal population can play in the Canadian economy. In the Prairies
and the North, where Aboriginal people make up a significant proportion of the
total population (from 16% in Manitoba and Saskatchewan up to 86% in
Nunavut) improving Aboriginal labour market contributions will be especially
important in achieving economic growth.
The natural resources sector in particular represents an area of challenge and
opportunity. Existing and forecasted skilled labour shortages in several
industries, along with the geographic proximity of many Aboriginal communities
to key natural resources, means the Aboriginal population is well-positioned to
make a significant contribution to labour force needs in this sector if the right
skills and education are accessible.
While demographics highlight the increasingly important role that Aboriginal
people can play in advancing Canada’s economic well-being, their contribution is
currently being hampered by poor learning and labour market outcomes. In an
effort to improve these outcomes, the federal government is working with its
partners to ensure Aboriginal people can obtain the skills and education required
to take advantage of these opportunities.
K-12 Education – Building a Foundation for Success
The Government of Canada’s goal is to provide First Nations students with
quality education that enables them to realize their aspirations and obtain the
skills they need to enter the labour market and be full participants in a strong
Canadian economy. In 2010-2011, Aboriginal Affairs and Northern Development
Canada (AANDC) invested $1.9 billion in education to support First Nations and
Inuit students across Canada. The largest component, $1.5 billion, was targeted
at elementary and secondary education for First Nations students living on
reserve.
In Budget 2008, the Government also launched the “Reforming First Nation
Education Initiative” to help set the foundation for long-term improvements in
kindergarten to grade 12 (K-12) education. The initiative includes two new
programs: the First Nation Student Success Program and the Education
Partnerships Program. These two programs represent new investments of $268
million over five years and $75 million in ongoing funding.
Recognizing that First Nations K-12 education is a shared responsibility between
First Nations students, parents, educators, leaders, provincial governments, and
the federal government, the Government of Canada has negotiated seven
tripartite education partnerships across Canada. To date, partnerships have
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been reached with Nova Scotia (1997), British Columbia (1999), New Brunswick
(2008), Manitoba (2009), Alberta (2010), Prince Edward Island (2010), and a
sub-regional agreement with the Saskatoon Tribal Council (2010).
The federal government continues to develop these partnerships and on January
27, 2012, Canada, British Columbia, and the First Nations Education Steering
Committee, on behalf of BC First Nations, signed a Tripartite Education
Framework Agreement. This Agreement defines and formalizes the roles and
responsibilities, structures, and supports that need to be in place to ensure that
First Nations students in BC have access to quality, comparable education
whether the classroom is located on or off reserve.
The Government of Canada recognizes that there is still much work to be done in
order to improve the educational outcomes of First Nations people. In December
2010, the Government of Canada and the Assembly of First Nations jointly
appointed an independent National Panel on First Nation Elementary and
Secondary Education to lead an engagement process and provide guidance on
how to improve First Nations education. In response to recommendations in the
Panel’s final report, submitted in February 2012, and from other reports on
reforming First Nations education such as that of the Senate Standing Committee
on Aboriginal Peoples, the Government of Canada committed in Economic Action
Plan 2012 to work with willing partners to introduce a First Nation Education Act
in 2014.
In addition Economic Action Plan
Economic Action Plan 2012 provides
2012 also committed to invest $275
$275 million over three years to support
million over three years for First
First Nations education and build and
Nations education. Of this
renovate schools on reserve.
investment, $100 million is dedicated
to early literacy programming and
other supports and services to First Nations schools and students, and to
strengthen their relationships with provincial school systems. Another $175
million will be used to build and renovate schools on reserve, providing First
Nations students with a better learning environment. This will add to
investments in on-reserve school infrastructure made as part of Canada’s
Economic Action Plan between 2009 and 2011. The Government will also work
to explore mechanisms to ensure stable, predictable, and sustainable funding for
First Nations elementary and secondary education.
Helping Aboriginal People Obtain the Right Skills for Labour Market
Success
The Government of Canada is also playing an active role in Aboriginal workplace
skills training and PSE. Through its Aboriginal-specific labour market programs,
the Government of Canada is working to help First Nations, Metis and Inuit
people succeed in the workplace.
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In partnership with the private sector,
provinces and territories, and learning As announced in Budget 2011, the
Government of Canada is investing $27
institutions, the Aboriginal Skills
million over five years to expand adult
Employment and Training Strategy
basic education in the territories.
(ASETS) provides training, education,
Delivered through the territorial
skills development and employment
colleges, this CanNor initiative supports
opportunities to Aboriginal clients.
northern economic development by
The Government has invested $1.68
raising the basic skill levels of local,
billion over five years (2010-2015) in
working age residents.
ASETS to support a network of
Aboriginal employment centres and
services across Canada with approximately 800 points of service. ASETS and its
predecessor, the Aboriginal Human Resources Development Strategy (AHRDS),
have resulted in between 14,000 and 16,000 jobs per year, on average.
Launched in July 2010, the Skills and Partnership Fund (SPF), with funding of
$210M over five years, supports the integration of Aboriginal people into the
labour market by supporting projects aiming to encourage innovation and
partnerships and increase Aboriginal skills development and participation in the
labour market. SPF also has the flexibility to respond to Government priorities
and the emerging labour market needs of the Canadian economy.
In 2011-2012, the Government of Canada allocated $295.4 million through
AANDC’s Post-Secondary Student Support Program and University College
Entrance Preparation Program to support approximately 22,500 First Nations and
Inuit post-secondary students. In addition, AANDC’s Indian Studies Support
Program provided approximately $21 million in financial support to PSE
institutions to develop PSE programs tailored to First Nations and Inuit cultural
and educational needs.
Through the Aboriginal Canada Portal website, the federal government is also
facilitating access to PSE for First Nations, Metis and Inuit people by providing
information on over 600 bursaries, scholarships, and incentives offered by
governments, universities and colleges, companies, individual Canadians, and
organizations.
In addition to these and other Aboriginal-specific programs, Aboriginal people
also have access to the same universal skills upgrading and educational supports
available to other Canadians such as the Canada Student Loans Program and the
many interventions funded through Labour Market Agreements (LMAs) and
Labour Market Development Agreements (LMDAs) with the provinces and
territories.
Despite the significant investments already being made, the Government of
Canada recognizes that more work remains to be done in order to help
Aboriginal people achieve better labour market outcomes. Canada’s economic
well-being will increasingly depend upon better integration of the Aboriginal
population into the labour market, particularly in certain regions and sectors. To
this end, the Government of Canada will continue to evaluate its programs and
assess the way it does business to ensure that, in collaboration with its partners,
it provides the best learning and labour market supports possible for Aboriginal
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people. The Government of Canada is working to build a future in which First
Nations are self-sufficient and prosperous, making their own decisions, managing
their own affairs and making strong contributions to the country as a whole.
RESEARCH AND TALENT DEVELOPMENT
Sustained investments in PSE research and development are critical to fostering
the skills, talent and innovation that will enable Canada to increase its
productivity, compete internationally, and respond to economic and social
challenges. Through its Science and Technology Strategy, the Government of
Canada is committed to support the pursuit of innovation and research
excellence by investing in people and infrastructure, and by promoting PSEprivate sector linkages.
Investing in Talent
The Government of Canada supports the next generation of highly skilled
workers and researchers by providing financial assistance to graduate students,
including through tax measures, the merit-based Canada Graduate Scholarships
(CGSs) administered by the three research granting councils,2 Canada Student
Loans, and Canada Students Grants. Budget 2008 introduced the Vanier Canada
Graduate Scholarships for outstanding doctoral students, Budget 2009
temporarily expanded the CGSs by $87.5 million over three years, and Budget
2010 created the Banting Postdoctoral Fellowships.
The Government of Canada invests
As of March 2012, there were 1,825
$300 million annually through the
Canada Research Chairs active in 72
Canada Research Chairs (CRC)
institutions across Canada.
program to support Canadian postsecondary institutions in
strengthening their positions as global leaders in research and development. In
Budget 2008, the Government announced $200 million over seven years to
create the Canada Excellence Research Chairs (CERC) program to attract and
retain the world’s most accomplished researchers in Canada’s priority science
and technology areas. The inaugural Canada Excellence Research Chairs were
announced in May 2010, and Budget 2011 invested a further $53.5 million over
five years to award 10 additional chairs. Both the CRC and CERC programs
contribute to improving Canada's international competitiveness, and also provide
exceptional learning opportunities that help train the researchers and highly
skilled workers of tomorrow.
Investing in World-Class Research and Learning Infrastructure
In addition to investing in talent development, the Government of Canada
invests in the infrastructure and institutions necessary to conduct world-class
2
The Natural Science and Engineering Research Council (NSERC), the Social
Sciences and Humanities Research Council (SSHRC) and the Canadian Institutes
of Health Research (CIHR).
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research and research training. It does this in part through the Canada
Foundation for Innovation (CFI). Economic Action Plan 2012 provides an
additional $500 million over five years to the CFI. The CFI funds up to 40
percent of eligible costs of infrastructure projects in Canadian universities,
colleges, research hospitals, and non-profit research institutions. CFI funding is
then leveraged to attract the remaining investment from partners in the
academic, private, public and non-profit sectors. Through the Knowledge
Infrastructure Program (KIP) announced in the Economic Action Plan 2009, close
to $2 billion was spent on over 500 projects to renew, expand and build
university and college facilities. By leveraging funding from partners, KIP led to a
$5.2 billion investment in infrastructure at post-secondary institutions between
2009 and 2011.
The Government of Canada also helps universities and colleges make optimal
use of federal research investments and enables researchers to concentrate on
cutting-edge discoveries and scholarship excellence through the Indirect Costs
Program (ICP). Budget 2011 provided an additional $10 million per year for the
ICP, bringing total federal investments in the program to $332 million in 20112012.
Through targeted initiatives such as CFI’s Small Institutions Fund and Canadian
Institute of Health Research (CIHR) Regional Partnership Programs, the federal
government recognizes the differing sizes and diversity among Canada’s colleges
and universities and how they respond to local needs and priorities. The Canada
Research Chairs program also reserves 120 of its 2,000 available chairs for small
universities to help them build capacity and compete for top researchers.
Enhancing Industry Connections
The Government of Canada supports strong connections between the excellent
talent found in Canada’s colleges and universities and the businesses that create
innovative new products, services and processes. Economic Action Plan 2012
affirms the importance of supporting collaborative research between postsecondary researchers and private sector partners.
Highly skilled graduate students are
The Mitacs Elevate program supports
encouraged to establish connections
approximately 160 internships and
with the private sector through such
individual training programs for PhD
incentives as the Industrial Research
graduates and post-doctoral fellows in
and Development Internship (IRDI)
southern Ontario.
program. Economic Action Plan 2012
affirmed the importance of integrating
high-quality researchers into the labour market by providing an additional $14
million over two years to expand the IRDI program and increase the number of
students undertaking hands-on research in Canadian companies. Another
federal program, the Industrial Research and Development Fellowships, provides
scholarships to recent doctoral graduates to engage in private sector research
and development. In 2010-2011, this program supported 225 active awards, for
a total value of $4.7 million. In 2010, the federal government also invested $11
million to help PhD graduates transition to private sector employment through
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the Mitacs Elevate program. Mitacs, which is also a delivery agent for IRDI, is an
organization that offers research and training programs that connect Canadian
businesses with the next generation of highly skilled workers.
Other recent federal initiatives recognize the role of colleges and technical
institutes in applied research and the commercialization of new innovations.
Budget 2011 provided $23 million over five years to support Industrial Research
Chairs at Canadian colleges. This is in addition to investments of $32.5-million
announced in July 2010 for CFI’s College-Industry Innovation Fund, aimed at
enhancing colleges’ infrastructure and innovation capacity, and to the existing
College and Community Innovation Program, designed to stimulate collegeindustry partnerships and stimulate entrepreneurship.
Taken together, these initiatives help make Canada a location of choice for
scientific research and technological development, and establish strong
connections between the academic research community and the private sector.
WORKING WITH PARTNERS
Canada occupies an enviable position among OECD peers in terms of
performance and equity in education, including PSE participation. The
foundation for this success resides in stable and predictable funding
arrangements and on a range of collaborative partnerships between
governments, and with educational/training institutions, the private sector, and
community organizations.
The Government of Canada recognizes that provincial and territorial
governments are best placed to determine program priorities and to design and
deliver programs in their areas of constitutional jurisdiction. The Government of
Canada places its policy focus in areas of mutual federal-provincial/territorial
interest and this approach has resulted in numerous successful partnerships with
provinces and territories in order to advance common PSE-related objectives.
Funding Transfers to PTs
The Government of Canada makes a significant investment in PSE through the
Canada Social Transfer (CST), a federal block transfer to provinces and
territories covering PSE, support for children, and social programs. In Budget
2007, the Government of Canada placed this funding on a stable and long-term
growth track. It increased annual funding for PSE through the CST by $800
million in 2008-2009, and legislated an annual three percent escalator in 20092010. The Government of Canada also addressed concerns regarding the
transparency of the federal contribution to PSE by notionally earmarking a
portion of the CST for PSE. CST cash transfers will reach $11.9 billion in 20122013, $3.6 billion of which is notionally allocated to PSE. Economic Action Plan
2012 reaffirmed that the CST will continue to grow at three per cent annually in
2014-2015 and subsequent years.
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The Government of Canada also transfers approximately $2.5 billion each year to
provincial and territorial governments through Labour Market Agreements
(LMAs) and Labour Market Development Agreements (LMDAs). LMAs/LMDAs
funding gives provinces and territories the flexibility to target skills development
programs according to local needs. Many of the recipients of this funding obtain
their training at one of Canada’s community colleges.
Due to the unique nature and governance arrangements of the Aboriginal
population in Canada, the federal government recognizes that strong
partnerships are especially important to the successful educational and
employment outcomes of Aboriginal people. As such, the Government of Canada
is committed to continue developing initiatives such as tripartite educational
partnerships with provincial, territorial, and First Nations governments.
These transfer arrangements reflect a long history of Canadian governments
working together towards shared national priorities, and recognize the fact that
provincial and territorial governments are accountable directly to their citizens
for outcomes achieved and dollars spent.
Partnering on Research, Data Development and Policy Coordination
The federal government engages collaboratively with provincial and territorial
governments as well as other stakeholders on a range of issues of mutual
interest, such as data development and research, student financial aid, labour
mobility, apprenticeship and the trades, and skills/credential recognition. Recent
successes demonstrate that this flexible and decentralized approach is effective
in areas where communities, employers, and provincial and territorial
governments can better assess needs and priorities and more efficiently allocate
resources.
The Government of Canada works with the provinces and territories through the
Council of Ministers of Education, Canada (CMEC) to develop standardized
sources of information on skills development in Canada. Recent successes
include federal-provincial/territorial cooperation in large scale international
surveys such as the Programme for International Assessment of Adult
Competencies (PIAAC) and the Programme for International Student Assessment
(PISA), as well as multilateral collaboration on collecting skills and learning data
(e.g., student enrolment and PSE graduation rates). These efforts will
strengthen the foundation of information on skills levels and labour force supply
in Canada, facilitate evidence-based decision-making, and generate improved
matching of skills and course offerings with market demand.
Another area of federal-provincial/territorial engagement success is the
coordinated delivery of student financial assistance. The Government of Canada,
through the Intergovernmental Consultative Committee on Student Financial
Assistance, works with participating jurisdictions towards the seamless operation
of both federal and provincial/territorial student financial aid programs. Recent
achievements include the extension of the Repayment Assistance Program to
almost all participating provinces and the streamlining of federal and
provincial/territorial student loans application processes.
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The Government of Canada also collaborates with provinces and territories
through the Forum of Labour Market Ministers (FLMM), which promotes labour
mobility, co-operation, and a highly skilled workforce with transferrable skills and
qualifications. The FLMM facilitates the development and expansion of interprovincial job standards and contributes to Canada’s adaptation to changes in
economic structure and skill requirements. Among recent achievements is the
ongoing implementation of the Pan-Canadian Framework for the Assessment and
Recognition of Foreign Qualifications and advances in developing and promoting
reliable and relevant labour market information.
An additional area of cooperation is apprenticeship training and trade
certification, where the Government of Canada works closely with provincial and
territorial governments and industry stakeholders. Through the Canadian
Council of Directors of Apprenticeship (CCDA), both levels of government
strengthen and promote apprenticeship systems and manage and deliver the
Interprovincial Red Seal Program. The Red Seal Program, which currently covers
52 trades, encourages the harmonization of provincial and territorial
apprenticeship training and certification programs and promotes labour mobility
across the country. In 2009, the Red Seal trades accounted for 81% of
registered apprentices in Canada.
The Government of Canada also regularly engages on issues of workplace skills
and workforce development with the private sector, educational/training
institutions, and labour through the “Roundtable on Workforce Skills”.
The Government of Canada also
Economic Action Plan 2012 provides a
works with the private sector and
further $50 million over 2 years to the
community organizations to
Youth Employment Strategy. This is in
encourage innovation and initiatives
addition to over $300 million invested
which will enhance Canada’s
annually to help connect nearly 70,000
competitive and knowledge
Canadian youth with the work
advantage. It does so by supporting
experience and skills training they need
stronger connections between
to build a foundation for success in the
industry and Canada’s pool of
job market.
innovation and talent produced by
PSE, and by providing funding to
employers to offer young post-secondary graduates with career-related skills and
experience. In addition, the federal government is continuing to explore ways to
support innovative and effective community-based approaches and encourage
the development of government-community partnerships.
The range of funding mechanisms and partnership-based efforts put in place by
the Government of Canada through a decentralized and flexible approach is
producing good results: the OECD recently recognized Canada as one of the
strong world performers in terms of education.
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CONCLUSION
The Government of Canada remains committed to expanding opportunities in all
forms of PSE – whether in apprenticeships, undergraduate studies at
universities, colleges, and polytechnics, or in graduate studies – as it continues
to find ways to help Canadians obtain the education, skills and training they
require to succeed and to contribute to Canada’s prosperity.
If current trends continue, a significant proportion of future jobs are expected to
require PSE. But as technology advances and economic changes occur, the need
for PSE may be even higher. While some of this demand for skills will be met by
skilled and qualified immigrants, over 80% of tomorrow’s labour force growth
will be driven by the youth of today. This fact alone means that we will have to
maintain and strengthen our PSE participation.
However, this is not the sole responsibility of the Government of Canada.
Provinces and territories have primary jurisdiction for the delivery of PSE in this
country. Firms have a responsibility for investing in the upskilling of their
current workforce. And individuals are responsible to develop and maintain the
skills they need to gain and sustain employment to benefit themselves, their
families and their communities.
For this reason, the Government of Canada remains committed to holding the
doors of opportunity open to all Canadians. The Government of Canada is firmly
focused on jobs, growth and long-term prosperity. Looking to the future, the
federal government will continue to support learners and their families, provide
support to PSE research as well as the development of highly skilled workers,
and engage in a range of partnership-based initiatives to improve skills
acquisition and success for all Canadians.
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Annex A
ACRONYMS
AANDC
ACG
AIG
ASETS
CanNor
CCDA
CESG
CESP
CFI
CGSs
CIHR
CLB
CMEC
CSGP
CSLP
CST
FLMM
F-P/T
ICP
ICT
K-12
LMA
LMDA
MITACS
NSERC
OECD
OLES
P/Ts
PIAAC
PISA
PSE
RAP
RESPs
SMEs
SPF
SSHRC
Aboriginal Affairs and Northern Development
Apprenticeship Completion Grant
Apprenticeship Incentive Grant
Aboriginal Skills Employment and Training Strategy
Canadian Northern Economic Development Agency
Canadian Council of Directors of Apprenticeships
Canada Education Savings Grants
Canada Education Savings Program
Canada Foundation for Innovation
Canada Graduate Scholarships
Canadian Institutes of Health Research
Canada Learning Bonds
Council of Ministers of Education, Canada
Canada Student Grants Program
Canada Student Loans Program
Canada Social Transfer
Forum of Labour Market Ministers
Federal, Provincial and Territorial
Indirect Costs Program
Information and Communication Technology
Kindergarten to Grade 12
Labour Market Agreement
Labour Market Development Agreement
Mathematics of Information Technology and Complex Systems
Natural Science and Engineering Research Council
Organisation for Economic Co-operation and Development
Office of Literacy and Essential Skills
Provinces and Territories
Programme for International Assessment of Adult Competencies
Programme for International Student Assessment
Post-Secondary Education
Repayment Assistance Plan
Registered Education Savings Plans
Small and Medium-sized Enterprises
Skills and Partnership Fund
Social Sciences and Humanities Research Council
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