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Ontario expands Skills Development Fund with $955 million boost to support workers amid U.S. tariff pressures

Ontario Construction News staff writer

In a move to protect workers and strengthen Ontario’s economy in the face of escalating U.S. tariffs and global economic uncertainty, the provincial government is injecting nearly $1 billion into its Skills Development Fund (SDF), bringing the total fund to $2.5 billion.

Premier Doug Ford announced the $955 million expansion on Tuesday at the annual Skills Ontario competition.

“We’re already seeing the impact of President Trump’s tariffs and the economic uncertainty he has created on Ontario workers,” Ford said. “My message to these workers and their families is clear: We’ll always have your backs. Today’s announcement is the latest step in our plan to protect Ontario by investing in workers and ensuring they have the support they need to succeed, no matter what comes our way.”

The new funding, spread over three years starting in 2025–26, will be channeled through both the SDF’s Training and Capital Streams. The government is allocating $705 million in the 2025 Ontario Budget to train more workers in key sectors such as manufacturing and healthcare—industries expected to feel the brunt of tariff-related disruptions. An additional $150 million will be invested in capital projects to expand and modernize training facilities.

Industry leaders welcomed the move, hailing the SDF as a critical tool in preparing the province’s workforce for the future. Ian Howcroft, CEO of Skills Ontario, praised the government’s foresight.

“The Skills Development Fund has proven to be an excellent vehicle to develop and deliver skills solutions to address the challenges we face,” he said. “The Ford government must be commended for its leadership.”

“On behalf of all building trades workers, we welcome today’s announcement to invest $955 million over three years towards added funding for the SDF capital and training streams,” said Marc Arsenault, Business Manager and Secretary-Treasurer, Provincial Building and Construction Trades Council of Ontario. “The government is demonstrating its firm commitment to support Ontario during an uncertain time. These considerable investments will increase construction training capacity to meet the needs of projects, securing continued employment for the workforce.”

“We look forward to continued collaboration as we build infrastructure to propel our economy forward.”

Other endorsements came from the Carpenters’ Regional Council, the Ontario Home Builders’ Association, and other key trade and industry bodies. All stressed that the funding will not only create pathways to good jobs but also build a stronger, more self-reliant province.

Since its launch in 2021, the SDF has trained over one million workers and supported hundreds of projects across the province. With over 500,000 skilled trades-related job openings expected in the next decade, the government says continued investment in workforce development is critical.

More details about the province’s economic strategy will be unveiled in the 2025 Ontario Budget, scheduled for release on May 15.

Robin MacLennan, Editor, Ontario Construction News
Robin MacLennan, Editor, Ontario Construction News
Robin MacLennan has been a reporter, photographer and editor at newspapers and magazines in Barrie, Toronto and across Canada for more than three decades. She lives in North Bay. After venturing into corporate communications and promoting hospitals and healthcare, she happily returned to journalism full-time in 2020, joining Ontario Construction News as Writer and Editor. Robin can be reached at rmaclennan@ontarioconstructionnews.com
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