Home Featured Ottawa invests $14.3 million to ease labour shortages in healthcare sector

Ottawa invests $14.3 million to ease labour shortages in healthcare sector

by HR News Canada

The federal government is investing up to $14.3 million to help internationally educated health professionals (IEHPs) enter the Canadian workforce, a move aimed at alleviating staffing shortages in hospitals and medical centres across the country.

The funding, announced Tuesday by Employment Minister Steven MacKinnon, will be distributed among four organizations through the Foreign Credential Recognition Program (FCRP). It is expected to provide direct support to more than 3,500 IEHPs through work placements, wage subsidies, mentoring, training, and coaching initiatives.

“Internationally educated professionals possess the talent and experience our healthcare sector needs,” MacKinnon said. “By investing in the Foreign Credential Recognition Program, we’re adding capable doctors, nurses, and health practitioners to medical rooms across the country, growing our workforce and delivering better health outcomes for Canadians.”

Labour shortages continue to strain Canada’s healthcare system, with 78,600 unfilled positions recorded in the third quarter of 2024. While this represents a decline from the peak of 97,400 vacancies in 2022, health officials say staffing gaps continue to impact patient care, leading to long wait times, emergency room closures, and difficulties accessing family doctors.

The funding builds on Budget 2024 commitments, which allocated an additional $50 million over two years to the FCRP, focusing on both healthcare and residential construction. The program aims to streamline credential recognition for skilled newcomers and integrate them into the Canadian labour market more quickly.

Health Minister Mark Holland said the investment is a necessary step to bolster capacity in the healthcare system. “Canada needs more healthcare workers in our system, faster,” he said. “This federal funding will help grow capacity in our healthcare system and give relief to workers already providing care to Canadians.”

One of the recipients of the funding, the Société économique de l’Ontario (SEO), will use its share to support internationally trained women in healthcare. Cathy Modesto, SEO’s president, said the initiative will provide tailored support to enhance skills and secure employment, while also addressing labour shortages.

The federal government has identified healthcare as a priority sector for workforce development, particularly with 395,000 permanent residents expected to be welcomed to Canada in 2025. At the January 2025 Health Ministers’ Meeting, provincial and territorial leaders reaffirmed their commitment to addressing healthcare workforce challenges, approving a pan-Canadian study on training capacity and publishing an ethical framework for recruiting and retaining internationally educated professionals.

Related Posts

Leave a Comment

About Us

HR News Canada is an independent source of workplace news for human resources professionals, managers, and business leaders. Published by North Wall Media. 

@2025 – North Wall Media | HR News Canada