Targeted Wage Subsidy

Overview of the Targeted Wage Subsidy program:

The Targeted Wage Subsidy program focuses on addressing the employment challenges faced by Indigenous individuals who have been unemployed for extended periods. Through financial incentives for employers, the program aims to foster work opportunities that combine on-the-job and off-the-job training. Participants gain hands-on experience in their field of interest while improving their employability through relevant skills training. Employers receive wage subsidies that cover a portion of participant wages and other employment-related costs, such as Canada Pension Plan (CPP) contributions, Employment Insurance (EI) premiums, Workers’ Compensation Board (WCB) rates, and holiday pay. This reduces the financial burden on employers, making it easier for them to hire Indigenous individuals who may lack extensive work experience. The program also supports employers by covering costs for additional training materials and providing accommodations for participants with disabilities. The program places a strong emphasis on collaboration, requiring employers to submit detailed job descriptions and training plans to ensure participants receive structured and meaningful development. Employers are encouraged to hire participants permanently once the subsidy period ends, contributing to long-term workforce inclusion. Applications are open year-round, and proposals are evaluated within four weeks, ensuring a streamlined process for employers and participants alike.

Benefits of the Targeted Wage Subsidy program:

• For Participants:
• Work Experience: Hands-on employment opportunities that improve job readiness and skills.
• Skill Development: On-the-job and off-the-job training enhance employability and career progression.
• Support for Disabilities: Accommodations and funding for specialized tools and resources.
• For Employers:
• Financial Incentives: Wage subsidies reduce hiring costs and encourage participation in the program.
• Employment-Related Costs: Coverage for CPP, EI, WCB, and holiday pay.
• Training Support: Funding for job-specific training materials and instructional guides.
• Retention Incentives: Encouragement to transition participants into permanent employees after the subsidy period.
• Community Impact:
• Workforce Inclusion: Bridges employment gaps for Indigenous individuals.
• Economic Growth: Strengthens local businesses and communities through workforce development.

Eligibility criteria of the Targeted Wage Subsidy program:

• Eligible Employers:
• Aboriginal Bands or Tribal Councils.
• Not-for-profit organizations with fewer than 100 employees.
• For-profit businesses with fewer than 100 employees, operating for at least one year.
• Eligible Participants:
• Indigenous individuals (status and non-status) residing on or off-reserve in the SASET catchment area.
• Aged 18 years or older and legally entitled to work in Canada.
• Not enrolled in full-time schooling and not legally required to attend school.
• Long-term unemployed (three months or more).
• Possess marketable skills but lack recent work experience in their field.
• Not receiving other Service Canada funding support.