Home FeaturedOntario launches $260 million worker training fund amid U.S. tariff concerns

Ontario launches $260 million worker training fund amid U.S. tariff concerns

by Todd Humber
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The Ontario government opened applications for $260 million in worker training funding today as part of a broader strategy to protect the province’s workforce from potential U.S. tariffs and economic uncertainty.

The sixth round of the Skills Development Fund Training Stream will support hiring, training and upskilling programs across manufacturing, health care, construction, automotive and skilled trades sectors. The funding is part of Ontario’s total $2.5 billion investment in the program.

“Our government is protecting Ontario by training the workers we need to keep building, no matter what global challenges come our way,” said David Piccini, Minister of Labour, Immigration, Training and Skills Development.

Organizations including employers, training providers, labour unions, hospitals and Indigenous groups can apply through Transfer Payment Ontario until Oct. 1, 2025.

Previous round funds 4,825 workers

Minister Piccini also announced more than $20 million from the fifth round will train 4,825 workers and job seekers in skilled trades, hospitality and artificial intelligence in health care.

Major recipients include Support Ontario Youth, which received $3.75 million to support 1,325 job seekers and high school graduates across 15 skilled trades. Canadian Manufacturers & Exporters received $1.43 million to train 500 individuals, including women, youth and newcomers for manufacturing careers.

Unite Here Local 75 received $5.5 million to train 1,440 job seekers and hospitality workers, while the Finishing Trades Institute of Ontario got $3.78 million to train 120 participants in painting and glazing trades across Toronto, Ottawa and Ancaster.

The Ontario Electrical League received nearly $3 million to help 500 electrical workers, and Workers First Technologies received $2.01 million for digital training programs for health care workers in hospitals and long-term care centres.

Program addresses labour shortages

Since launching in 2021, the Skills Development Fund has supported more than 1,000 training projects across Ontario, aiming to connect over 700,000 people with training for better-paying jobs.

In the first quarter of 2025, Toronto had 87,955 unfilled positions, representing 47 per cent of available jobs in the city.

The fifth round received 816 applications, with 246 projects selected for $345 million in total investment to train over 121,700 individuals. Construction-related projects made up 43 per cent of selected proposals.

“At a time when harmful tariffs threaten local jobs and economic stability, there has never been a more critical moment to invest in our workforce and protect the hardworking men and women who build this province,” said Joseph Mancinelli, LiUNA International Vice President and Canadian Director.

Industry support for expanded program

Business and labour leaders expressed support for the expanded funding as Ontario faces potential trade challenges with the United States.

“As Ontario manufacturers adapt to shifting international trade conditions, accessible, industry-driven training from CME – made possible by the Skills Development Fund – provides the stability needed to train and upskill the next generations of workers,” said Dennis Darby, President and CEO of Canadian Manufacturers & Exporters.

The Ontario Electrical League noted the sector faces historic labour shortages with too few new workers to replace retiring employees.

“Rising economic pressures, including U.S. tariff threats, are straining the construction industry and making it harder to meet the demands of Canada’s housing crisis,” said Beatrice Sharkey, President of the Ontario Electrical League.

The program includes both a Training Stream for hiring and upskilling programs, and a Capital Stream for upgrades or construction of training centres. Previous rounds were supported through federal-provincial labour market agreements, but the sixth round is funded exclusively by Ontario.

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