Economic cooperation memorandum of understanding: Ontario and Northwest Territories and Yukon and Nunavut

Memorandum of Understanding

Between:

The Government of Ontario

And

The Government of Northwest Territories

And

The Government of Yukon

And

The Government of Nunavut

(hereinafter jointly referred to as “the Parties”)

Whereas the Canadian economy is currently subject to economic and geopolitical uncertainty, including various tariffs and tariff threats by the United States on Canadian products, which threaten Canadian workers and businesses;

And whereas, the Parties are signatories to the Canadian Free Trade Agreement (CFTA) and are committed to fulfilling the agreement’s objectives of creating a more open Canadian economy through the reduction and elimination of barriers to the free movement of goods, services, investments and workers across Canada;

And whereas the CFTA’s goals of free trade and labour mobility are essential to creating an environment where Canadian businesses and workers have equal opportunities to succeed and thrive, thereby supporting the most prosperous and competitive possible economy for the benefit of all Canadians;

And whereas there are opportunities for the Parties to advance the CFTA’s labour mobility goals by aligning their certification and licensing, and to expedite registration processes while preserving the ability for each Party to preserve the health, safety and cultural interests of its residents;

And whereas the Parties place trust in federal, provincial, and territorial regulatory bodies to make sound decisions that prioritize the safety of all Canadians;

And whereas the Parties believe in the core principle that if a good or service that is deemed safe for sale or use for some Canadians, it should be considered safe for all Canadians; and that a worker certified to regulated occupation in one jurisdiction should be recognized to do so in another, without unnecessary barriers such as additional training, exams or assessments;

And whereas the Parties recognize the vital importance of a dynamic and mobile workforce to fostering economic growth, innovation and resilience;

And whereas Ontario has demonstrated leadership on internal trade with respect to the removal of all its Party-specific exceptions (PSEs) under the CFTA and through the Protect Ontario Through Free Trade Within Canada Act, enabling the mutual recognition of goods, services and certified workers with all reciprocating Canadian jurisdictions;

And whereas the territories support national efforts to remove internal trade barriers and enhance labour mobility in the unique context of territorial economies by fully participating in Team Canada work to liberalize internal trade, including through their efforts to reduce barriers between the territories through exploring the creation of a territorial trade zone;

And whereas the territories have consistently demonstrated leadership by significantly reducing regulatory burdens for workers, including by having no CFTA Chapter 7 labour mobility exceptions filed against Ontario;

And whereas the Parties recognize that party-specific exceptions under the CFTA may be needed when carefully scoped to protect and promote the interests and to enable trade participation of territorial residents and Indigenous governments;

And whereas the Parties recognize that work to advance internal trade must be undertaken in a manner that is respectful of Aboriginal and treaty rights, including modern land claim agreements, and should actively support Inuit and other Indigenous participation in trade so that Indigenous peoples may benefit from economic opportunities;

Therefore, through this MOU, the Parties agree to:

1. Collaborate wherever possible to remove barriers to trade between them, bilaterally, multilaterally, and through the CFTA’s formal processes, including through the coordination and exchange of information on regulatory harmonization and mutual recognition opportunities, and make concerted efforts to address any issues and challenges that may arise;
2. Identify opportunities for regulatory alignment for all areas of technical safety across their jurisdictions, including reconciling legislative, regulatory and policy measures;
3. Work together to identify options to align regulated occupations and registration processes, while maintaining and strengthening public safety standards;
4. Continue to review, assess and eliminate as many of their own exceptions under the CFTA as feasible, recognizing the unique context and developmental level of territorial economies and that Ontario no longer holds any exceptions of its own;
5. Strive, where feasible, to eliminate all unnecessary costs for businesses and workers seeking to trade or work across interprovincial-territorial boundaries;
6. Ensure that certifications and licenses for regulated occupations are issued as expeditiously as possible, by each adopting the 30-business day pan-Canadian service standard as recommended to First Ministers by the Forum of Labour Market Ministers and the CFTA’s Committee on Internal Trade;
7. Acknowledge that this MOU sets out the understanding of the Parties with respect to their cooperation but is not legally binding in any way and does not create any legal, equitable, or financial rights, obligations, or liabilities for either Party.

Signed at Huntsville, Ontario, this 21^st day of July, 2025