Apprenticeship in Canada, A Public - Private Sector Partnership

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Apprenticeship in Canada,
                    A Public - Private Sector Partnership
Canada is a federation of ten provinces and three territories. Under the Canadian constitution,
provincial governments have exclusive responsibility of all levels of education. There is no
ministry or department of education at the federal level. Canada's three territories, Yukon,
Northwest Territories, and Nunavut, do not have the same constitutional status as the provinces,
and are subject, in many areas, to more direct control from the federal government. With respect
to education, however, the federal government has delegated this responsibility to the territorial
governments, which, in turn, cooperate with the provinces to deliver skilled trade programs1.

I. Apprenticeship Basics

What is apprenticeship?

Apprenticeship is a work-based mentorship model in which skilled tradespersons pass on
knowledge and skills to learners in a workplace setting, leading to industry certification of
competencies in a skilled trade. Learners develop competencies as prescribed by a
comprehensive set of industry standards. Apprenticeship combines alternating periods of on-the-
job and technical training, except in Quebec, where the technical training is front-end loaded.
Certification is based on a demonstrated ability to perform occupational tasks at an industry
standard.

The duration of apprenticeship is from 2-5 years, depending on the trade and the jurisdiction. For
most trades, the term of apprenticeship is four years. Apprentices are paid employees receiving
incremental wage increases as they acquire more skills and progress through the various levels of
apprenticeship. A contract of apprenticeship is signed by the employer and apprentice, and
registered with the provincial or territorial authority responsible for administration of the
apprenticeship program.

As a means of skills development, apprenticeship has been practiced formally and informally for
hundreds of years. The apprenticeship training system has evolved over time and adapted to
serve the needs of employers and tradespersons in a modern economy.

Most of the fundamental elements of Canada’s apprenticeship program trace their origins back to
the craft guilds of medieval Europe. These elements include:

      •   the contract of apprenticeship establishes an ongoing relationship between the employer
          and apprentice, setting out the obligations of each party;
      •   the majority of skills development occurs in the workplace (learning by doing) under a

1
    http://www.cicic.ca/421/an‐overview.canada

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mentorship model, with a skilled tradesperson teaching and supervising the apprentice;
      •    the system is industry-driven (employers and workers in the labour market create the
           basic supply and demand conditions which drive the system);
      •    it is largely paid for by the investment of employers and apprentices; and
      •    the standards which define occupations and journeyperson competency are developed and
           approved by industry.

Why is apprenticeship important?

Within the current Canadian workforce of 17 million, there are presently over two million
tradespersons in Canada certified to an industry standard (2006 Census). Apprenticeship extends
well beyond the traditional smoke-stack and construction industries. Certified tradespeople work
in many sectors of the economy, and make a critical contribution in primary, secondary and
tertiary industries. Apprenticeship registrations follow economic cycles. Participation has been
on the increase for more than a decade. At the end of 2007, there were 298,190 registered
apprentices in Canada – an increase of 54% since 2002 (Statistics Canada, Registered
Apprenticeship Information System (RAIS), 2007).

Apprenticeship leads to a new generation of highly skilled and certified journeypersons who
work in well-paying, mobile and satisfying careers. Apprenticeship is a proven, cost-effective
model for workplace training in a trade or occupation.

                    Number of Active Registered Apprentices
                       in Canada at the end of the year2
                                                                                   298,190
          300,000
                                                                             271,930

          250,000
                                                                    220,135

          200,000
                                                           160,690
                                      139,745
          150,000                            131,645
                               128,831

                       102,729
          100,000
                       1984 1988 1992 1996 2000 2004 2006 2007

2
    Statistics Canada, Registered Apprenticeship Information System [RAIS], 2007

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Who is responsible for apprenticeship training?

While apprenticeship is fundamentally an industry-based training and certification system, it is a
provincial and territorial responsibility in terms of administration, regulation and certification.
There are multiple approaches to apprenticeship within the provinces and territories of Canada.
At the request of industry, provinces and territories designate the individual trades they choose to
be part of their apprenticeship system. The result is 13 different apprenticeship systems, over 200
regulated trades, and a mix of compulsory and voluntary designated trades. Each province and
territory establishes its own apprenticeship legislation. Provinces, territories and the federal
government collaborate through the Interprovincial Standards Red Seal Program to ensure labour
mobility in the skilled trades and to create standards of excellence.

                    A provincial/territorial responsibility
                         13 legislated authorities

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How does apprenticeship work in the provinces and territories?

Each province and territory determines which trades it regulates, including the scope and
definition of each trade. The individual jurisdictions also determine: whether the trade will be
designated voluntary or compulsory; apprentice wages; apprentice to journeyperson ratios; and,
the specific training and certification requirements for the trade. In compulsory trades, one must
either be a registered apprentice or a certified journeyperson to work in that trade. No such
requirement applies to voluntary trades.

The key players in the provinces and territories are industry (employers and employees, and their
representative organizations), Boards and Commissions and the P/T apprenticeship authority,
which is comprised of a Director of Apprenticeship and other administrative staff. There is some
variation by jurisdiction, since each province and territory establishes its own system.

Apprenticeship Boards and Commissions, where they exist, are composed of industry
representatives and other apprenticeship stakeholders. Industry members may include employers,
owners, the self-employed, representatives of employer associations, employees, and
representatives of organized labour and open shops. Other members may include representatives
of equity groups, training providers and government. The mandate of Apprenticeship Boards and
Commissions may be advisory or statutory. They may be responsible for trade designations,
compulsory or voluntary designations, training and certification standards, and providing
industry/stakeholder advice and perspective. Most jurisdictions establish trade advisory
committees composed of representatives of employers and employees and sometimes other
apprenticeship stakeholders. The mandate of trade advisory committees is focused on providing
advice on skilled trade standards, examinations, curriculum, on-the-job training and trade
regulations.

The provincial or territorial apprenticeship authorities usually exist within a branch of a
government department or as a government agency. Employees of these branches or agencies are
responsible for the administration of apprenticeship and certification legislation. The Director of
Apprenticeship and supporting staff register apprenticeship contracts, develop, implement,
schedule and monitor apprenticeship training, verify work experience and credentials of clients,
administer examinations, issue provincial/territorial journeyperson certification and issue Red
Seal endorsements. Most jurisdictions employ program development staff and field staff.
Program development staff work with industry representatives to develop, validate and update
occupational analyses, training standards and examinations. Field staff work directly with
employers, apprentices and tradespersons.

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P/T/F Web Site Addresses
- Newfoundland                                       - Alberta
  http://www.ed.gov.nl.ca/edu/post/app.htm             http://www.tradesecrets.gov.ab.ca

- Nova Scotia                                        - British Columbia
  http://nsapprenticeship.ca/                          http://www.itabc.ca/

- New Brunswick                                      - Northwest Territories
  http://www.gnb.ca/0381/index-e.asp                   http://www.ece.gov.nt.ca/

- Prince Edward Island                               - Yukon
  www.apprenticeship.pe.ca/                            www.education.gov.yk.ca/

- Québec                                             - Nunavut
  http://emploiquebec.net/anglais/index.htm            http://www.gov.nu.ca/education/eng/index.htm

- Ontario
  http://www.edu.gov.on.ca/eng/welcome.html          - Red Seal Program
                                                       www.red-seal.ca
- Manitoba
  http://www.gov.mb.ca/tradecareers                  - Ellis Chart
                                                       www.ellischart.ca
- Saskatchewan
  http://www.saskapprenticeship.ca

II. Industry linkages

How is industry linked with apprenticeship?

As a work-based training and certification program, industry is a key partner in apprenticeship in
the provinces and territories. Employers and employees provide advice to apprenticeship boards,
government officials and agencies on training programs, including curriculum standards, the
latest equipment available in the industry and evolving trends in a particular trade. The standards
upon which the Red Seal Program are based, and upon which its products are built, are
developed and validated directly by industry practitioners who serve as subject matter experts for
their trades. Industry representatives ensure that apprenticeship occupational, training and
examinations standards reflect current industry practices and requirements.

One of the primary vehicles that link the CCDA to industry is its Industry Relations Committee
(IRC). The IRC is composed of CCDA members and representatives of HRSDC, the
Interprovincial Alliance of Apprenticeship Board Chairs and jurisdictional industry
representatives. The mandate of the IRC is to develop and maintain linkages and relationships
with national industry groups. It also acts as a focal point for industry inquiries about CCDA and
its activities.

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III. The Interprovincial Standards Red Seal Program (Red Seal Program)

What is the Red Seal Program?

The Red Seal Program is a provincial/territorial/federal partnership that promotes labour
mobility and portability of trades skills. The Red Seal Program represents 50 trades and
approximately 90% of all registered apprentices in Canada. It is a substantial portion of the
skilled trades workforce in this country. The Red Seal Program is recognized for its standards of
excellence by employers.

The Red Seal Program has its origins in the early 1950s, with the first Red Seal endorsement
issued in 1959. Since 1959, more than 470,000 Red Seal endorsements have been issued in
Canada. Skilled tradespersons who meet the requirements of the Red Seal Program have an
endorsement (the Red Seal) affixed to their provincial or territorial journeyperson certificates.
Workers with the Red Seal endorsement receive high quality training based on nationally
recognized standards and are certified through a common interprovincial examination.

         Annual number of Red Seal endorsements issued*

                                                                              21,087
         21,000
         19,000                                                      17,694
         17,000                                            15,839
                                                  14,505
         15,000
                                        12,868
         13,000                12,219

         11,000       9,769
           9,000
                     1995 1997          1999 2001 2003              2005 2007

  ______
*Includes Red Seal endorsements for successful Trade Qualifiers (experienced tradespersons not
registered as apprentices).

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Who are the key participants in the Red Seal Program?

The key participants in the Red Seal Program are the Canadian Council of Directors of
Apprenticeship (CCDA), the Interprovincial Alliance of Apprenticeship Board Chairs (IPA) and
Human Resources and Social Development Canada (HRSDC)

The CCDA consists of a representative of each provincial and territorial jurisdiction with
responsibility for apprenticeship, and two representatives of the federal government from
HRSDC. The core purpose of the CCDA is to facilitate the development of a certified, highly
competent and mobile skilled trades workforce in Canada. It is the governance body responsible
for managing the Red Seal Program.

                                 CCDA Structure

                                  Provincial/Territorial/Federal

                                     Department or Agency

                                              CCDA                      IPA

                                               ISEC                  Ad-Hoc         Red Seal
Standing Committees                                                Committees      Secretariat

- Executive Committee
- Communication/Promotions
  Committee
- Research Committee
- Industry Relations
  Committee

The CCDA has established a number of committees and working groups. The Executive
Committee carries out the business of the CCDA between full council meetings. The
Communications/Promotions Committee works with partners to promote apprenticeship and the
skilled trades. The Industry Relations Committee develops and maintains linkages and
relationships with national industry groups. The Research Committee develops an agenda and
timetable for research projects to be undertaken by the CCDA in an effort to inform decision

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making and policy direction. The Interprovincial Standards and Examination Committee (ISEC)
is a provincial and territorial working group of CCDA responsible for the development and
maintenance of Red Seal Program Products.

The IPA is composed of the chairpersons (or designates) of provincial and territorial
Apprenticeship Boards or Commissions where they exist. Its mandate is to share information
about jurisdictional activities and plans, provide advice to the CCDA and to provide a liaison to
the Canadian Apprenticeship Forum, which is a broadly based sector organization that brings
together apprenticeship stakeholders from across Canada.

The Government of Canada, principally through HRSDC, is another key participant in the Red
Seal Program. HRSDC supports the development of national Occupational Analyses and
interprovincial examinations. It also provides secretariat and research support to the CCDA.

The federal government contributes to the Red Seal Program in several ways and has
implemented many programs which support apprenticeship. Apprentices in Red Seal trades are
eligible for the Apprenticeship Incentive Grant and Apprenticeship Completion Grant. Tax-based
assistance is offered to apprentices through the Apprenticeship Job Creation Tax Credit for
employers, Apprentices Vehicle Mechanics Tool tax Deduction and Tradesperson Tools
Deduction. Employment Insurance is available to most apprentices enrolled in technical training.

                                    Relationships

                              IPA              CAF
                                                               HRSDC

                                   CCDA                                   SECTOR
                                                                         COUNCILS

                                                   ISEC
            National
            Industry
            Groups

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How does the Red Seal Program work?

First and foremost, the Red Seal Program is industry-driven. The CCDA, through the Red Seal
Program, facilitates effective alignment of interprovincial standards with the apprenticeship
system in each participating jurisdiction. HRSDC provides support to the CCDA and its
committees, as well as the funding and administrative support for the development of a series of
Red Seal “core products”. These products are developed in partnership with provinces and
territories which provide technical expertise and content through industry and trade experts.

If a trade is designated in two or more jurisdictions, any province or territory in which that trade
is designated may request that the CCDA designate the trade as Red Seal.

Once a trade becomes designated through the Red Seal Program, the first core product developed
is the National Occupational Analysis (NOA) – a foundation document that maps out the scope
of the trade in each province and territory and identifies the elements of the trade that are
common to all jurisdictions. The NOA details the tasks and sub-tasks performed by workers in
the trade or occupation. The tasks and sub-tasks are developed with the active participation of
industry practitioners across the country, who serve as subject matter experts.

The Interprovincial Red Seal (IP) examination, another core product, is developed from the
common core elements of the trade identified in the NOA. Again, industry practitioners are
actively involved in the development of the exams. IP examinations are administered through the
Interprovincial Computerized Examination Management System (ICEMS), an electronic
database containing Red Seal IP questions. It is used to generate a series of appropriately
structured IP exams for each Red Seal trade.

The Interprovincial Program Guide (IPG) is another product that has evolved to support the Red
Seal Program. An IPG is a list of validated technical training outcomes, based upon those sub-
tasks identified as common core in the National Occupational Analysis for a trade. IPGs are
validated by industry in the provinces and territories as incorporating the essential tasks,
knowledge and skills associated with a given trade.

The Red Seal Program partnership is comprehensive. In one way or another it engages
employers, employees, contractor associations, organized and open shop labour,
provincial/territorial apprenticeship authorities, the Government of Canada, technical training
providers, trades related sector councils, including the Canadian Apprenticeship Forum and
equity groups.

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The 50 Red Seal Trades
                                                  (as of July/09)
      Agricultural Equipment
                                         Hairstylist*                  Painter and Decorator*
      Technician
                                         Heavy Duty Equipment
      Appliance Service Technician*                                    Partsperson
                                         Technician*

      Automotive Painter*                Industrial Electrician*       Plumber*

                                         Instrumentation and Control
      Automotive Service Technician*                                   Powerline Technician
                                         Technician
                                         Industrial Mechanic           Recreation Vehicle Service
      Baker
                                         (Millwright)*                 Technician*
                                                                       Refrigeration and Air
      Boilermaker*                       Insulator (Heat and Frost)*
                                                                       Conditioning Mechanic*

      Bricklayer*                        Ironworker (Generalist)*      Rig Technician*

      Cabinetmaker                       Ironworker (Reinforcing)*     Roofer*

                                         Ironworker
      Carpenter*                                                       Sheet Metal Worker*
                                         (Structural/Ornamental)*

      Concrete Finisher*                 Landscape Horticulturist      Sprinkler System Installer*

                                         Lather (Interior Systems
      Construction Craft Worker                                        Steamfitter/Pipefitter*
                                         Mechanic)*

      Construction Electrician*          Machinist                     Tilesetter*

      Cook                               Metal Fabricator (Fitter)     Tool and Die Maker

      Electric Motor System
                                         Mobile Crane Operator*        Transport Trailer Technician*
      Technician
      Electronics Technician
                                         Motorcycle Mechanic*          Truck and Transport Mechanic*
      (Consumer Products)*
                                         Motor Vehicle Body Repairer
      Floorcovering Installer*                                         Welder*
                                         (Metal and Paint)*

      Glazier*                           Oil Heat System Technician*

*The trade is compulsory in at least one jurisdiction.
 38 of the 50 Red Seal trades are compulsory in one or more P/T

What are the outcomes and benefits of the Red Seal Program?

The Red Seal Program facilitates the development of a highly skilled and mobile trades
workforce by promoting a national standard for training excellence in the skilled trades. The Red
Seal endorsement is widely recognized and supported by industry, and highly valued by
employers. In certain work environments, the Red Seal allows for better employment
opportunities for journeypersons and provides a competitive hiring advantage. The Red Seal

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Interprovincial examination has been adopted by most provinces and territories as the final
certification examination for the 50 Red Seal trades.

In a Canadian labour market where all certificates of competency recognized by all jurisdictions
are deemed equal under the AIT, the Red Seal provides assurance and certainty that an employee
is qualified to a standard of knowledge and competency that has been defined by industry and
vetted through a rigorous process with industry input from coast to coast.

The CCDA has been recognized as a pioneer of labour mobility in Canada through its work with
the Red Seal program. The amended Chapter 7 of the Agreement on Internal Trade (AIT) points
to the Red Seal Program as a model for the development of common interprovincial standards. It
also acknowledges the continued commitment by provinces, territories and the federal
government to the Red Seal Program.

The benefits of the Red Seal Program extend to employers, skilled tradespersons, governments
and the economy:

   •   Employers benefit by having a transparent system for recognition of employee
       competence. Employers are confident that holders of the Red Seal endorsement have met
       a national industry standard;
   •   In an interprovincial labour market where all certificates of competency recognized by all
       jurisdictions are deemed equal under the AIT, the Red Seal provides assurance and
       certainty that an employee is qualified to a standard of knowledge and capability that has
       been defined by industry and vetted through a rigorous process with industry input from
       coast to coast.
   •   As industry sectors compete for new entrants, the Red Seal elevates skilled trades to
       position them as attractive career-of-choice.
   •   Skilled tradespersons with a Red Seal endorsement on their journeyperson certificates
       enjoy a high level of employment, higher wages and greater mobility among employers
       within provinces and territories and nationally. They also enjoy improved opportunities
       for career advancement;
   •   The Red Seal Program creates efficiencies and economies of scale for provincial and
       territorial governments by enabling harmonization of trades training and certification
       across the country through mechanisms such as national standards and interprovincial
       examinations;
   •   A highly qualified labour force is necessary to augment competitiveness and productivity,
       which has a positive impact on Canadians' standard of living;
   •   The Government of Canada works with the provinces and territories to support their
       apprenticeship systems and facilitate the development of a highly skilled and mobile
       trades workforce.

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IV. Challenges in developing a skilled trade workforce

What are the challenges?

Provincial and territorial apprenticeship programs face a variety of challenges across Canada.
Some challenges are common across the country and others are regional or sectoral in scope.

Skilled trades shortages have emerged in some regions and sectors within Canada. Alberta and
British Columbia have created regional lists for occupational pressures, some of which are
creating a high demand for temporary foreign workers. The shortage of skilled labour is
becoming problematic for small and medium size enterprises. For the second consecutive year,
the construction industry reports the highest long-term vacancy rate at 6%. (Help wanted;
Canadian Federation of Independent business, March 2008.) The Construction Sector Council
estimates that by 2015 the construction industry will need to recruit and train 230,000 workers
due to retirements and a growing economy. Across Canada, the median age of workers in many
Red Seal trades is steadily rising, and the number or retirements is expected to be significant
over the next decade (Census Data 2006.) The expected ongoing high demand for skilled trades
workers represents a significant challenge for some provincial and territorial apprenticeship
programs.

Employer participation is an ongoing challenge for apprenticeship. Employer participation is
essential to apprenticeship, as on-the-job requirements comprise a minimum of 80% of the
apprenticeship program. Some large employers of skilled trades workers, particularly in the
public sector, do not participate in apprenticeship training and trade certification programs. In
recent decades, it has been possible to hire certified skilled workers on the open labour market,
so some employers have chosen not to invest in training their own employees. A recent CCDA
study revealed that, among non-participating employers, the risk of skilled workers being
poached was among the top three reasons for not participating in apprenticeship. Some other
employers are not sufficiently conscientious about the critical on-the-job training component of
apprenticeship, and may not expose their apprentices to the full range of tasks in the trade, or
rely too much on the technical training component of apprenticeship for skills development.

The nature of work is changing rapidly in some trades and workplaces. The application of new
technology requires ongoing learning and stronger essential skills on the part of many trades
workers. Specialization is increasing in many trades. This may limit the opportunity for
apprentices to gain a broad scope of work experience within a given trade. The changing nature
of work will compel apprenticeship programs in the provinces and territories to be creative and
flexible in order to respond to the needs of industry while maintaining a reasonably broad and
meaningful scope of training and certification in the trades.

The apprenticeship programs of the provinces and territories face a number of administrative
challenges in order to maintain the effectiveness and currency of their own programs, as well as
the Red Seal Program. Among these challenges:

   •   foreign qualification recognition as large numbers of immigrants and temporary foreign
       workers come to Canada;

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•   the cost and time required to develop and maintain current industry standards for
       apprenticeship training and certification;
   •   the promotion of skilled trades as first-choice careers in a competitive environment that
       offers ever-increasing choices to shrinking number of young people entering Canada’s
       labour force;
   •   providing the right supports and incentives to apprentices in order to improve
       apprenticeship completion rates and;
   •   ensuring that all new labour force entrants and existing workers have equitable access to
       apprenticeship, including groups of people who have traditionally not accessed
       apprenticeship for career opportunities.

V. Summary

Apprenticeship and trade certification is critical to Canada’s continued prosperity and
competitiveness. The apprenticeship systems of the provinces and territories of Canada have
never been more relevant to the future of this country or more dynamic in their response to the
challenges they face. An effective private and public sector partnership has evolved for the
delivery of apprenticeship training and certification. That partnership is addressing the
challenges of apprenticeship and ensuring the mobility of the skilled trades workforce in Canada.

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