Eligible Training Costs Across Canadian Workforce Training Grants

By GrantHub Research Team · · Lire en français

Eligible Training Costs Across Canadian Workforce Training Grants

Workforce training grants in Canada can support many training expenses, but only certain costs are covered. Each grant program has its own rules, but most share common guidelines for what is eligible. Knowing which training costs are covered by Canadian workforce training grants helps you plan your budget, avoid rejected claims, and maximize your funding opportunities.

This guide explains which costs are usually eligible, which are not, and how to avoid common mistakes. The information comes from real federal and provincial grant programs used for industry growth and workforce development.


Eligible Training Costs

Most workforce training grants in Canada focus on direct, job-related skills that help employees and the business. While every program is different, eligible costs usually fall into a few main groups.

Tuition and Course Fees

Tuition and course fees are the most common eligible costs.

Examples include:

  • Registration fees for approved training providers
  • Tuition for courses or workshops
  • Certification exam fees related to the training

Program examples:

  • The Canada–Ontario Job Grant (COJG) covers third-party training costs for employees, including tuition and required fees.
  • The B.C. Employer Training Grant (ETG) funds up to 80% of eligible training costs, up to $10,000 per employee each year.

Usually, the training must be provided by an external, qualified provider. Internal training is rarely covered unless you get approval first.

Trainer and Instructor Costs

Some grants will pay for costs related to delivering the training.

This can include:

  • Fees for instructors or facilitators
  • Training delivery fees charged by approved providers

For example:

  • Labour Force Training (New Brunswick) can support instructor-led training costs if they help employees gain needed skills.

Trainer costs must be reasonable and directly connected to the approved training.

Training Materials and Supplies

Many grants will cover the cost of materials used during training.

Examples:

  • Course manuals or textbooks
  • Software licences for training
  • Safety gear needed for the training

These items are usually only eligible if they are part of the approved training. Buying equipment on its own is almost never covered.

Employee Wages During Training (Limited)

Wage support is less common and depends on the program.

Examples:

  • Some Quebec programs, like Impulsion‑Compétences, may support wage costs for group training.
  • Most programs, such as COJG and ETG, do not cover regular employee wages. They focus on external training costs.

Check each program’s rules about wages. If wages are not clearly listed as eligible, assume they are not covered.

Travel and Accommodation (Conditional)

Travel costs are only covered in certain cases.

Examples of eligible travel costs:

  • Travel needed to reach training that is not available locally
  • Economy-class transportation and basic accommodation

For example:

  • The Economic Development Training Bursary and Travel Subsidy (Island Coastal Economic Trust) provides up to $1,000 for tuition and travel for applicants who have to travel for training.

Meals and mileage are often limited or not covered.


Commonly Excluded Costs

Most workforce training grants in Canada do not cover:

  • Buying capital equipment
  • General HR or onboarding costs
  • Training that happened before approval
  • Diploma or degree programs (not short-term skills training)
  • Entertainment or hospitality expenses

For example, the B.C. Employer Training Grant does not cover diploma or degree programs or training longer than 52 weeks.


Industry Expansion Context

When businesses grow into new markets or scale up, workforce training grants can help support their needs. Funders expect the training to:

  • Address a clear gap in employee skills
  • Help with job retention or job creation
  • Match the business’s growth plans

Using tools like GrantHub’s eligibility matcher can help you quickly find programs by province, industry, and training type.


Mistakes to Avoid

  1. Paying for training before approval
    Most grants will not pay for costs if you start training before getting approval.

  2. Using unapproved training providers
    If the provider is not on the approved list, your costs may be denied.

  3. Claiming wages without checking eligibility
    Only claim wage costs if the program clearly says they are eligible.

  4. Submitting unclear cost breakdowns
    Vague or incomplete budgets often lead to delays or denials.


Frequently Asked Questions

Q: Do workforce training grants cover online courses?
Yes, many programs allow online training if it is job-related and delivered by an approved provider.

Q: Can I train existing employees, or only new hires?
Most grants allow training for current employees. For example, Labour Force Training in New Brunswick supports upskilling existing staff.

Q: Are training grants taxable income?
Tax treatment depends on the program and how the funds are given. Some grants may be taxable; always check with your accountant.

Q: How much funding can I receive per employee?
Amounts vary. The B.C. Employer Training Grant offers up to $10,000 per employee per year. Labour Force Training in New Brunswick ranges from $1,000 to $20,000 total.

Q: Are these grants repayable?
Some are. Labour Force Training in New Brunswick is repayable, while others like COJG are non-repayable.


Next Steps

Understanding which costs are eligible for Canadian workforce training grants helps you plan your training budget and maximize your funding opportunities. Focus on direct, job-related training expenses and always check each program’s guidelines before applying.

GrantHub tracks hundreds of active workforce and training grants across Canada. Use it to check which programs match your business profile and training plans. You may also find these guides helpful:

  • What Business Expenses Are Eligible Across Canadian Grants and Loans?
  • Tax Credits vs Grants for Employee Training in British Columbia
  • How to stack grants and loans without violating funding rules

With the right information and planning, workforce training grants can support your team’s growth and your business goals.

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