The world of work is changing. Digitalisation, globalisation, and population ageing are having a profound impact on the type and quality of jobs that are available and the skills required to perform them. The extent to which individuals, firms and economies can reap the benefits of these changes will depend critically on the readiness of adult learning systems to help people develop and maintain relevant skills over their working careers.

By early 2020, Canada’s unemployment rate had fallen to a record low level thanks to a strong economy. While this report was being finalised, however, Canada and the rest of the world were responding to a global health pandemic, COVID-19. The policy measures taken to contain the virus will have long-lasting impacts on the economy and labour markets. Early Employment Insurance claims data suggest that Canada’s unemployment rate is likely to surge. While the labour market context has changed significantly, the need to learn quickly and adapt has never been greater. Initiatives like Canada’s Future Skills and workforce innovation centers can help to promote new ways of working and learning.

This chapter provides an overview of the labour market context in Canada, and discusses challenges related to changing demand for skills as a result of globalisation, technological change and population ageing. It provides an overview of Canada’s system of adult learning.

Workforce innovation involves testing, sharing and implementing new approaches to employment and training services. This chapter provides an overview of recent developments in workforce innovation in Canada. It assesses their potential to improve the future-readiness of Canada’s adult learning system along five dimensions: coverage and inclusiveness, alignment of training with labour market needs, impact of adult learning, financing, and governance.

There is evidence that the way work is organised, jobs are designed and employees are managed matter for turning workplaces into learning organisations where employees are encouraged to apply and develop their skills. There are advantages for both employees and employers. Nevertheless, work practices that encourage skills use and promote the development of learning organisations are not widespread. This chapter reviews international experience with promoting high-performance work practices, and suggests how Canada could stimulate good practice in this area.