Goal 8: Encourage inclusive and sustainable economic growth in Canada
Why this goal is important
This Goal's focus on encouraging inclusive and sustainable economic growth in Canada directly supports SDG Global Indicator Framework targets.
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This Goal's focus on encouraging inclusive and sustainable economic growth in Canada directly supports SDG Global Indicator Framework targets:
- 8.2: Achieve higher levels of economic productivity through diversification, technological upgrading and innovation, including through a focus on high-value added and labour-intensive sectors
- 8.3: Promote development-oriented policies that support productive activities, decent job creation, entrepreneurship, creativity and innovation, and encourage the formalization and growth of micro-, small- and medium-sized enterprises, including through access to financial services
- 8.5: By 2030, achieve full and productive employment and decent work for all women and men, including for young people and persons with disabilities, and equal pay for work of equal value
Opportunities exist across all sectors for businesses to increase their competitiveness and become more sustainable. To transform the economy, Canada will need to decarbonize and reduce the environmental impacts of existing sectors while growing and supporting clean technology and emerging sector jobs. Doing so requires both large-scale national and place-based approaches. Canada will also need to respond to evolving workforce needs by upskilling and reskilling workers, increasing workforce participation, and diversifying local economies. As governments, industry, and labour attempt to plan ahead for the changing skills and occupational requirements needed for the clean economy, there is an opportunity to address emerging skills gaps, undervaluing of labour, and potential labour shortages.
At the same time, the transition toward clean energy sources and clean technology poses risks of disruption, especially for vulnerable workers and those with fewer marketable skills. The shift to a clean economy needs to be pursued in a just and inclusive manner so that no one is left behind. This requires collaboration among governments, industry and organized labor to provide affected workers and communities with new opportunities for training, skills development and well-paid employment.
Canada's environmental and clean technology sector accounts for 3% of gross domestic product (GDP) and nearly 2% of jobs in Canada. It includes diverse occupations in sub-industries such as clean electricity, solar panel research, nature conservation, and waste management. Jobs in this sector are well paid, with annual salaries about 33% higher than the average Canadian wage. At 3.5% GDP growth, Canada ranked first in the G20 for clean technology innovation in the 2017 Global Cleantech Innovation Index, and fourth overall. Thirteen Canadian companies are highlighted on the 2022 index, giving Canada more companies on that list than any country other than the US.
In order to benefit from the environmental and clean technology sector and the transition to a net-zero carbon economy more broadly, Canadians will need access to the requisite infrastructure, which includes access to fast internet. Canadians from all communities, both urban and rural, rely on access to reliable, affordable, high-speed internet and mobile connectivity. It is essential for personal and professional communications, to grow a business, to apply to jobs, and to access education and government services. Overwhelmingly, rural and remote communities have identified challenges accessing affordable, high-speed internet as the number one issue impeding their economic growth.
How the Government of Canada contributes
The Government of Canada is taking action to promote decent work and well-paid jobs by growing the clean technology sector, promoting skills development and training, and diversifying local economies.
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The government is committed to sustainability across the economy, including through the creation of sustainable jobs so that all Canadians can enjoy the benefits of a clean economy.
The Government of Canada's Innovation and Skills Plan is a major redesign of the innovation policy landscape in Canada put in place to make Canada a world-leading centre for innovation, to create well-paying jobs and foster the participation of traditionally underrepresented groups, such as women and Indigenous people, in the innovation economy. The Plan targets investments at all points along the innovation continuum, starting with people and skills and extending to fundamental science, to commercial applications and new technology adoption, and to accessing markets at home and abroad.
The internet and its physical infrastructure are the foundation on which Canada's digital economy rely. The sustainable, well-paying and essential jobs promised as part of a just transition to a net-zero carbon economy are all reliant on it. The High-Speed Access for All: Canada's Connectivity Strategy is the government's plan to coordinate investments along with complementary measures to connect every Canadian to affordable, high-speed internet no matter where they live, and to improve mobile cellular access from coast to coast to coast.
The just transition in Canada
The Paris Agreement on climate change called on signatories to take into account “the imperatives of a just transition of the workforce and the creation of decent work and quality jobs in accordance with nationally defined development priorities.” The just transition involves preparing the workforce to fully participate in the low-carbon economy while minimizing the impacts of labour market transitions, identifying and supporting inclusive economic opportunities for workers in their communities, and putting workers and their communities front and centre in discussions that affect their livelihoods.
In support of a just transition, in 2018 the Government of Canada established the Task Force on Just Transition for Canadian Coal Power Workers and Communities. Its mandate was to engage relevant stakeholder groups including labour, provinces and municipal governments, report what was heard and provide recommendations on how the government can support coal power workers and communities. The task force released its final report in March 2019.
In response, the government committed $185 million to support affected communities, including $35 million for the Canada Coal Transition Initiative focused on skills development and economic diversification, as well as $150 million for a dedicated infrastructure fund. As of June 2022, about $91.9 million had been approved in 88 projects across New Brunswick, Nova Scotia, Saskatchewan and Alberta.
The concept of just transition is not limited to the energy sector, and will be needed across many other sectors whose business models cannot adapt to incorporate the full cost of environmental impacts. It will be important to engage meaningfully and often with partners and stakeholders to ensure appropriate supports are in place.
At COP26, Canada was a signatory to the Declaration Supporting the Conditions for a Just Transition Internationally - Green growth, decent work, and economic prosperity in the transition to net zero. This includes a commitment to support and promote stakeholder engagement, and recognition that the development of locally driven just transition plans are dependent on social dialogue that includes secondary industries built around those that are carbon intensive.
In July 2021, Natural Resources Canada, the federal lead on the just transition, launched public consultations to develop sustainable jobs legislation that could inform government decision making on climate action and establish an advisory body to advise the government on regional and sectoral strategies, and support the creation of sustainable jobs.
Canada is developing regional strategies through the newly established Regional Energy and Resource Tables. These tables will bring the federal, provincial and territorial governments together with Indigenous partners, municipalities, industry, workers, unions and experts to advance the top net-zero growth priorities in the natural resources space in every region of Canada. These discussions will result in the development of place-based economic strategies that will include analysis of the skills needed to seize these opportunities across regions.
Support for green jobs in Indigenous and northern communities
The Government of Canada is helping Indigenous and northern communities access green job opportunities through the Indigenous Skills and Employment Training (ISET) Program and the Skills and Partnership Fund (SPF). ISET is a distinctions-based program designed to help First Nations, Inuit, Métis and urban/non-affiliated Indigenous Peoples improve their skills and meet their long-term career goals. It funds a network of more than 110 Indigenous service delivery organizations providing Indigenous Peoples with training and supports to improve their skills and secure employment. Meanwhile, the SPF funds partnerships between Indigenous organizations and employers to provide skills training for Indigenous Peoples linked to economic opportunities at the local, regional, and national level. SPF has the flexibility to adjust to government priorities and address emerging economic opportunities, including in the environmental sector. For example, the 2022 Call for Proposals targeted five priority sectors: the Green Economy; Information and Communications Technology; Infrastructure; the Blue Economy (ocean-based); and the Indigenous Public Sector.
The government also supports access to green jobs through the Strategic Partnerships Initiative, which allows federal organizations to coordinate their efforts, reduce administrative burden and pool resources in support of Indigenous communities. It fills gaps in other funding programs that might create a barrier to Indigenous involvement in economic opportunities.
Partner perspective: Inuit-Owned Land clean energy microgrid
Nunavut Nukkiksautiit Corporation has initiated a smart energy microgrid initiative on Inuit-Owned Land in Iqaluit, Nunavut. It will demonstrate a new approach to efficient clean energy development and operation in Canada's North. With construction slated to begin in 2023, the power system will integrate 300 kW of combined heat and power diesel generators, 250 kW of solar photovoltaics, 300 kWh of battery energy storage, and a microgrid controller.
In addition to reducing fossil fuel consumption and generating approximately $200,000 in estimated annual energy savings, this innovative power arrangement will produce reliable and affordable energy for the Aqsarniit Hotel & Conference Centre initially, as well as any future buildings to be constructed within the Inuit-Owned Land development area. This will promote new businesses and economic development opportunities otherwise considered cost prohibitive.
Source: Perspective provided by a member of the Sustainable Development Advisory Council
Additional context and updates regarding this goal
Targets, indicators, milestones and contextual indicators
Targets, indicators, milestones and contextual indicators
Theme: Support for workers and businesses
Target: Clean technology employment (1)
By 2026, there are at least 245,000 jobs in the cleantech products sector, an increase from 2019 (Minister of Innovation, Science and Industry)
Indicator (i)
Jobs in the clean technology products sector
This indicator reflects the estimated employment growth of the clean technology sector. The target was established using the average annual growth rate from 2012 to 2020. This represents 11% growth in the clean technology products sector from 220,138 workers employed in 2019.
Short-term milestone: Expand support for apprenticeships and workers (1)
By March 31, 2024, help up to 55,000 first-year apprentices in construction and manufacturing Red Seal trades connect with employment opportunities at small and medium-sized employers through the Apprenticeship Service.
Short-term milestone: Train and re-skill workers (1)
By the end of 2025, create at least 500,000 new job and training opportunities, including by helping midcareer workers transition to in-demand jobs, supporting Canadians, including those who face multiple barriers, to improve their foundational and transferable skills, and helping young Canadians, as well as persons with disabilities, gain valuable work experience.
Short-term milestone: Introduce sustainable jobs legislation to support a just transition (1)
By the end of 2023, introduce legislation to ensure an inclusive and locally-driven just transition that supports sustainable jobs for Canadians. Sustainable Jobs legislation will be guided by public consultations that will conclude by Fall 2022.
Update
In February 2023, the Government of Canada released an interim Sustainable Jobs Plan for 2023–2025, informed by input from public consultations in 2021-2022. In June 2023, the Government introduced sustainable jobs legislation, which as of December 2023, is before the House of Commons.
Status: Achieved
Source: Natural Resources Canada, 2023
Short-term milestone: Deliver on the two coal-transition programs (1)
By March 31, 2025, design and implement the two coal-transition programs aimed at supporting affected coal workers and communities as part of a just transition.
Short-term milestone: Develop regional net zero growth strategies (1)
By end of 2026, develop regional net zero growth strategies through the Regional Energy and Resource Tables.
Theme: Connectivity in Canada
Target: Access to high-speed internet (2)
By 2030, ensure that 100% of Canadians have access to broadband speeds of at least 50 Mbps download and 10 Mbps upload (Minister of Rural Economic Development)
Indicator (i)
Proportion of households that have access to broadband Internet service at speeds of 50/10 Mbps
This indicator tracks the percentage of Canadians with access to the Internet at speeds that meet the minimum deemed necessary to take advantage of the new resources available online, including learning resources, digital market places, cloud-based solutions, and high-definition entertainment. In 2017, only 38% of rural households had access to 50/10 megabytes per second (Mbps), compared with 97% of urban homes. Only about 29% of households in Indigenous communities had access to 50/10 Mbps. By 2020, these figures had already improved to 56% connectivity for rural households, 99% for urban households, and 40% for First Nations reserve areas.
Short-term milestone: Provide access to broadband that meets minimum download and upload speeds (2)
By the end of 2026, ensure that 98% of Canadians have access to broadband speeds of at least 50 Mbps download and 10 Mbps upload.
Contextual indicator: Environmental and clean technology sector compensation (i)
This indicator tracks the compensation provided to workers in the environmental and clean technology sector in Canada. Wages and salaries in this sector were typically higher than the average salary in the Canadian economy, reaching $80,834 in 2020, compared to the national average of just over $68,678.
Contextual indicator: Year-over-year employment growth of Strategic Innovation Fund-supported firms (i)
This indicator tracks whether Strategic Innovation Fund (SIF) clients continue employment growth past the work phase of their projects. This data will be collected for all clients that have projects in a rolling window from their first year post-work-phase, until their third year post-work-phase (measures sustained post-project employment growth of SIF-supported firms). This indicator will be restricted to SIF-supported cleantech projects for this report. The SIF Net-Zero Accelerator initiative was just recently launched and projects are in their early stages. Preliminary data are expected for FY2022-23.
Implementation strategies and departmental actions
Implementation strategies and departmental actions
Theme: Support for workers and businesses
Implementation strategy: Support job growth in the clean tech products sector (1)
Support job growth in the clean tech products sector.
Implementation strategy: Collaborate with provinces and territories through the Regional Energy and Resource Tables< (1)
The Regional Energy and Resource Tables are a collaborative initiative that will bring together the federal, provincial and territorial governments together with Indigenous partners, municipalities, industry, workers, unions and experts to identify, prioritize and pursue opportunities for sustainable job creation and economic growth for a low-carbon future across all of Canada's regions. The Regional Tables aim to align priorities, funding and financing opportunities, and policy and regulatory approaches on a regional basis to accelerate economic activity and position every region in Canada as a leader in areas where we have or can reasonably create a comparative advantage in the net-zero future.
Implementation strategy: Implement a mines-to-mobility approach to grow strategic supply chains (1)
Leverage Canada's competitive advantage in mining to build the Canadian battery and critical mineral supply chains needed to supply the electric vehicle market and support the wider clean energy transition.
Implementation strategy: Increase labour market participation of Persons with Disabilities (1)
Help Persons with Disabilities improve their employability across all economic sectors, including in the clean technology sector. The Opportunities Fund for Persons with Disabilities program will continue supporting this goal by preparing Canadians with disabilities to obtain good quality in-demand jobs, while also working with employers to make their workplaces more inclusive and accessible for the integration of Persons with Disabilities.
Implementation strategy: Support workers, businesses and communities (1)
Support workers, businesses and communities in their transition to a greener and more inclusive economy through economic development and diversification, skills and training investments (where jurisdictions allow), and project development and growth assistance.
Implementation strategy: Take a sector-by-sector approach to investing in workforce support (1)
Invest in sectoral projects that focus on a range of industry-driven activities that support training and reskilling to help workers gain new skills and transition to in-demand jobs in key sectors, and to help employers attract and retain a skilled and diverse workforce.
Implementation strategy: Test community-based approaches to national and regional priorities (1)
Help communities recover, improve resiliency, and diversify local economies through workforce planning and skills training, through the Community Workforce Development Program. This pilot program will test innovative community-based approaches that aim to address regional and national priorities such as decarbonization and supporting a just transition for workers through the creation of sustainable jobs in transforming sectors such as energy.
Theme: Connectivity in Canada
Implementation strategy: Invest in broadband capacity across Canada (2)
Continue to invest in building broadband capacity across Canada through programs such as the Universal Broadband Fund.
Responsibilities and contributions of federal organizations
Responsibilities and contributions of federal organizations
| FSDS component | Title | Supports Goal and/or Target | Responsible organization(s) |
|---|---|---|---|
| Target | By 2026, there are at least 245,000 jobs in the cleantech products sector, an increase from 2019 | Supports the goal | Minister of Innovation, Science and Industry |
| Milestone | Expand support for apprenticeships and workers | Supports the goal and the Clean Technology Employment Target | Employment and Social Development Canada |
| Milestone | Train and re-skill workers | Supports the goal and the Clean Technology Employment Target | Employment and Social Development Canada |
| Milestone | Introduce sustainable jobs legislation to support a just transition | Supports the goal | Natural Resources Canada |
| Milestone | Deliver on the two coal-transition programs | Supports the goal | Atlantic Canada Opportunities Agency Prairies Economic Development Canada |
| Milestone | Develop regional net zero growth strategies | Supports the goal | Natural Resources Canada |
| Implementation Strategy | Support job growth in the clean tech products sector | Supports the goal and the Clean Technology Employment Target | Employment and Social Development Canada Innovation, Science and Economic Development Canada |
| Implementation Strategy | Collaborate with provinces and territories through the Regional Energy and Resource Tables | Supports the goal | Natural Resources Canada |
| Implementation Strategy | Implement a mines-to-mobility approach to grow strategic supply chains | Supports the goal | Natural Resources Canada |
| Implementation Strategy | Increase labour market participation of Persons with Disabilities | Supports the goal | Employment and Social Development Canada |
| Implementation Strategy | Support workers, businesses and communities | Supports the goal | Atlantic Canada Opportunities Agency Canadian Northern Economic Development Agency Economic Development Agency of Canada for Québec Regions Federal Economic Development Agency for Northern Ontario Federal Economic Development Agency for Southern Ontario Fisheries and Oceans Canada Innovation, Science and Economic Development Canada Natural Resources Canada Pacific Economic Development Canada Parks Canada Prairies Economic Development Canada |
| Implementation Strategy | Take a sector-by-sector approach to investing in workforce support | Supports the goal | Employment and Social Development Canada |
| Implementation Strategy | Test community-based approaches to national and regional priorities | Supports the goal | Employment and Social Development Canada |
| FSDS component | Title | Supports Goal and/or Target | Responsible organization(s) |
|---|---|---|---|
| Target | By 2030, ensure that 100% of Canadians have access to broadband speeds of at least 50 Mbps download and 10 Mbps upload | Supports the goal | Minister of Rural Economic Development as delegated by the Minister of Innovation, Science and Industry |
| Milestone | Provide access to broadband that meets minimum download and upload speeds | Supports the goal and the Access to High-speed Internet Target | Innovation, Science and Economic Development Canada |
| Implementation Strategy | Invest in broadband capacity across Canada | Supports the goal and the Access to High-speed Internet Target | Canadian Radio-Television and Telecommunications Commission Innovation, Science and Economic Development Canada |
Performance measurement
| Indicator type | Target | Indicator | Source | Update cycle |
|---|---|---|---|---|
| Target | By 2026, there are at least 245,000 jobs in the cleantech products sector, an increase from 2019 | Jobs in the clean technology products sector * | Innovation, Science and Economic Development Canada | Annual |
| Target | By 2030, ensure that 100% of Canadians have access to broadband speeds of at least 50 Mbps download and 10 Mbps upload | Proportion of households that have access to broadband Internet service at speeds of 50/10 Mbps * | Innovation, Science and Economic Development Canada | Annual |
| Contextual | Environmental and clean technology sector compensation | Innovation, Science and Economic Development Canada | Annual | |
| Year-over-year employment growth of Strategic Innovation Fund-supported firms | Innovation, Science and Economic Development Canada | Annual | ||
*Indicators that have also been included in the Canadian Indicator Framework.
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