Improved tax credits for hiring apprentices and journeypeople, and a new employer hiring bonus will make it easier for employers to hire apprentices and deliver on-the-job training. This announcement was made by Premier Greg Selinger.
“We’re creating a new $1,000 bonus for businesses that hire apprentices for the first time and improving apprenticeship tax credits to increase the incentive to hire,” said Premier Selinger. “This will encourage businesses to train more Manitobans for well-paying jobs in the skilled trades including those being created by our record infrastructure investment plan.”
Under the plan, Apprenticeship Tax Credits will be made permanent and improved to a standardized rate of 15 per cent and a standardized maximum of $5,000 per hire for all levels of apprentices and newly certified journeypeople. The application process will also be streamlined, reducing red tape by eliminating the need for pre-approval and separate claims for each level of apprenticeship completed. The rural/northern tax credit for Level 1 and 2 apprentices will be improved by increasing the cap to $5,000 and continuing the higher rate at 20 per cent of wages and salaries.
“To grow our economy, we need more skilled workers,” said Jobs and the Economy Minister Theresa Oswald. “Working with business to create more apprenticeship training opportunities will open doors for young people and help them build their future in Manitoba.”
“The new employer hiring bonus is a great incentive for Manitoba businesses looking to engage with apprenticeship for the first time,” said Greg Kalaitzakis, president, Minerva Painting and Decorating. “As an employer ready to sign a first-time apprentice, this is timely for us and we’re taking the initiative to attract and develop Red Seal painters because a skilled workforce is integral to our growth and success in the industry.”
The premier said the initiatives announced today are part of Manitoba’s plan to create more opportunities for young people to build their futures at home by:
- investing in better schools with smaller classes,
- working with businesses to create more apprenticeship training opportunities, and
- supporting modern colleges and universities that prepare young Manitobans for the in-demand jobs of tomorrow.
These initiatives build on the new $1,000 bursary to assist apprentices completing their final year, said the minister who noted, since 1999, government has more than doubled the number of apprenticeship training seats and there are now more than 10,000 registered apprentices in Manitoba, the most in the province’s history.
The new $1,000 first-time bonus will be available as of April 1st. The tax credit changes will be implemented for tax years ending after Dec. 31.
