Private Security and Investigative Services Branch

Message from the Solicitor General

As we continue to build a stronger, safer Ontario, I am pleased to see the private security and investigative services industry’s continued support of our government’s public safety mandate.

Whether it is through protecting people or property, interacting with vulnerable populations, or providing investigative expertise, the industry has a significant impact on Ontarians each and every day. I would like to extend my gratitude to everyone in the private security and investigative services sector for keeping communities across the province safe.

During the fiscal year 2022–2023, the industry continued to grow in size and complexity, increasing by 13% annually over the past 3 years.

In response to this growth, my ministry increased its education and compliance efforts and expanded its coverage across the province with a new regional inspection program.

Continuing with its efforts to reduce industry burden, the ministry also made mandatory testing for security guard and private investigator applicants more accessible by reducing the testing fee, as well as streamlining the licence application process for businesses.

We look forward to working closely with our partners to address industry feedback, modernize service delivery, and further strengthen industry oversight.

Signature

Signed in original

Hon. Michael Kerzner
Solicitor General of Ontario

Message from the Registrar

It is with great pleasure that I present the Ministry of the Solicitor General’s Private Security and Investigative Services Branch’s 2022—2023 Annual Report. As we transition our reporting period from calendar to fiscal year, our objective for this report remains the same:

• to provide partners with an overview of Ontario’s private security and investigative services industry
• highlight key achievements of the Private Security and Investigative Services Branch
• share updates regarding ongoing initiatives to respond to challenges facing the industry and modernize our oversight

The private security and investigative services industry continued to grow exponentially during 2022–2023 with a positive employment outlook across the entire province. The sustained industry growth has given rise to both new and old challenges, which have been met with several measures to help ensure awareness and compliance of regulatory requirements. This includes a targeted compliance campaign to support quality training and increased partnering with other government agencies, municipal by-law enforcement, and local police services to better educate licensees and other partners.

We also continued to increase our engagement with industry stakeholders by meeting regularly, sharing important compliance information through frequent communication, and engaging industry members to support modernization efforts.

Thank you to our partners for sharing your time and continued cooperation. I would also like to thank security guards and private investigators for their work each and every day to keep Ontarians safe.

Signature

Signed in original

Catherine McLinden
Director/Registrar
Private Security and Investigative Services

Private Security and Investigative Services Branch overview

Our vision

To be a modern, agile, and effective regulator of the private security and investigative services industry in Ontario.

Our mission

To serve the people of Ontario through effective oversight of the private security and investigative services industry to support the ministry’s public safety mandate.

Guiding principles

These principles guide engagement with our partners, stakeholders, and employees, and are consistent with the Ontario Public Service Regulator’s Code of Practice:

• fairness
• respect
• excellence
• innovation
• transparency

Under the Private Security and Investigative Services Act, 2005 ( PSISA), the Private Security and Investigative Services Branch ( PSISB) regulates a growing private security and investigative services industry comprised of over 132,000 licensed security guards and private investigators and over 1,400 businesses that sell or retain their services or directly employ in-house security staff.

Consistent with the ministry’s public safety mandate, PSISB provides oversight of the industry through the following:

• training and testing
• licensing
• a formal public complaints process
• compliance inspections for licensed agencies and individuals
• enforcement of the PSISA

Regulation of the industry is overseen by an appointed Registrar supported by staff that fulfill licensing, inspection, investigation, program development and other operational functions.

Program modernization

Since the introduction of the PSISA more than a decade ago, and as the regulator of the largest private security and investigative services industry in the country, PSISB works to ensure security guards, private investigators, licensed agencies, and registered employers carry out their work professionally, safely, and lawfully across Ontario. This includes ensuring oversight continues to evolve with the industry.

Over the course of 2022–2023, PSISB has been assessing the overall effectiveness of the legislative framework and considering opportunities for operational, regulatory, and potential legislative enhancements that would support its vision of being a modern, agile, and effective regulator.

PSISB values and recognizes the importance of industry input into necessary updates to the regulatory framework. As such, any prospective changes will be informed by consultation with the sector to ensure industry challenges and perspectives are taken into consideration while ensuring we meet the ministry’s public safety mandate.

In response to concerns raised by the industry and ongoing compliance issues, one key initiative underway is the modernization of training and testing requirements. The ministry is seeking industry feedback on the training content for licensure and how it prepares individuals for success in the industry to support ministry efforts to ensure that training is consistent, of high-quality, and is relevant to the industry’s needs.

Goals of program modernization

The goals of PSISB’s program modernization efforts are:

• Better service: streamline and clarify processes to improve efficiency and ensure mechanisms for feedback.
• Modernized programs: focus on measurable program outcomes to ensure improved effectiveness.
• Risk-based oversight: support responsible actors with proven records of compliance, while focusing enforcement on high-risk actors to protect the public interest in the most efficient way.

The industry at a glance

As of March 2023, the regulated industry was made up of:

• security guards: 95.5%
• private investigators: 2%
• dual (security guards and private investigators): 1.5%
• licensed agencies and registered employers: 1%

Industry snapshot

Three year licensee growth

The private security and investigative services industry has continued to experience substantial and rapid growth. Over a 3 year period, the industry has grown by an average of 13% annually.

The industry workforce

Licensing requirements

To become a licensed security guard or private investigator, individuals are required to complete mandatory training as set out in the ministry syllabi. Once training has been completed, individuals are required to pass a ministry-mandated test, which can be taken in-person or online

Employment requirements

The security guards and related security service occupations usually require a secondary school diploma or several weeks of on-the-job training. According to data from the Ministry of Labour, Immigration, Training and Skills Development:

• 32% of those in the occupation have a college, College of General and Professional Training (CEGEP) or other non-university certificate or diploma
• 29% have secondary school diploma or an equivalent certificate
• 18% have a bachelor’s degree
• The remaining 21% have either:
  • a master’s degree
  • no certificate, diploma or degree
  • an apprenticeship or trades certificate or diploma
  • a degree in medicine, dentistry, veterinary medicine or optometry
  • some other certificate, diploma or degree

Staff turnover is relatively high given the low entry requirements.^{footnote 1[1]}

In addition to formal education requirements, security guards, private investigators, and roles in other related security service occupations require specific skills and knowledge to carry out their work professionally, safely, and lawfully. Trending work requirements for the occupation in 2022—2023 have been captured by the Labour Market Information Council.^{footnote 2[2]}

Work requirements for security guards and related security service occupations

Income prospects

According to available labour market information, the median income for security guards, private investigators and related security service occupations in Ontario is $42,800.^{footnote 3[3]} The provincial median hourly wage for those in the profession was $17.20 as of the third quarter of 2022.^{footnote 4[4]} The hourly wage across Canada at the same period in time was as follows:

Hourly wages by province/territory

Key industry trends

Although 54% of jobs are in the Toronto region, the majority of job postings are concentrated in Southwestern and Northern Ontario. Individuals who fall under the security guards and related security service occupations are employed across multiple sectors, with the largest share employed by licensed agencies. Municipal governments and gambling industries are also key employers. Opportunities in loss prevention efforts in some retail facilities remain steady, and there are an increasing number of job openings across the province to provide services to high-rise residential condominiums.^{footnote 5[5]}

Regions with the highest employment:^{footnote 6[6]}

1. Toronto: 54%
2. Ottawa: 14%
3. Hamilton-Niagara: 7%

Employment outlook across Canada

According to labour market information,^{footnote 5[5]} the employment outlook will be good for security guards, private investigators, and related security service occupations in Ontario for 2023—2024, due to the following factors:

• employment growth will lead to a moderate number of new positions
• opportunities will become available due to retirements
• high employee turnover could lead to additional employment opportunities

Alberta and the Yukon also have a good employment outlook. Manitoba, Newfoundland and Labrador, Nova Scotia and Prince Edward Island have a moderate outlook while British Columbia, New Brunswick, Northwest Territories and Nunavut have a limited outlook.

Program highlights

This section outlines program highlights in the following five areas:

• training and testing
• licensing and registration
• public complaints
• compliance and enforcement
• suspensions and revocations

Training and testing

Training and testing are key components of the ministry’s oversight of the private security and investigative services industry, which ensures individuals entering the industry have the knowledge and skills to perform their jobs professionally, safely, and lawfully.

Training overview

Security guard and private investigator candidates must successfully complete a training program that complies with the ministry syllabi. Security guard applicants are also required to be trained in emergency first aid upon initial licensure.

Training can be provided by the following institutions:

• public universities
• community colleges
• career colleges
• agencies licensed to provide security guard or private investigator services
• registered employers that employ in-house security guards

In 2022–2023, there were a total of 333 training entities across the province.

Training entities across Ontario

Training oversight

In response to continued provision of non-compliant or poor-quality training, several additional measures were introduced to ensure understanding of minimum training requirements and to support quality training:

• all new training programs are reviewed for compliance with the minimum ministry standards prior to enrollment as a training entity
• all businesses seeking to deliver training are now required to attest that training meets regulatory requirements
• targeted inspection of training programs was launched to ensure training entities can demonstrate the ability to provide training according to ministry requirements
• data analytics are now employed to identify training number anomalies that may indicate non-compliance with ministry requirements

Testing overview

After completing the required training, all candidates must successfully pass the ministry exam to be eligible to apply for a licence.

In January 2023, following a competitive procurement process, Serco Canada Inc. (Serco) was awarded the contract to deliver in-person and online testing services for security guards and private investigators.

As part of the agreement between Serco and the ministry, the test fee for security guard and private investigator candidates was reduced from $65 to $35, a savings of 46%.

Key facts and figures

In 2022–2023, a total of 75,889 tests were booked online and in-person for security guards and private investigators, with an average annual growth of 40% for tests booked over the three years.

Compared to 2021–2022, security guard test bookings increased by 43% and private investigator test bookings decreased by 20% in 2022–2023.

The overall trend in test bookings in 2022–2023 points to continued demand and growth in the industry, despite the decrease in private investigator test bookings.

2022–2023 tests booked:

Over 75% of tests were completed online, with a substantial 3 year growth rate for online tests and a decrease in in-person tests:

Online and in-person tests for security guards and private investigators over the last three years

The top three testing centres are in Mississauga, Toronto, and Hamilton.

Licensing and registration

PSISB has worked with ServiceOntario since 2014 to process licence applications and provide customer service to the private security and investigative services industry. ServiceOntario processes applications, renewals, and restorations for security guard or private investigator licences and registrations for businesses that employ their own in-house security staff.

Key facts and figures

For registered employers, a total of 220 registrations (including new, renewed, and restored) were received in 2022–2023 and 167 were approved.

For security guards, private investigators, and duals, a total of 86,040 individual and agency licence applications were received in 2022–2023 (this means, an increase of approximately 29% compared to 2021–2022). In the same period, a total of 85,535 individual and agency licences were issued (this means, an increase of approximately 28% compared to 2021–2022).

2022—2023 licenses issue

Licence application processing service standards

Despite an increase in both testing and high pass rates, which resulted in an increase of licence application submissions, application processing has exceeded its targets for individuals and agencies.

Service standards for online and mail-in channels

Returned applications

Applications made by individuals, agencies, and registered employers can be returned to an applicant for various reasons. For example, missing or incomplete information, or submission of photographs for individual applications that do not meet ministry standards.

In 2022–2023, PSISB enhanced the application process to increase efficiency and reduce the return rate of applications by removing the requirement for renewing agencies to upload photos of their uniform and vehicles. Agencies are now only required to update their uniform and vehicle photo submissions every six years. This means it is required after two licensing terms through renewal applications or whenever a change to their uniform and/or vehicle has been made.

Public complaints

Anyone may make a formal complaint alleging violations of the PSISA or its regulations by a licensed security guard, private investigator, agency, or registered employer.

PSISB reviews all complaints and exercises discretion to determine what action should be taken. Potential actions following a complaint include:

• commencing an investigation into possible violations of the PSISA
• referral to the police of jurisdiction or to another ministry
• referral for inspection if an agency
• referral to facilitation
• dismissal of a code of conduct complaint that is deemed to be frivolous, vexatious, or not made in good faith

Violations of the PSISA can result in:

• the revocation and/or suspension of a licence
• laying of charges
• remedial conditions put on a licence

Key facts and figures

PSISB received 187 public complaints in 2022–2023, representing less than a 1% increase compared to the two previous fiscal years.

Of the 187 complaints received in 2022–2023:

• 45 allegations were solely related to a breach of the Code of Conduct
• 29 allegations involved both a breach of the Code of Conduct and violation of the PSISA
• 72 complaints relating only to allegations of a violation of the PSISA
• 41 complaints were deemed out of scope.

These complaints resulted in 22 referrals to facilitations, and two licence suspensions, with 3 complaints being withdrawn by the complainant. The remaining allegations were either unsubstantiated, or out of scope.

Most Code of Conduct violations involved allegations around the use of profane, abusive, or insulting language or actions that are otherwise uncivil to a member of the public.

Public complaints over the last three years

Compliance and enforcement

PSISB takes a proactive approach to compliance by clearly communicating expectations and providing compliance assistance, guidance, education, and other tools through a range of accessible channels including:

• website updates
• memos to industry
• regular engagement of the industry and industry associations
• discussions during site checks and inspections to facilitate compliance

PSISB conducts compliance checks of sites where security guards are employed, inspections and investigations of licensed security guard and private investigator agencies and individual licensees. The Registrar or Deputy Registrar can place conditions on, suspend, or revoke a licence due to a breach of the PSISA or its regulations.

In early 2022, PSISB launched a regional inspection program that provided additional resourcing of 2 inspectors to oversee western and eastern regions combined, which — apart from central region — have the highest concentration of agencies across Ontario. This broadened licensee oversight and compliance enforcement resulted in increased compliance checks. In 2022–2023, 1,741 compliance checks were conducted, an increase of 160% compared to 2021–2022.

In 2022–2023, PSISB conducted 7 joint inspections with other government agencies, municipal by-law enforcement, and local police services to target non-compliance in various entertainment districts. This initiative allowed PSISB to provide frontline education to licensees and entertainment establishment owners that improved PSISB’s visibility as a regulator across the province and increased awareness of and compliance with the requirements of the PSISA.

Key facts and figures

Overall industry compliance rate

In 2022—2023, the industry’s rate of compliance among licensed agencies was 70%, an 18% decrease when compared to 2021—2022. This drop was largely due to a targeted compliance campaign focusing on training programs, in which 88% of the programs reviewed being found non-compliant with ministry requirements.

Compliance activities conducted

In 2022—2023, compliance activities including inspections and compliance checks increased by 91% due to the launch of the regional inspection program, which helped ensure individuals and agencies across the province were made aware of regulatory requirements and, where needed, addressed compliance issues for a growing industry.

The PSISA can be enforced through the laying of charges/Provincial Offence Notices under the Provincial Offences Act to licensees who are found to be in violation of the PSISA and its regulations. There was a 66% increase in Provincial Offence Notices laid due to the increase in inspector staffing within PSISB, which positively impacted coverage and oversight of the industry.

These issues are typically addressed through regular inspections, compliance checks, and training program inspections by PSISB.

Top compliance issues provided by other ^{footnote 7[7]}

Suspensions and revocations

The Registrar or Deputy Registrar have the authority to suspend or revoke a licence for an individual or agency if there is a violation of the PSISA or its regulations.

In cases where a licence is suspended with the intention of revocation, the individual or agency is granted an opportunity to be heard before the Registrar or Deputy Registrar. This formal meeting allows the individual or agency to examine the evidence supporting the licensing decision made by the Registrar or Deputy Registrar and present their own evidence to demonstrate their suitability for holding a licence.

In 2022–2023, there were 6 suspensions for offences listed in Ontario Regulation 37/08: Eligibility to Hold a Licence — Clean Criminal Record. Additionally, there were 8 individual licence revocations, 6 of which involved charges for offences listed under the same regulation.