Budget 2025 to invest in personal support workers

Press Release

In a rapidly changing and uncertain world, Canada’s new government is focused on what we can control. We are protecting our communities and our country. We are building our economy with major projects and millions more homes. We are empowering Canadians with lower costs and new opportunities to help you get ahead. We cannot control what other nations do, but we can control what we choose to build—and we are building Canada Strong.

Canada has a skilled and adaptable workforce, the most educated in the world. On November 4, the Honourable François-Philippe Champagne, Minister of Finance and National Revenue, will table Budget 2025—the government’s plan to deliver generational, transformational investments to grow our economy, empower workers, create high-paying careers, and protect and support those most affected by trade disruptions.

Today, the Honourable Mandy Gull-Masty, Minister of Indigenous Services and Member of Parliament for Abitibi—Baie-James—Nunavik—Eeyou, visited Manoir Providence in Chibougamau to thank workers and engage with seniors. During her visit, she highlighted that Budget 2025 will introduce a temporary five-year Personal Support Workers Tax Credit to support personal support workers and recognize the vital role they play in communities. Eligible workers will be able to claim a refundable tax credit equal to 5% of their eligible income, providing support up to $1,100 per year. This new tax credit will be available in provinces and territories that are not covered by a bilateral agreement with the federal government to increase wages for personal support workers.

The Minister also noted that, to train the next generation of Canadian builders, Budget 2025 plans to expand the Union Training and Innovation Program. This will boost union-based apprenticeship training in the Red Seal trades and ensure a sufficient Canadian workforce to build major infrastructure and millions more homes across the country.

Additionally, for workers impacted by U.S. tariffs, and as announced by the Prime Minister in September, the government is implementing a new reskilling package, launching a new digital jobs and training platform to quickly connect Canadians to careers, and extending temporary Employment Insurance measures to support people whose jobs have been impacted.

Quotes

“Caregivers are at the heart of our communities. Their demanding work supports the dignity, safety, and health of our seniors and loved ones. In regions such as Northern Quebec, every caregiver makes a difference. This tax credit recognizes their essential contribution in a tangible way and will put more money in their pockets.”

The Honourable Mandy Gull-Masty, Minister of Indigenous Services and Member of Parliament for Abitibi—Baie-James—Nunavik—Eeyou

“Canadian workers power our economy. We’re taking strong, targeted action to support those affected by trade disruptions and to help every worker build the skills and resilience needed for the future. Our goal is simple: to maintain and expand Canada’s skilled, educated, and adaptable workforce, and empower the workers who care for us and build the strongest economy of the G7.”

The Honourable François-Philippe Champagne, Minister of Finance and National Revenue

“Canadians are meeting this moment with strength and with conviction. We are building the future together by protecting our communities, empowering our families and investing in Canada. We’re standing up for Canada’s future and for the workers who are building it every day.”

The Honourable Patty Hajdu, Minister of Jobs and Families

“Our new government is investing in Canadian workers, creating high-quality careers, and getting things built faster. We are ensuring every worker has the tools and supports they need to get ahead. When our workers succeed, Canada succeeds.”

The Honourable John Zerucelli, Secretary of State (Labour)

Quick facts

Personal support workers help Canadians to live and grow old with dignity, and helped us get through the COVID-19 pandemic. The February 2023 Working Together to Improve Health Care for Canadians plan provided $1.7 billion over five years to increase wages for personal support workers, with bilateral agreements signed by British Columbia ($232 million), Newfoundland and Labrador ($25 million), and the Northwest Territories ($5.3 million). The new Personal Support Workers Tax Credit will be available for the 2026 to 2030 taxation years, to eligible workers employed in provinces and territories not covered by the existing support measures.
The new reskilling and support package for workers affected by trade disruptions includes:
- $50 million over five years and $8 million ongoing, to implement a new digital tool to facilitate job search and applications, and launch a national online training platform in partnership with the private sector.
- $570 million over three years through Labour Market Development Agreements with provinces and territories to support training and employment assistance for workers impacted by tariffs and global market shifts.
- $382.9 million over five years, and $56.1 million ongoing, to launch new Workforce Alliances to bring together employers, unions, and industry groups to work on ways to help businesses and workers succeed in the changing labour market and coordinate public and private investments in skills development. A new Workforce Innovation Fund will invest in projects tailored to local job markets to help businesses in key sectors and regions recruit and retain the workforce they need.
- Temporary flexibilities to the Employment Insurance (EI) Work-Sharing Program to provide EI benefits to eligible employees who agree to work reduced hours due to a decrease in business activity beyond their employer’s control. This helps employers and employees avoid layoffs while supplementing reduced income with EI benefits. This measure is expected to cost $370.5 million over five years, and $18.5 million ongoing.
- Temporary EI measures that enhance income supports for Canadian workers whose jobs have been impacted by the economic uncertainty caused by foreign tariffs. These supports are expected to cost $3.7 billion over three years.
Building major infrastructure and millions more homes will create high-paying careers for Canadians, but that means the newest generation of Canadian builders must get the proper training. Budget 2025 will propose to provide $75 million over three years, starting in 2026-27, to Employment and Social Development Canada to expand the Union Training and Innovation Program, which supports union-based apprenticeship training in the Red Seal trades.

Associated links

Contacts

Media may contact:

Livi McElrea
Press Secretary and Issues Manager
Office of the Honourable Mandy Gull-Masty
Minister of Indigenous Services
olivia.mcelrea@sac-isc.gc.ca

Media Relations
Indigenous Services Canada
media@sac-isc.gc.ca

General enquiries

Phone: 1-833-712-2292
TTY: 613-369-3230
E-mail: financepublic-financepublique@fin.gc.ca

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