Commission on the Reform of Ontario's Public Services

Chapter 9: Employment and Training Services
Recommendation 9-2: Streamline and integrate other employment and training services with
Employment Ontario, including the bulk of the employment and training service component of
social assistance and integration and settlement services for newcomers, in a carefully
sequenced manner.
Ontario–Federal Arrangements for Employment and Training Programs
The federal government provides a significant amount of annual funding to Ontario through a
number of federal-provincial labour market agreements, including the Labour Market
Development Agreement (LMDA) and Labour Market Agreement (LMA). Each agreement has
its own client eligibility, program design, and reporting and accountability requirements. The
following table summarizes the major categories of programs covered by bilateral agreements,
eligibility requirements and magnitude of funding.
TABLE 9.1 Federal-Provincial Labour-Market Agreements
Agreements Eligibility Total Funding
Labour Market Development Agreement
• Devolution of federal funding, staff
and ongoing responsibility to deliver
employment and training programs to
Ontario (occurred in 2007).
Labour Market Agreement
• Supports the delivery of employment
and training programs that enhance
the labour-market participation of
those not eligible for EI.
Targeted Initiative for Older Workers
• Increase the employability of older
workers in communities experiencing
economic restructuring.
Labour Market Agreement for Persons
with Disabilities
• To improve the employment
circumstances of persons with
disabilities.
Source: Ontario Ministry of Training, Colleges and Universities.
• Primarily targeted to Employment Insurance
(EI) clients.
• Unemployed individuals who are not
EI-eligible such as social assistance recipients,
immigrants and other key groups.
• Employed individuals who are low skilled (no high
school diploma or recognized certification).
• Laid-off workers aged 50 and over
(primarily targeted to 55–64 age group).
• Must be in communities of less than 250,000
people that have high unemployment or a high
reliance on single industries.
• Employment-related programming for persons
with disabilities.
• Approximately $550 million/year.
• Fluctuates on an annual basis
according to labour-market and
economic indicators.
• Term: Signed in 2005; no expiry.
• $194 million/year.
• Term: 2008–09 to 2013–14.
• This is a cost-sharing agreement for a
total of $58.5 million over three years.
• The federal government supports 84%
($49.1 million) of total costs and
Ontario provides 16% ($9.4 million).
• Term: 2009–10 to 2011–12; extended
to 2012–13.
• $76.4 million/year.
• Term: 2004–2013 (extended multiple
times).
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