Thank you, Chair and committee members.
I am joining you from the traditional unceded territory of the Algonquin Anishinabe people.
I'm pleased to join you today to provide an overview of labour shortages in the health care sector. As you may know, labour market pressures are affecting practically all sectors of the economy and most regions of the country.
As of March 2022, there were more than one million job vacancies across Canada, which is significantly higher than prepandemic levels. These vacancies will take longer to fill, given the scarcity of such highly qualified workers among the unemployed and the need for specialized training.
Canada's health sector is not immune. This sector was already experiencing a shortage of workers prior to COVID‑19, and these shortages have been further exacerbated by the pandemic.
In fact, as of the fourth quarter of 2021, this sector had the second-highest number of job vacancies in Canada, 126,000. Over the medium-term, forecasted job openings over the next 10 years will be particularly acute for key occupations, including registered nurses and licensed practical nurses, physicians and personal support workers.
ESDC has placed a priority on helping to address the health human resource crisis through its skills and training programs.
For example, budget 2021 announced $960 million for the sectoral workforce solutions program to help key sectors of the economy implement solutions to address current and emerging workforce needs. The health sector is a key sector for investment under the SWSP. The program launched a call for proposals in January that closed in March of this year, and these proposals are currently under assessment. Projects are expected to begin as early as summer 2022.
Additionally, as announced in the fall economic statement of 2020, ESDC is funding a $38.5-million pilot project to help address labour shortages in long-term and home care. This pilot will train up to 2,600 supportive care assistants through a microcertificate program and paid work placement. Of these, 1,300 are expected to continue on to pursue full personal support worker certification.
There is also the foreign credential recognition program, FCRP, which is a contributions program that supports the labour market integration of skilled newcomers through enhancing foreign credential recognition processes. This includes funding projects to standardize national exams, centralize information portals and provide alternative assessment processes.
The FCRP also provides loans for expenses related to training, licensing exams as well as support services, in order to help skilled newcomers navigate foreign credential recognition processes.
Lastly, the FCRP provides employment supports, including training, work placements, wage subsidies, mentoring and coaching, to help skilled newcomers gain Canadian work experience in their field of study and fully use their talent.
Indeed, internationally educated health professionals play a critical role in the Canadian health care system. These foreign-trained professionals account for a full 25% of Canada's health care and social services workforce, compared with just 10% of working adults for the wider population. However, despite our increasing need for health care workers and reliance upon internationally educated health professionals to fill these roles, these international professionals still face some barriers to licensure and re-entry into their professions, such as costly qualifying exams, limited access to residency training, language barriers and navigating the foreign credential recognition process.
Foreign credential recognition and licencing for regulated occupations, such as nurses, physicians and paramedics, is a provincial or territorial responsibility, and in most cases they further delegate that authority and legislation to regulatory authorities. Within Canada, there are more than 600 regulators overseeing more than 150 regulated occupations.
Nonetheless, the Government of Canada recognizes the challenges faced by internationally educated health professionals. This is why addressing their labour market integration has been a key focus of the foreign credential recognition program, particularly since the onset of the pandemic. The program is currently investing $22 million in 20 projects focused on the labour market integration of internationally educated health professionals.
Additionally, since 2018, over $13.5 million in loans have been issued through the program's foreign credential recognition loans to more than 1,500 borrowers, two-thirds of whom work in health care.
Budget 2022 announced an additional $115 million over five years, with $30 million ongoing, to expand the foreign credential recognition program. Along with existing investments in the program, the incremental funding will help up to 11,000 skilled newcomers get their credentials recognized and find work in their field. For example, these investments will support projects to standardize national exams, make it easier to access information, improve timelines and reduce red tape, in order to reduce barriers to foreign credential recognition, starting with a focus on the health care sector.
In addition to investments already mentioned, labour market transfer agreements delivered through ESDC provide approximately $3.4 billion in funding for individuals and employers to obtain skills training and employment supports through labour market development agreements and workforce development agreements with provinces and territories. Over a million Canadians benefit from programming and supports under these agreements.
ESDC will continue to work collaboratively with federal partners, counterparts in provincial and territorial governments, and regulatory authorities to help alleviate current and future labour market pressures in the health sector.
Thank you.