Tax Credit Information
Ontario Co-operative Education Tax Credit offers up to $3,000 of a tax credit to qualifying employers for each four month work term.
Click here to learn more about the Ontario Co-operative Education Tax Credit.
*Note: Please be advised that Co-operative Education Tax Credit Letters are sent to employers at the end of each completed work term.
Scientific Research and Experimental Development (SR&ED) program - Generally, a Canadian-controlled private corporation (CCPC) can earn an investment tax credit (ITC) of 35% up to the first $3 million of qualified expenditures for SR&ED carried out in Canada, and 20% on any excess amount. Other Canadian corporations, proprietorships, partnerships, and trusts can earn an ITC of 20% of qualified expenditures for SR&ED carried out in Canada.
Other sources of funding or tax credits that may interest your organization:
Achieving Innovation Manufacturing Excellence (AIME) Initiative
Eastern Ontario Development Fund
Mitacs (national, not-for-profit research organization)
National Research Council of Canada, Industrial Research Assistance Program
Northern Scientific Training Grants Program
Ontario Interactive Digital Media Tax Credit
Rural Economic Development Program
Student Work Placement Program (SWPP)
The Government of Canada’s Student Work Placement Program has announced changes to SWPP funding beginning April 1, 2022. Funding will now be granted based on the following eligibility criteria:
- Net new hiring restrictions will be reintroduced. Net new refers to the growing number of students you hire each year and represents the number of work placement subsidies you are eligible for.
- Post-secondary institutions are no longer eligible employers
- Funding will cover up to 50% of student wages (to a maximum of $5000). Students hired from under-represented groups, including first-year students, women in STEM, indigenous students, persons with disabilities and newcomers, may be eligible to have up to 70% (to a maximum of $7000) of their wages subsidized. This is determined on a case-by-case basis at the end of each work term.
- Co-op students may continue to work in-person, from home, or in a hybrid work setting.
The Government of Canada has a variety of funding opportunities as part of the Student Work Placement Program (SWPP) administered by Employment and Social Development Canada will be extended to 2024. Through SWPP, employers can apply for wage subsidies of up to $7000 to hire co-op students.
Below are currently confirmed industry partners administering the SWPP program and our co-op programs meet the eligibility requirements.
Consider these funding opportunities for your co-op hiring needs.
TECHNATION (formerly ITAC) – Career Ready Program - The program provides up to 50% (to a maximum of $5,000) of a work term student's pay in wage subsidies to employers. Employers who hire students from underrepresented groups including women in STEM, indigenous students, visible minorities, recent immigrants, persons with disabilities, first-year students and students in their first placement term may also qualify for additional funding (up to 70% or $7,000). Supports any tech-immersive roles across many different disciplines and functions; the employer does not need to be a tech company to promote tech skills development.
Information and Communication Technology Council (ICTC) – WIL Digital -Canadian employers working in one of these emerging sectors: Advanced Manufacturing, Artificial Intelligence, Cybersecurity, Fintech, Intelligent Retail, or Big Data, Clean Tech, Connected transportation, Entertainment and Gaming, e-Health and providing a paid work integrated learning (WIL) experience to a post-secondary student studying full-time in science, technology, engineering, math or business in Canada are eligible to apply to receive a subsidy up to 70% of wages (capped at either $7000 or at the end of 4 months).
Canadian Council for Aerospace and Aviation (CCAA) – CCAA and the SWILP -Covers the cost of a co-op student's salary up to 50% (max. $5,000) and up to 70% (max $7,000) for first year students and underrepresented groups. CCAA's SWILP program is geared toward organizations within the aviation and aerospace industry. Focus on small to medium sized businesses, hiring for for 12-16 week work terms.
Environmental Careers Organization of Canada – Wage Subsidy Program for Environmental Students - ECO Canada's new CO-OP Program provides a wage subsidy of up to 50% to a maximum of $5000 to employers hiring students in an environmental role (environmental sector, environmental division, or environmental projects).
Biotalent Canada – Student Work Placement Program - Covers the cost of a co-op student's salary up to 50% (max. $5,000) and up to 70% (max $7,000) for first year students and underrepresented groups. The co-op position needs to have a biotechnology focus, or the employer needs to have a biotechnology focus. *NEW - Healthcare organizations are now eligible to apply for student wage subsidy.
Electricity Human Resources Canada (EHRC) – Empowering Futures: Developing Electricity Talent Through Work-Integrated Learning - Empowering Futures is the new WIL Program for Canada’s electricity sector. Led by Electricity Human Resources Canada (EHRC), Empowering Futures will create up to 1000 new WIL opportunities in electricity over three years. Wage subsidies up to $7,000 will be available to employers who create new WIL opportunities such as co-ops, internships, field placements, applied projects, capstone projects or case competitions.
Mining Industry Human Resources Council (MiHR) – Gearing Up: Developing Mining Talent Through Work-Integrated Learning - Gearing Up is the new WIL Program for Canada’s mining sector. Led by MiHR, Gearing Up will create 850 new WIL opportunities in mining over four years. Wage subsidies up to $7,000 will be available to employers who create new WIL opportunities such as co ops, internships, field placements, applied projects, capstone projects or case competitions.
Toronto Finance International (TFI) - This organization is a partner of the Program, but does not administer wage subsidies.
Venture for Canada VFC - The Venture for Canada Atlantic Internship Program is a paid, subsidized internship opportunity program for Canadian post-secondary students to work in Atlantic Canadian startups and growing small businesses.
Magnet Student Work Placement - The program is delivered by Magnet along with a range of recognized associations and organizations who represent key industries and sectors in Canada. Together, they partner with colleges, universities, polytechnics and CEGEPs to: provide wage subsidies, create recruitment opportunities, and, convene educators and employers to help align PSE curricula to the skills needs of industry.
Excellence in Manufacturing Consortium (EMC), (For employers within the manufacturing sector) via its WILWorksprogram, is a preferred partner for the Government of Canada to deliver the Student Work Placement Program (SWPP) to Canada's manufacturing and related sectors. WILWorks will provide value to manufacturing employers by providing wage subsidies to employers that offer quality student work placements
Talent Opportunities Program- For registered Canadian business or non-profits -An initiative of the Ontario Chamber of Commerce designed to help employers located anywhere in Canada hire college and university students on work placements. Employers hiring eligible students may receive a wage subsidy up to 70% (up to a maximum of $7,000) per placement. Employers must be a registered Canadian business or not-for-profit organization, may be located anywhere in Canada, and may operate in any industry sector.
Trucking HR Canada – Employers hiring students for work terms in the Canadian truck transportation and logistics industry may qualify for wage subsidies up to 75% (up to a maximum of $7500) per placement. Trucking HR Canada advances modern HR solutions for the trucking and logistics workforce they collaborate, partner, and work with a dynamic network including industry associations, government departments and industry professionals to ensure Canada’s freight transportation network has the skilled workforce needed for today and into the future.
Tourism HR - Employers hiring students in the tourism and hospitality sectors can benefit from the Propel initiative. This new initiative's main objective is to help the hardest-hit sector recover from the devasting impacts of the pandemic
Cultural Human Resources Council (CHRC) - The CHRC brings together cultural workers and employers to address training, career development and other HR issues. If you are an employer who offers work terms in the arts and cultural sector, focusing on relevant needed skill sets in the sector, consider applying for funding through this SWPP partner.
Food Processing Skills Canada (FPSC) - Food Processing Skills Canada’s Student Work Placement Program is a program for employers in the Canadian food and beverage manufacturing industry to hire students in colleges and universities across the country. Posting a job, hiring a college or university student, and accessing up to $7,500 in wage subsidy is easy.
Canadian Agricultural Human Resource Council (CAHRC) - The Canadian Agricultural Human Resource Council (CAHRC) is a national, non-profit organization focused on addressing human resource issues facing agricultural businesses across Canada. Create work placements in the agriculture sector, targeting students in both agriculture-related programs and disciplines not related to agriculture, with a focus on under-represented groups.