Canada's jobs minister: With the Canada Job Grant we learn from Polytechnics Canada's success

CALGARY, AB, Nov. 14, 2013 /CNW/ - The Honourable Jason Kenney, Minister of Employment and Social Development and Minister for Multiculturalism, commended Polytechnics Canada's innovative approach to addressing skills mismatches as an example for others, during his speech at the Polytechnics Canada Student Applied Research Showcase.

"Our Government's top priority remains creating jobs, economic growth and long-term prosperity," said Minister Kenney.  "In order to continue with our economic growth, we must address the skills mismatch which is one of the biggest challenges faced by our country.  With the Canada Job Grant, our government is committed to fixing the skills mismatch in Canada where we have too many Canadians without jobs and too many jobs without Canadians. "

Minister Kenney highlighted the benefits of the Canada Job Grant which will put training decisions in the hands of employers instead of bureaucratic systems.

"I am impressed by Polytechnics Canada's approach of aligning student training with employer needs," said Minister Kenney. The Canada Job Grant will apply a similar model on a broader scale to match training with a guaranteed job."

Economic Action Plan 2013 proposes providing more information to youth about on-the-job prospects and the benefits of working in skilled trades, science, technology, engineering and mathematics to promote education in these high-demand fields.

Economic Action Plan 2013 also supports under-represented groups in the labour market, including persons with disabilities, youth, newcomers and Aboriginals. For more information, visit www.actionplan.gc.ca.

Backgrounder

Canada Job Grant

The Canada Job Grant will provide $15,000 or more per person, including a maximum $5,000 federal contribution and matching contributions from provinces, territories and employers. The Grant will be flexible enough to meet the needs of businesses of all sizes, in all industries and regions. Businesses with a plan to train Canadians for an existing job or a better job will be eligible to apply for a Canada Job Grant once implemented in 2014.

Upon full implementation, nearly 130 000 Canadians each year are expected to be able to access the training they need for available jobs.

The Canada Job Grant is strongly supported by employers and other stakeholders including:

• The Building and Construction Trades Department, AFL-CIO
• Canadian Federation of Independent Business
• Canadian Manufacturers and Exporters
• Canadian Construction Association
• Information Technology Association of Canada
• Welding Bureau
• Engineers Canada
  
  

Support for Apprentices

The Government supports the skilled trades and apprentices through grants, tax credits and tax deductions.

The Apprenticeship Incentive Grant and Apprenticeship Completion Grant encourage Canadians to pursue and complete apprenticeship training in designated Red Seal trades. As a result of these grants, apprentices could be eligible to receive up to $4,000, which can be used to pay for tuition, tools or other expenses. To date, the Government of Canada has issued over a half-billion dollars in apprenticeship grants for Canadians.

The Apprenticeship Incentive Grant (AIG) is a $1,000 taxable cash grant for apprentices who complete the first and/or second level of their apprenticeship program in a designated Red Seal trade, to a maximum of $2,000.

The Apprenticeship Completion Grant (ACG) is a $2,000 taxable cash grant for eligible apprentices who successfully complete their apprenticeship training and receive their journeyperson certification in a designated Red Seal trade.

The Government of Canada also offers a tax credit to employers to encourage them to hire apprentices, as well as a tax deduction for apprentices and tradespeople to help cover the cost of new tools.

SOURCE: Employment and Social Development Canada