Funding Supports

From tax credits to wage subsidies to project grants, there are a wide variety of financial supports available to employers engaged in delivering EL. Explore the programs and options below to see which kinds of financial assistance you may be eligible for.

Tax Credits

Get help covering the costs of some EL expenses by taking advantage of government tax credits for employers providing hands-on learning opportunities for students.

Ontario Co-operative Education Tax Credit

  • What is it? A refundable tax credit available to employers who hire students enrolled in a co-operative education program at an Ontario post-secondary institution.
  • How much money could I receive? Corporations can claim 25 per cent of eligible expenditures (30 per cent for small businesses). The maximum credit for each work placement is $3,000. Most work placements are for a minimum employment period of 10 weeks up to a maximum of four months.
  • Do I qualify? Ontario businesses that hire students enrolled in a post-secondary co-operative education program are eligible for the tax credit.
  • How do I apply? For more information, including details, and guidelines on how to claim the tax credit, please visit www.fin.gov.on.ca/en/credit/cetc/

Ontario Innovation Tax Credit

  • What is it? A tax credit for organizations hiring students for scientific research and experimental development in the province of Ontario.
  • How much money could I receive? Through this refundable tax credit, organizations can receive up to $300,000 per year for qualified expenditures.
  • Do I qualify? A corporation may claim the tax credit if it:
    • has a permanent establishment in Ontario
    • carries out scientific research and experimental development in Ontario during the year
    • is eligible to claim the federal investment tax credit under section 127 of the federal Income Tax Act (Canada)
    • is not exempt from corporation income tax, and
    • has filed a scientific research and experimental development expenditures claim on federal form T661 for the tax year.

    Additionally, tax credits must be claimed against qualified expenditures, which is a cost that:

    • is incurred for scientific research and experimental development carried on in Ontario
    • qualifies under section 127 of the federal Income Tax Act (Canada)
    • is incurred when the corporation has a permanent establishment in Ontario and the expenditure is attributable to that permanent establishment
    • includes 40 per cent of capital expenditures made prior to 2014 and 100 per cent of current expenditures, and
    • capital expenditures made after December 31, 2013 are no longer qualified expenditures.

    Qualified expenditures are reduced by government assistance, non-government assistance and contract payments. The Ontario Research and Development Tax Credit, Ontario Business Research Institute Tax Credit, Ontario Innovation Tax Credit and federal Scientific Research and Experimental Development investment tax credit are not government assistance for purposes of determining the Ontario Innovation Tax Credit qualified expenditures. Under certain conditions, the receipt of a contract payment will not reduce qualified expenditures.

  • How do I apply? Claim this credit on Schedule 566 and file it with your T2 corporation income tax return.

Wage Subsidies

A wide variety of programs exist to help employers cover the costs of offering paid EL opportunities by contributing to a student’s remuneration through wage subsidies.

Young Canada Works

  • What is it? A wage subsidy for eligible employers to support internships and employment opportunities for youth and students in the fields of heritage, arts, culture and official languages.
  • How much money could I receive? The value of the wage subsidy will vary depending on what kind of organization you are, the work you are engaged in and what the student will be doing.
  • Do I qualify? YCW is delivered through two programs that support summer jobs and internships. Private, public and non-profit organizations may be eligible for funding depending on the specific program.
  • How do I apply? Eligible employers must apply for funding through the YCW website. For more information, please click here.

Student Work-Integrated Learning Program (SWILP)

Business Growth and Competitiveness – Northern Ontario Youth Internships

  • What is it? Funding for non-profit organizations and small or medium businesses that hire a recent graduate, aged 30 or under, for 12 months to work on a project.
  • How much money could I receive? The program will cover up to 90 percent of the intern’s salary for non-profits and up to 50 per cent of the intern’s salary for small and medium businesses. For businesses, the project activities must be related to innovation, the digital economy or trade.
  • Do I qualify? Employers are eligible if they:
    • Are located in Northern Ontario;
    • Have fewer than 500 employees;
    • Conduct a fair review and hiring process;
    • Create a work plan, and provide mentoring and networking opportunities; and
    • Have a plan to hire the youth after the internship.
  • How do I apply? Employers are invited to call 1-877-333-6673 to discuss their proposal with a FedNor Officer or begin their applications online.

Northern Ontario Heritage Fund Corporation Internship Program

  • What is it? Financial support for employers who hire a recent post-secondary graduate as a new intern for their business or non-profit organization. Municipalities, First Nations, post-secondary education institutions and research institutions may also apply.
  • How much money could I receive? Up to $31,500.
  • Do I qualify? Employers are eligible if they:
    • Are located in Northern Ontario;
    • Have been operating for at least one year;
    • Have at least one other full-time employee;
    • Are offering a new, full-time position;
    • Will provide concrete training in innovative activities; and
    • Are in a qualifying industry sector:
      • Advanced manufacturing
      • Agriculture, aquaculture and food processing
      • Arts, culture and creative industries
      • Digital economy
      • Forestry and value-added forestry-related industries
      • Health sciences
      • Minerals sector and mining supply and services
      • Renewable energy and services
      • Tourism
      • Transportation, aviation and aerospace
      • Water technologies and services
  • How do I apply? Interested employers may apply by following this link.

National Research Council Industrial Research Alliance Program

  • What is it? The National Research Council Industrial Research Assistance Program (NRC IRAP) provides SMEs with financial assistance to hire young talent. Funding is provided through the Youth Employment Program (YEP) and the Youth Employment Program–Green (Youth-Green) program.
  • How much money could I receive? Employers will receive financial support geared towards supporting a portion of the salary costs of a youth candidate, who will work on technical opportunities and on non-technical but technology-related projects such as:
    • Research and development, engineering, and multimedia;
    • Development of new products and processes;
    • Market analysis for a new technology-based product;
    • Business development related to science and technology activities; and
    • Improvement of customer services, etc.

The firm is responsible for other expenses such as benefits and overhead costs.

  • Do I qualify? To be eligible under the NRC IRAP programs, enterprises must:
    • Be incorporated and for-profit;
    • Have 500 or less full-time equivalents; and
    • Be ready to enhance their innovation capacity, and willing to establish a trusting relationship with NRC IRAP.

To be considered “Green,” one of the following criteria is required:

  • Does the nature of your business align with green economy sectors or industries?
  • Is the Youth internship expected to produce an environmental benefit?
  • How do I apply? Interested employers are encouraged to call the toll-free number at 1-877-994-4727 to speak with a representative who will refer you to an Industrial Technology Advisor in your community.

Information and Communications Technology Council (ICTC) Ontario Career Connect

  • What is it? Wage subsidies available to eligible employers offering placements in a qualified information communications technology (ICT) area for a young graduate.
  • How much money could I receive? Employers could receive a subsidy for up to 50 percent of a candidate’s wages for 6 months.
  • Do I qualify? Employers must be in a qualifying sector and offer placements matching these NOC codes in qualifying ICT positions in Barrie, Peterborough, St. Catharines–Niagara Region, Toronto, Sudbury, Windsor and Ottawa.
  • How do I apply? Employers may complete an online application form here.

Canada Summer Jobs

  • What is it? Wage subsidies to employers to create employment for secondary and post-secondary students.
  • How much money could I receive? Non-profit employers are eligible to receive funding for up to 100 percent of the provincial or territorial minimum hourly wage. Public and private sector employers are eligible to receive funding for up to 50 percent of the provincial or territorial minimum hourly wage.
  • Do I qualify? Small businesses, non-profit employers, public sector and faith-based organizations that provide quality summer jobs for students and young people aged 15–30 who are full-time student intending to return to their studies in the next school year are eligible. Positions must align with the following national priorities:
    • Employers who intend to hire youth who are in under-represented groups, including new immigrant youth/refugees, Indigenous youth, youth with disabilities, and visible minorities.
    • Small businesses, in recognition of their contribution to the creation of jobs.
    • Organizations that support opportunities for official language minority communities.
    • Organizations that provide services and/or supports for the LGBTQ2 community.
    • Organizations that support opportunities in science, technology, engineering and math (STEM) and information and communications technology (ICT), particularly for women.
  • How do I apply? Application information may be found here.

Green Jobs – Science and Technology Internship Program (STIP)

  • What is it? Wage subsidies for employers in the natural resources sector hiring interns from Science, Technology, Engineering and Math (STEM) disciplines for green projects.
  • How much money could I receive? Employers can receive up to 50 percent in wage subsidies for qualifying internship positions.
  • Do I qualify? Eligible employers or hiring organizations can be:
    • Legal entities validly incorporated or registered in Canada, including for-profit and non-profit organizations;
    • Indigenous organizations and groups; or
    • Provincial, territorial, regional and municipal governments and their departments and agencies (where applicable).
  • How do I apply? Funding is delivered through four third-party organizations. To find out more about these funding opportunities, please visit:

Science Horizons Youth Internship Program

  • What is it? Wage subsidies to eligible employers to hire interns in environmental and clean technology sectors. Interns must be recent graduates eligible to work in science, technology, engineering or math (STEM).
  • How much money could I receive? Eligible employers can receive a wage subsidy of up to $15,000 to hire an environmental or clean technology intern.
  • Do I qualify? Employers must meet the eligibility requirements of one of the five delivery organizations listed below.
  • How do I apply? Employers can apply through one of five delivery organizations:

Grants

Take advantage of programs that offer grants, bursaries and other financial incentives that support EL projects.

Hire a Young Person

  • What is it? Programs run by the Government of Ontario providing financial incentives for small businesses to hire young persons (ages 15–29).
  • How much money could I receive? Employers can receive $1,000–$2,000 for hiring and retaining a young person (ages 15–29) if the employer is:
    • A small business, with fewer than 100 employees (through Employment Service); or
    • An employer of any size (through Youth Job Connection).

There are also financial incentives for hiring a high school student (ages 15–18) through the Youth Job Connection Summer program, and additional financial help to offset training costs.

  • Do I qualify? To hire a young person under these programs, employers must:
    • Prove they are licensed to operate in Ontario;
    • Comply with workplace, human rights and labour legislation;
    • Have workplace safety and liability insurance; and
    • Offer job opportunities taking place in Ontario.
  • How do I apply? Employers must work with Employment Ontario to set the amount of money needed to hire and train someone through Youth Job Connection or Youth Job Connection Summer. The amount of money is based on the specific skill level of the person the employer wants to hire and the amount of on-the-job training the employer is offering.

To hire a young person and start the application, employers must request an appointment with a job coach.

Ontario Job Creation Partnerships

  • What is it? Funding supports that assist with hiring a new employee for a business project.
  • Do I qualify? Eligible employers include businesses, non-profit organizations, municipalities, First Nations Councils, public health and educational institutions, and certain Crown corporations.To qualify, your project should:
    • Have a fixed start and end time;
    • Be new and in addition to your normal projects;
    • Offer meaningful work experience; and
    • Benefit the community or local economy.
  • How do I apply? Potential employees should approach the Ontario Ministry of Training, Colleges and Universities (MTCU) with a project concept or proposal by first calling the Employment Ontario toll free number: 1-800-387-5656.

Ontario Centres of Excellence (OCE) TalentEdge Internship (TIP)

  • What is it? Financial assistance to support Ontario post-secondary students and recent graduates working on industry-driven research and development projects in all sectors.
  • How much money could I receive? Employers could receive $10,000 per 4-month unit, with employer matching required ($10,000 per 4-month unit in cash and in kind).
  • Do I qualify? Employers must meet the following eligibility criteria:
    • Projects must include at least one for-profit company with operations in Ontario that meets the required cash and in-kind contributions.
    • The company must be incorporated and provide a Business Number (BN) issued by the Canada Revenue Agency (CRA).
    • The company must use the results for the economic, environmental and social benefit of Ontario.
  • How do I apply? Information on application processes and guidelines is available here.

Ontario Centres of Excellence (OCE) TalentEdge Fellowship (TFP)

  • What is it? Financial assistant to support Ontario-based PhD graduates and postdoctoral fellows wiorking on industry-driven research and development projects in all sectors.
  • How much money could I receive? Employers could receive $35,000 per 12-month unit, with employer matching required ($50,000 per 12-month unit).
  • Do I qualify? Employers must meet the following eligibility criteria:
    • Projects must include at least one for-profit company with operations in Ontario that meets the required cash and in-kind contributions.
    • The company must be incorporated and provide a Business Number (BN) issued by the Canada Revenue Agency (CRA).
    • The company must use the results for the economic, environmental and social benefit of Ontario.
  • How do I apply? Information on application processes and guidelines is available here.

Ontario Centres of Excellence (OCE) Autonomous Vehicle Innovation Network – TalentEdge Fellowships

  • What is it? Financial assistance to support Ontario-based PhD graduates and postdoctoral fellows working on industry-driven research and development projects in the connected and autonomous vehicles sector.
  • How much money could I receive? Employers could receive $35,000 per 12-month unit, with employer matching required ($50,000 per 12-month unit).
  • Do I qualify? Employers must meet the following eligibility criteria:
    • Projects must include at least one for-profit company with operations in Ontario that meets the required cash and in-kind contribution.
    • The company must be an innovation-driven business developing products or services addressing industry challenges.
    • The company must be incorporated and provide a Business Number (BN) issued by the Canada Revenue Agency (CRA).
    • The company must use the results for the economic, environmental and social benefit of Ontario.
  • How do I apply? Information on application processes and guidelines is available here.