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Archived - Governments of Canada and Ontario launch the Canada Job Grant to help Ontarians get jobs
September 26, 2014 – Toronto, Ontario – Employment and Social Development Canada
The Honourable Jason Kenney, Minister of Employment and Social Development, and the Honourable Reza Moridi, Ontario Minister of Training, Colleges and Universities, today announced that Ontario is now accepting employer applications for the Canada Job Grant and are encouraging employers to apply.
The Canada Job Grant is an innovative, employer-driven approach to help Canadians gain the skills and training they need to fill available jobs. It is designed to be flexible enough to meet the needs of businesses of all sizes, in all industries and regions. By requiring employers to put more skin in the game, the Canada Job Grant will result in training that leads to guaranteed jobs.
The Canada Job Grant will provide up to $15,000 per person for training costs, such as tuition and training materials, which includes up to $10,000 in federal contributions. By providing the right mix of in-class training and on-the-job experience through organizations like career colleges, graduates will have the skills employers need.
Effective immediately, employers in Ontario can apply for the Canada Job Grant by visiting the Ontario Ministry of Training, Colleges and Universities’ website. The Ontario Government is also launching Expressions of Interest for two pilot projects to test new approaches to employer-driven training. Employers interested in participating in these pilot projects should also contact the Ontario Ministry of Training, Colleges and Universities.
- Ontario employment grew by 27,100 jobs in the second quarter of 2014.
- On average, private-sector forecasters expect employment in Ontario to grow by 0.8% in 2014 and by 1.3% in 2015. Over the past three years, employment has increased by over 4% in Ontario.
- In the next 10 years, Canada is expected to need 300,000 new workers in the construction sector, with up to another 150,000 new workers in the petroleum sector and 145,000 new workers in the mining sector needed by 2020.
- The Canada Job Grant will provide up to $15,000 per person for training costs, such as tuition and training materials, which includes up to $10,000 in federal contributions.
“Our government's top priorities are creating jobs, economic growth and long-term prosperity. The Canada Job Grant is part of our commitment to address the paradox of too many Canadians without jobs in an economy of too many jobs without Canadians. With employers' skin in the game, the Canada Job Grant will lead to a guaranteed job. Helping employers train Canadians for jobs that need to be filled will help their businesses grow and succeed, and will help workers in Ontario get jobs. That is good news for the Ontario economy.”- The Honourable Jason Kenney, Minister of Employment and Social Development
“The quality of Ontario’s skilled workforce has been and must continue to be our single greatest competitive advantage. That’s why we are committed to ensuring that training programs delivered through the Canada–Ontario Job Grant are as employer and client-focused as possible. Working with employers to provide more training to their own employees is crucial.”- The Honourable Reza Moridi, Ontario Minister of Training, Colleges and Universities
“The National Association of Career Colleges is pleased to see that the implementation of the long-awaited Canada Job Grant in Ontario is now taking place. The program will allow employers to create and fill jobs, Ontarians to receive the training they need to be hired and the overall economy to receive a much-needed boost. We congratulate Minister Kenney on his leadership in this file. Thousands of Ontarians will, thanks to his perseverance and vision, be able to get meaningful jobs and change their lives for the better.”- Serge Buy, Chief Operating Officer, National Association of Career Colleges
“By encouraging businesses to invest more in their employees, these new employer-driven programs are an important step toward improving Ontario’s economic competitiveness. The Ontario government has engaged the business community in the design of these programs, and we are pleased that our advice has been taken.”- Allan O’Dette, President and CEO, Ontario Chamber of Commerce
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Canada-Ontario Job Fund Agreement
The Labour Market Agreements, created in 2007, are being transformed into the new Canada-Ontario Job Fund Agreement to ensure greater employer involvement in training. Ontario will receive over $191 million per year through the Canada Job Fund Agreement each year.
Canada Job Grant
The Canada Job Grant will help Canadians get the training they need for available jobs and put skills training decisions in the hands of employers. It will provide up to $15,000 per person for training costs, such as tuition and training materials, which includes up to $10,000 in government contributions. Employers will be required to contribute on average one-third of the total costs of training.
Once fully implemented, the Government of Canada will provide over $115 million annually to the Province of Ontario for the Canada Job Grant. The Canada Job Grant will be delivered by the Province of Ontario.
By 2017–18, over $300 million per year will be invested in employer-sponsored training, which includes the Canada Job Grant.
The provinces and territories will have full flexibility on the source of funds for the Canada Job Grant. They may be sourced from provincial/territorial allocations under the Canada Job Fund, the Labour Market Development Agreements or provincial/territorial sources.
The Canada Job Grant will be for short-duration training provided by an eligible third-party trainer, such as community colleges, career colleges, trade union centres and private trainers. Training can be provided in a classroom, on site at a workplace or online.
Private and not-for-profit businesses with a plan to train Canadians for a new or better job will be eligible to apply for a Canada Job Grant, once implemented.
The Canada Job Grant will be flexible enough to meet the needs of businesses of all sizes, in all industries and regions. Small businesses will benefit from flexible arrangements, such as the potential to count wages as part of the employer contribution. This will help ensure that all businesses, regardless of size, can fully participate in the Canada Job Grant.
The Canada Job Grant will ensure that employers participate meaningfully as partners in the skills training system, sharing in the associated costs. This will ensure that training is better aligned with job opportunities, particularly in sectors facing skills mismatches and labour shortages.
The Canada Job Grant is strongly supported by employers and other stakeholders including:
- The Building and Construction Trades Department, AFL-CIO;
- National Association of Career Colleges;
- Canadian Federation of Independent Business;
- Canadian Manufacturers & Exporters;
- Canadian Construction Association;
- Information Technology Association of Canada;
- Canadian Welding Bureau;
- Engineers Canada;
- Progressive Contractors Association;
- Christian Labour Association of Canada;
- Canadian Home Builders’ Association;
- Canadian Shipowners Association;
- Canadian Electricity Association;
- Canadian Institute of Plumbing and Heating;
- Merit Canada;
- Polytechnics Canada;
- Prospectors and Developers Association of Canada;
- Chemistry Industry Association of Canada; and
- Aerospace Industry Association of Canada.
The Government of Ontario is also launching Expressions of Interest (EOI) for two pilot projects with funding provided by the Government of Canada. Once the Government of Ontario receives input from businesses through the EOI process, the design of the pilot projects will be finalized and businesses and sector organizations will be invited to participate in the pilot projects themselves. For more information, please visit www.ontario.ca/employeetraining.
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