IRA Wage & Apprenticeship vs. Canadian ITC Labour Requirements
Comparative overview of US Inflation Reduction Act (IRA) prevailing wage and apprenticeship requirements versus Canadian Clean Economy ITC labour obligations.
Key Similarities
- Both frameworks require payment of prevailing wages (Davis-Bacon under IRA; CBA-based under Canadian ITC)
- Both require a minimum apprenticeship participation ratio (IRA: 15%; Canadian ITC: 10%)
- Both require apprentices to be registered under applicable apprenticeship programs
- Both are conditions of qualifying for enhanced credit rates, not the base rate
Key Differences
- IRA uses Davis-Bacon Act wage determinations; Canadian ITC uses local CBA rates (no Davis-Bacon equivalent)
- IRA apprenticeship ratio is 15%; Canadian ITC ratio is 10%
- IRA has a "good faith effort" exception; Canadian ITC framework is stricter
- IRA applies to all construction workers on a project; Canadian ITC applies to designated Red Seal trades
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