Just one of five new programs from Ottawa as part of $8-billion push to close Canada's skilled trades gap
Small and medium-sized employers in the skilled trades can apply this fall for federal incentives of up to $10,000 per apprentice hire, as part of the federal government's $8-billion Team Canada Strong initiative announced by Patty Hajdu, Minister of Jobs and Families.
The initiative targets 80,000 to 100,000 new Red Seal skilled trades workers by 2030–2031, and rolls out five programs between now and spring 2027.
Two of them put money directly in employers' hands; a third affects the tradespeople already on their payroll.
Build Canada Apprenticeship Service
Launching later this fall, the Build Canada Apprenticeship Service will provide financial incentives to small and medium-sized employers who hire and train apprentices in eligible Red Seal trades.
Employers who take on a first-year apprentice in an eligible Red Seal trade can receive up to $10,000 to support that hire and help the apprentice continue their training. The service will also help match employers with candidates — including participants from the Youth Placements program — and provide navigation support to help apprentices complete their training.
Fifty per cent of Canadians now see trade school or apprenticeship as the best way to prepare a child for a career by 2050, compared to 37 per cent who favour university, according to a recent survey.
Youth Placements program
The Team Canada Strong Youth Placements program funds intermediary organizations — not employers directly — that connect young Canadians aged 15 to 30 with paid, entry-level work placements in construction and trades-related occupations. Employers participate by hosting those placements once an intermediary arranges them.
Eligible organizations may apply for up to $15 million per year, with projects funded for up to two years for a maximum of $30 million. Projects may be extended based on performance and available funding.
The program is backed by $880 million over five years.
Placements run up to four months and are designed to help participants develop hands-on skills, build professional networks, and transition into apprenticeship pathways. The Expression of Interest window is open until Oct. 23, 2026.
Who can apply to deliver the program:
- Not-for-profit organizations
- Municipal governments
- Indigenous organizations
- For-profit organizations, provided the activity is non-commercial and not intended to generate profit
- Public health, educational and cultural institutions
Red Seal Completion Bonus
Also launching later this fall, the $5,000 Red Seal Completion Bonus is aimed at retaining skilled workers who have completed their training. Employers whose workers obtain Red Seal certification in an eligible trade designated within their province or territory will see those employees become eligible for the bonus.
It applies retroactively to certifications received on or after April 1, 2025.
While the bonus goes directly to the tradesperson, it may serve as a recruitment and retention tool for employers competing for certified talent.
Apprenticeship Training Grant
Expected in spring 2027, the Apprenticeship Training Grant will provide apprentices attending mandatory in-class technical training with a $400 weekly top-up paid in addition to Employment Insurance benefits. The grant applies to eligible weeks of training beginning on or after January 3, 2027.
For employers, the grant addresses one of the most common reasons apprentices drop out: financial pressure during periods of in-class training. By reducing that pressure, it is intended to improve completion rates and help employers bring apprentices through to full certification.