Introduction to the Challenge Current approaches to correcting labour shortages are not sufficient Canadian education institutions are not training the volume of people necessary to meet current labour demands. / Introduction Canada is at a pivotal moment Our country is facing critical skilled labour shortages, negatively impacting the economy, productivity, and the accessibility of services. Labour mismatches are costing the country an estimated $2.6 billion in 2024. These gaps are only expected to grow in the coming years as a result of Canada’s aging population, significant reductions in temporary foreign workers, and growing competition for skilled immigration across the Global North. Unless Canada takes action to address these shortages, Canada will be increasingly vulnerable to economic stagnation, poorer quality of life outcomes, and growing threats of cyberattacks. What we’re doing now isn’t working Current approaches to correcting these labour shortages are not sufficient. Canadian education institutions are not training the volume of people necessary to meet current labour demands. For example, Ontario is estimated to need 51,900 additional Personal Support Workers (PSWs) by 2027, but only 21,700 are projected to be added from existing training programs and other supply measures. Educational institutions are also slow to adapt to changing labour market needs, leaving many graduates without today’s most in-demand skills. The current immigration system isn’t working as well as it should. One-in-four recent immigrants with a bachelor’s degree or higher experience an ‘education-occupation mismatch,’ meaning their talents are underused. In contrast, Canadian Experience Class immigrants, who bring Canadian experience and credentials, face this mismatch at only half that rate, below the Canadian average. Research by RBC suggests that “bringing immigrants up to the wage and employment levels of those born in Canada has the potential to add $50 billion to GDP.” Canada’s recent overreliance on temporary foreign workers and international students put strain on the country’s housing, infrastructure, and health care. For the first time since the turn of the century, a majority of Canadians now think that there is too much immigration. Newcomers are also struggling — 42 per cent of newcomers would consider leaving Canada and immigrants who landed since 1982 are leaving at an annual rate of almost one per cent per year. The 2026 Immigration Levels Plan emphasizes a new approach to immigration that focuses immigration on “filling labour gaps, strengthening key sectors of the economy and supporting communities across the country.” It’s time for a new approach We need new approaches to how we align our immigration policies, labour market needs, and skills training. Canada is built on immigration. Generations of newcomers have come to Canada and helped support the growth and vibrancy of both our economy and society. It is clear that the solution to our labour market gaps depends on leveraging international talent. The Canadian government agrees the 2026 Immigration Levels Plan emphasizes a new approach to immigration that focuses immigration on “filling labour gaps, strengthening key sectors of the economy and supporting communities across the country.” To do so, the government increased the share of economic migrants to 64 per cent of all immigrants. It is important that as economic migrants come to Canada in an effort to fill labour market gaps, they are set up for success and trained in the skills our country needs. 369 Global is piloting an innovative model that can help get us there: Global Skilling Centres (GSCs) are a targeted approach to filling Canada’s key labour shortages by leveraging international talent. GSCs would be physical centres in key international locations that offer technical and vocational education and training (TVET), broader pre-arrival training, and integration with Canadian employers to trainees in specific in-demand professions (like PSWs). They would be run by Canadian educational institutions in close collaboration with immigrant service providers and employers. 369 Global has heard directly from employers and industry partners that they are interested in hiring international talent, but strongly value those with Canadian readiness, exposure, and language skills. This is where GSCs could come in. The training delivered at GSCs would be designed to meet employers’ needs and adapted in real-time to the changing labour market. They would address employers’ biggest challenge, which is getting international talent up to speed on the specifics of the Canadian workplace. 369 Global is determined to provide Canadian-designed and delivered training abroad so international talent is ready and able to fill Canadian labour market gaps as soon as they arrive. Other countries have already begun to leverage offshore vocational training as a labour mobility tool. Along with greater predictability, support, and job connections for newcomers, international training is a targeted way to help fill domestic labour market gaps. Canada needs to meet the moment and seriously explore providing international education in the form of Global Skilling Centres. However, Canada’s policy environment today is not well equipped to support Global Skilling Centres to achieve these outcomes. The Government of Canada, alongside provincial and territorial governments, industry stakeholders, and newcomer communities, needs to make necessary policy changes to the immigration and skills policy environment to enable GSCs to reach their full potential. GSCs are a bold new opportunity to reimagine how Canada prepares the next generations of newcomers to thrive as successful, contributing, and engaged citizens. To help realize this vision, 369 Global will Underline current challenges associated with Canada’s skills gaps Outline and assess Canada’s current approach to economic immigration as a way to fill skills gaps Explore the benefits of international TVET Outline the GSC model Recommend policy approaches to enabling GSCs and their success Canada’s Skills and Labour Market Gaps Significant skills and labour shortages threaten Canada’s prosperity Introducing the Challenge Current approaches to correcting labour shortages are not sufficient Canada’s Skills and Labour Market Gaps Significant skills and labour shortages threaten Canada’s prosperity Aligning Global Training with Canadian Immigration Canada’s identity and success have long been shaped by the contributions of immigrants. Global Examples of International TVET Technical and Vocational Education and Training. Global Skilling Centres Applying International Insights to the Canadian Context Recommendations To effectively support trainees to develop Canadian-recognized skills, we need a supportive environment of policy and partnerships