Federal Budget 2025 highlights for trucking and logistics employers
OTTAWA, ON (November 5, 2025) — The federal government tabled its 2025 budget in the House of Commons on November 4. It includes several initiatives relevant to trucking and logistics employers, focusing on youth employment, worker support, immigration, infrastructure, and worker protections.
As the national workforce development council for the trucking and logistics sector, Trucking HR Canada programs and services are directly impacted by several of these initiatives. And we will continue to work with all government departments ensuring programming dollars for our sector are prioritized.
| Budget mentions | THRC role/implications |
|---|---|
| Workforce development The government is implementing a new reskilling package for workers, has made Employment Insurance more flexible and with extended benefits, and will launch a new digital jobs and training platform with private-sector partners to connect Canadians more quickly to careers. $570 million over three years, starting in 2025-26, through Labour Market Development Agreements with provinces and territories to support training and employment assistance for workers impacted by tariffs and global market shifts. $382.9 million over five years, starting in 2026-27, and $56.1 million ongoing, to launch new Workforce Alliances to bring together employers, unions, and industry groups to work on ways to help businesses and workers succeed in the changing labour market and coordinate public and private investments in skills development. A new Workforce Innovation Fund will invest in projects tailored to local job markets to help businesses in key sectors and regions recruit and retain the workforce they need. Strategic Response Fund to realign producers to serve the Canadian market and reach new markets globally, coupled with a major reskilling effort, will help tens of thousands of workers and key sectors—from canola to lumber to steel and aluminum and our auto sector—stay competitive and resilient in a shifting global economy. The government is investing $570 million over three years for training workers affected by market changes, enhancing Employment Insurance flexibility, and launching a digital jobs platform with $50 million over five years for job search and training tools. | As the national Workforce Development Council for our sector, we will continue to work closely with various government departments ensuring industry employers access the supports/programs needed to ensure a stable and sustainable trucking and logistics workforce. This funding was previously announced on September 5 and THRC has already had discussions regarding the funding. Our pre-budget submission included the continuation of some of the key programs included in this funding allocation. |
| Youth employment funding $307.9 million over two years, starting in 2026-2027 for the Youth Employment and Strategy to provide employment, training, and wrap-around supports. | As a past recipient of funding from this program, THRC will work to access funds to better connect Canada’s youth to stable and well-paying jobs in the trucking and logistics sector. |
| Student Work Placement Program 635.2 million over three years, starting in 2026-27, to Employment and Social Development Canada for the Student Work Placement Program to support around 55,000 work-integrated learning opportunities for post-secondary students in 2026-27. | As one of the 18 delivery partners for this program, we will now work to extend our current agreement and increase our funding allocation to support more work-integrated learning opportunities for our trucking and logistics employers. THRC has achieved proven success with this program, which is a key component of our Career ExpressWay initiative. To date, we have supported over 250 employers in providing work placements for more than 1800 students. In its pre-budget submission, THRC requested continued funding for the program. |
| Union apprenticeship training A $75 million investment over three years will expand the Union Training and Innovation Program supporting apprenticeship training in Red Seal trades. | As a current recipient of funding through this program to support heavy duty truck and trailer mechanics/technicians, we will work to ensure our industry can access funds to meet industry needs for all applicable Red Seal Trades employed in our sector. |
| Women and Gender Equality funding An allocation of $382.5 million over five years aims to strengthen efforts advancing women’s equality in Canada. | As a current funding recipient through this program, our Women with Drive initiative will continue to build on its momentum and ensure our sector’s need for more women continues to be supported. |
OTHER INITIATIVES:
Addressing worker misclassification
Following last week’s announcement, Budget 2025 proposes amendments to allow information sharing between CRA and Employment and Social Development Canada to enforce correct worker classification, with $77 million over four years allocated to address non-compliance in personal services businesses and trucking industry reporting.
Wage theft penalties
The government plans to increase penalties on federally regulated employers committing wage theft, with consultations underway.
Immigration levels and temporary workers
The 2026-2028 Immigration Levels Plan stabilizes permanent resident targets at 380,000 annually, increases economic migrants’ share, and reduces temporary resident admissions, while accelerating the permanent residency transition for up to 33,000 work permit holders.
Foreign credential recognition: A $97 million fund over five years will improve fairness and timeliness in recognizing foreign credentials, focusing on health and construction sectors.
Trade and Arctic infrastructure investments
Budget 2025 includes $5 billion over seven years for the Trade Diversification Corridors Fund to enhance trade infrastructure nationwide, and $1 billion over four years for the Arctic infrastructure Fund to support transportation projects with dual civilian and military use in Northern communities.
NEXT STEPS:
Parliamentary procedure could see a first vote on November 5 or 6. Amendments can be proposed as non-confidence status; a non-confidence vote will decide whether this minority Liberal government continues or whether Canadians are headed into a fall/winter election.
Over the coming days, federal departmental officials will receive their detailed briefings on how new funding will be actioned, as their respective Ministers fan out on to their constituencies to “sell” this Budget. The Prime Minister’s Office will determine if any other departmental announcements will be issued during this post-Budget “selling” period.
Trucking HR Canada is the recognized national authority on workforce strategy for the trucking and logistics sector. We’re a non-profit centre of excellence, engaging with employers, governments, think tanks, industry groups, and stakeholders.
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