Free Trade and Labour Mobility Act Commences

Summary#

This Order fixes January 1, 2026 as the day the Free Trade and Labour Mobility in Canada Act comes into force. The Act (which received royal assent on June 26, 2025) is meant to make it easier for goods, services and certain workers to move across provincial and territorial borders; the regulations to support it will also start on January 1, 2026.

What it does#

• Fixes January 1, 2026 as the coming-into-force date for the Free Trade and Labour Mobility in Canada Act.
• Brings the Free Trade and Labour Mobility in Canada Regulations into force on the same date.
• Lets a provincial or territorial requirement count as meeting a comparable federal requirement when both apply to the interprovincial movement of a good or the interprovincial provision of a service. The federal rule would remain in place but is treated as satisfied when the provincial/territorial requirement has been met.
• Creates a framework to recognize provincial and territorial licences or certifications for workers when the same occupation is regulated by both a province/territory and the federal government.
• Limits the Act’s scope to federal requirements that specifically apply to interprovincial trade or interprovincial services; federal rules that apply to all goods and services (whether traded or not) are excluded.

Who's affected#

• Businesses that sell or move goods and services across provincial and territorial borders.
• Workers who hold provincial or territorial licences and want to work in occupations that also have federal authorization (the Gazette notes examples such as land surveyors and locomotive engineers).
• Federal departments and federally regulated employers who hire workers in those occupations or enforce federal rules. Natural Resources Canada is named in the Gazette as an example agency involved with certification.
• Provincial and territorial governments, which set the standards that may be recognized under the Act.
• Indigenous organizations and other stakeholders who were consulted during development (for example, the Indigenous Working Group on Trade (I‑Trade) and the Canadian Chamber of Commerce).

Why it matters#

• It should reduce duplicate paperwork and separate certifications for many goods and services traded between provinces.
• It could make it faster and easier for licensed workers to take federal jobs or work in federal jurisdictions.
• Economists cited in the Gazette estimate internal trade reforms could add up to $200 billion to the Canadian economy over time. Every year, about $530 billion worth of goods and services move across provincial and territorial borders, so even small reductions in barriers can matter.
• The Order addresses federal barriers only. Most internal-trade barriers are provincial or territorial, and provinces have already taken some separate actions; the Act is intended to complement, not replace, those efforts.