The Election’s Over, So Now What? Impact on Canadian Employers and Plan Sponsors
The Election’s Over, So Now What? Impact on Canadian Employers and Plan Sponsors

After a hotly contested snap election, Canadians once again elected a Liberal minority government. Here’s a quick summary of some of the key elements of the Liberals’ platform that may impact employers and plan sponsors going forward:

Labour/Employment

  • Pledging to restore the 1,000,000 jobs lost last year, including extending the Canada Recovery Hiring Programme to March 31, 2022 and creating more avenues for talented workers to enter Canada
  • Expanding the Canada Workers Benefit to support approximately 1 million Canadians in low-wage jobs, helping them return to work and increasing benefits (up to $1,400 a year)
  • Establishing a new Career Extension Tax Credit to reduce taxes for those age 65 and over who earn a working income (minimum earnings of $5,000; tax credit of up to $1,650)
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Trades/Apprenticeship

  • Doubling the Union Training and Innovation program to $50 million
  • Moving forward on establishing a new Apprenticeship Service to connect 55,000 first-year apprentices in Red Seal trades with opportunities at small and medium-size employers
  • Establishing a new Labour Mobility Tax Credit to allow workers in building and construction trades to deduct up to $4,000 in eligible travel and temporary relocation expenses (up to $600 a year)

Benefits and Leaves

  • Implementing ten days of paid sick leave for federally regulated workers and developing a national action plan to legislate sick leave across the country
  • Providing up to five new paid leave days for federally regulated employees who experience a miscarriage or stillbirth
  • Introducing a Disability Benefit Act to create a direct monthly payment (Canada Disability Benefit) for low-income Canadians ages 18 to 64 with disabilities

Health Care Access and Support

  • Investing $400 million over four years to support the growing demand for virtual care
  • Investing $6 billion to support the elimination of health system waitlists
  • Providing $3.2 billion to provinces and territories to hire 7,500 new family doctors, nurses and nurse practitioners
  • Increasing wages for personal support workers, including a guaranteed minimum wage of at least $25 per hour, and training up to 50,000 new personal support workers
  • Improving access to care in rural communities by:
    • Expanding the Canada Student Loans forgiveness program to include dentists, pharmacists, dental hygienists, midwives, social workers, psychologists, teachers and early childhood educators;
    • Increasing by 50% the maximum debt relief that family doctors, residents in family medicine, nurse practitioners or nurses are eligible for under that program;
    • Offering health care professionals who are just starting out in their careers a one-time income tax deduction of up to $15,000 over their first three years of practice; and
    • Undertaking a review to ensure communities that are indeed rural are fully eligible under the program
  • Providing access for Canadians to free COVID-19 booster shots and second-generation vaccines as needed

Mental Health

  • Including mental health as a specific element of occupational health and safety under the Canada Labour Code and requiring federally regulated employers to take preventive steps to address workplace stress and injury
  • Undertaking a comprehensive review of access to the Disability Tax Credit, CPP-Disability, and other federal benefits and programs to ensure they are available to people experiencing mental health challenges
  • Providing permanent, ongoing funding for mental health services under the Canada Mental Health Transfer, with an initial investment of $4.5 billion over five years

Learn More

Visit https://liberal.ca/our-platform/ for more details.

You can stay up-to-date on the latest pensions and benefits regulations, rulings and other guidance released by governmental agencies in Canada on the International Foundation Regulatory Updates webpage and follow proposed legislation with the Canadian Legislative Scorecard.


Alyssa Hodder
Director, Education and Outreach – Canada

Canadian Employer Outlook Virtual Conference

The latest from Word on Benefits:

Alyssa Hodder, GBA

Director, Education and Outreach – Canada Favorite Foundation Product: Conferences and blogs on what’s new and interesting in the industry Benefits Related Topics That Interest Her Most: Benefits communications and how to engage plan participants Personal Insight: The proud mother of two lovely and challenging girls, Alyssa enjoys travelling and experiencing different cultures. In her spare time, she loves to read and write, but her most unusual hobby is participating in a competitive axe-throwing league (nothing more rewarding than hitting that bullseye!)

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