Small Business Grants For Hiring Youth and Grads
By Mark Swartz
Canadian Workplace Specialist
Thinking of bringing aboard a youthful new employee – for an Internship, summer or full-time job – but worried about the expense? Help may be available to lower your hiring costs. Our government is encouraging employment for youths and recent grads by offering funding programs for employers.
These programs come in the form of financial incentives (read: cash) that subsidize salary or training expenses. There are also tax credits and Internship assistance being offered. Here are some of the more popular funding programs offered on a national basis in Canada.
Aboriginal Affairs – Youth Employment Strategy
Aboriginal Affairs and Northern Development Canada (AANDC) delivers two programs under the First Nations and Inuit Youth Employment Strategy.
1) First Nations and Inuit Summer Work Experience Program supports initiatives to help First Nations and Inuit youth acquire skills, prepare for full-time employment and earn income to support post-secondary education, through summer work experience.
2) First Nations and Inuit Skills Link Program supports initiatives that help First Nations and Inuit youth acquire essential employability and job-related skills, and to learn about job and career options, to prepare them for employment and career development.
A non-refundable tax credit equal to 10% of the eligible salaries and wages payable to apprentices in respect of employment. The maximum credit an employer can claim is $2,000 per year for each eligible apprentice. If your business hires an "eligible apprentice", you qualify to claim the credit.
CSJ is a Government of Canada (Service Canada) initiative that provides funding to help small businesses with 50 or fewer employees create summer job opportunities for students. It is designed to focus on local priorities while helping both students and their communities. If your company qualifies, it is eligible for up to 50 percent of the provincial/territorial minimum hourly wage. Qualifiying students are 15 to 30 years of age.
The Career Focus program provides funding for employers to offer post-secondary graduates opportunities to gain career-related work experience.
Service Canada delivers the following components:
National Career Focus – provides financial assistance to employers and organizations to deliver projects that are national in scope to provide post-secondary graduate youth with work experiences within Canada.
Regional Career Focus – is administered through a network of regional/local offices located across the country. These projects provide financial assistance to employers and organizations to deliver projects at the regional and local levels.
Human Resources and Skills Development Canada delivers the following component:
Sectoral Youth Career Focus – provides financial support to National Sector Councils and other cross-sectoral organizations. These organizations in turn develop work experience opportunities for post-secondary graduates. For instance, the BioTalent Canada Career Focus Program helps subsidize the salaries of new grads in bio-science industries to a maximum of $10,634 for up to 12 months.
Seeks to improve the competitiveness of Small Business by supporting companies to actively market on-line and improve their competitiveness with e-business practices and technologies.
Your firm will receive financial support towards the employment of post-secondary students who will work on e-business projects. The Government of Canada will reimburse up to 75% of the eligible wages and related expenses such as statutory employee benefits, to a maximum of $10,000. Your firm is responsible for covering other expenses such as fringe benefits and overhead costs. Support will be available for twelve weeks.
Does your company design cultural products for the Internet? Do you own a growing Canadian business looking to add language-based services to its list of capabilities? Or are you an arts promoter looking to showcase Canada's heritage abroad? Young Canada Works helps your company by tapping into Canada's energetic and enthusiastic employment pool thanks to YCW wage subsidies.
This program provides financial assistance to innovative small and medium-sized enterprises in Canada to hire post-secondary science, engineering, technology, business and liberal arts graduates. Graduates work on innovative projects within the small and medium-sized enterprise environment and may participate in research, development and commercialization of technologies.
The maximum contribution is $30,000 towards the salary costs of a post-secondary graduate. The small and medium-sized enterprise is responsible for other expenses such as fringe benefits and overhead costs