Economic Statement: Ottawa Focuses on Green Skills and Technologies

Some $250 million over five years will be allocated to three programs:

  • The Training Center for Sustainable Jobs aims to help 15,000 workers upgrade their skills or retrain. It will bring together trade unions, employers and training institutions to forecast future skills requirements and develop curricula in specific sectors, including the durable battery industry and construction and low-carbon renovations;
  • The Union Training and Innovation Program will support apprenticeship training in the skilled trades, with a focus on green skills. It is expected that 20,000 apprentices and journeypersons will benefit;
  • The Sustainable Jobs Secretariat will provide the most up-to-date information on federal programs, funding and services offered across all departments.

The economic statement also proposes $60 million over three years, starting in 2023-24, to create a new rapid response fund for workers.

Helping young people enter the job market

To help young people, especially those from marginalized communities, acquire the skills they need to find and keep good jobs, the federal government plans to allocate $802.1 million over three years to the Youth Employment and Skills Strategy. This amount breaks down as follows:

  • $301.4 million over two years, starting in 2023-2024, for comprehensive support measures and work placements targeting young people who are struggling to find employment;
  • $400.5 million over two years, starting in 2023-2024, to Canada Summer Jobs to support 70,000 summer internships each year;
  • $100.2 million over three years, starting in 2022-23, to continue supporting work placements for First Nations youth.

We will continue to invest to ensure that Canadians have the skills they need to land well-paying jobs, and we will continue to bring to Canada more of the skilled workers our growing economy needs in a world evolving. »

A quote from Chrystia Freeland, Deputy Prime Minister and Minister of Finance

More money for welcoming new immigrants

Federal Immigration Minister Sean Fraser has announced a significant increase in the number of immigrants admitted to Canada.

Photo: The Canadian Press/Adrian Wyld

The federal government recently announced that it is raising its immigration targets to welcome 465,000 newcomers in 2023, 485,000 in 2024 and 500,000 in 2025.

To support the processing of applications and the resettlement of new permanent residents, Ottawa will increase the amounts allocated to the process: $1.6 billion over six years and $315 million per year thereafter in new funding.

In addition, in order to reduce the backlog of applications and speed up the processing of files, the government has committed to granting an additional amount of $50 million in 2022-2023 to Immigration, Refugees and Citizenship Canada.

The government will also commit $26.3 million over five years, starting in 2023-24, to crack down on trucking companies that fail to classify drivers as employees, thereby blocking them from accessing rights under the Code. Labor Canada, such as paid sick leave.

Boost to clean technologies

To encourage carbon neutrality, the government is introducing an investment tax credit of up to 30%, focusing on zero-emission technologies, battery storage solutions and clean hydrogen.

The technologies targeted are power generation systems, stationary power storage systems operated without fossil fuels, low-carbon heating equipment, zero-emission industrial vehicles and related charging and refueling equipment. .

This investment tax credit is expected to cost $6.7 billion over five years, starting in 2023-24.

Significant investment tax credits in clean technology and clean hydrogen will make it more attractive for Canadian businesses to invest in technology and produce the energy that will help power a global economy. carbon neutral. »

A quote from Chrystia Freeland, Deputy Prime Minister and Minister of Finance

Share redemption tax

As expected, the economic statement introduces a new 2% tax on corporate share buybacks. The objective is to encourage companies to invest in their activities in the country. The details of this new tax will be announced in the 2023 budget, and the tax would come into effect on January 1, 2024.

This measure is estimated to bring in $2.1 billion over five years, starting in fiscal year 2023-24.

In the economic statement, the federal government also details the concrete form that several measures already announced in the last budget will take, such as the investment tax credit for clean hydrogen and the Canada Growth Fund, which aims attract billions of dollars in private investment to the country.

Leave a Comment