On November 5, the Government of Canada will table Budget 2026. The budget will come to life in the weeks and months ahead as federal construction projects are announced and put to tender, procurement parameters are set, and details are clarified about training support.
OpenCircle Contractors Association will be following these details closely, along with how the federal commitments line up with the concerns we hear from our members across the country.
Here are five areas of the federal budget we are watching on your behalf:
1. Nation-building infrastructure
The federal government has said more than $125B in projects have been referred to its Major Projects Office, which represents 60,000 construction jobs. The budget should offer detail on how these projects will move forward.
We’ll be examining how much of this announcement is previously committed work, or repackaging old projects, and how much is “net new” investment. We’ll also be trying to determine the timing of public tenders, whether they will be bundled into large packages or made more open and accessible to small and medium-sized organizations.
2. Fair access to workforce funding
About 70 per cent of Canada’s construction workers are open shop, but a lot of federal training money flows through programs built for certain organizations that other organizations and employers cannot access. We’re aligned with the Canadian Construction Association’s recommendation that programs, such as the Union Training and Innovation Program (UTIP), funding be matched in programs open-shop employers and workers can use.
Our view is straightforward: public funding meant to build Canada’s workforce should be open to the whole workforce. We will be paying close attention to this funding arrangement in the budget.
3. Skilled-trades workforce
We are committed to keeping the skilled trades labour shortage in the headlines and on the desks of policymakers and project owners.
Major funding project announcements make for great headlines, but without skilled workers, they’ll never be realized. And Canada has a major completion-rate issue. In 2024, more than 100,000 new apprentices registered, but only about 34,000 completed. This is happening as demand for construction labour rises at more than double the rate of other industries.
With over 270,000 construction workers retiring over the next decade, we encourage the federal government to come to the table with construction employers and training institutions to find practical ways to address this issue.
We’ll be looking to see whether immigration targets line up with the trades we’re short on, and how the federal government’s “Team Canada Strong” initiative rolls out. That’s $6B to recruit, train and hire 80,000 to 100,000 new tradespeople by 2031.
Here’s how that’s broken down:
- Recruiting ($2B): This is essentially a wage subsidy that covers paid youth job placements that lead into apprenticeships, and the Build Canada Apprenticeship Service, which pays employers up to $10,000 toward a first-year apprentice’s wages. Apprentices can train on the job with an employer or a union training centre.
- Completion ($3.4B): Apprentices get $400 a week during in-class training, up to $16,000, plus a $5,000 bonus when they certify as a Red Seal. Cash goes directly to the apprentice.
- Training ($331M): This looks more exclusive and is not an open funding envelope for all employers and associations. The federal government needs to open more opportunities to all who train and employ tradespeople.
4. Federal procurement
We’ll be watching this closely because so much of the upcoming defence investments will happen in Alberta. We’ll also be watching for any news on “Buy Canadian” requirements to Canadian steel, aluminum and wood above set thresholds, which is something Ottawa has signaled it wants to extend to more projects.
The Canadian Construction Association focused the bulk of its federal budget submission on procurement issues, asking Ottawa to modernize tendering by more fairly allocating risk, to use more collaborative delivery models, work with standard CCDC contracts, and to improve security clearances so contractors can fairly compete for defence construction. We agree with their proposal and believe that an open, fair, competitive market for construction projects will create the best value for Canadians.
5. Housing and the infrastructure behind it
The federal government continues its focus on housing starts, and the budget is likely to continue advancing the Build Canada Homes program – for transit-oriented communities and longer-term infrastructure investment, and the Build Communities Strong Fund, worth $51 billion over 10 years.
These projects, and the water, sewer, roads and transit they require for servicing, are integral work for our members. But there’s a catch we’re watching for: the criteria and conditions to be met that favour one labour group over another.
Those conditions weren’t on earlier versions of this fund. They add red tape and can impact our members’ ability to bid on critical municipal work. We’ll be keeping abreast of national advocacy trends that have warned against limiting parameters like these.
What happens next
The budget lands November 5, but the real work starts after it is launched. Programs get designed, eligibility rules get written, and tenders go out. We’ll be following what happens and reporting back on what it means for members.
You see these issues on job sites and in bid rooms every day. Through our Regional Advisory Committee, members have already helped us pin down industry problems and shape our policy recommendations. We want to keep building on that, so tell us:
- Where are you hitting gaps in training or workforce support?
- What’s working that government should keep doing?
- What’s getting in the way of bidding on, or delivering, publicly funded work?
Send your thoughts to Warren Singh, VP of Strategy and Stakeholder Relations: wsingh@opencircle.ca.
We are Founded on merit. We are OpenCircle Contractors Association.
