Budget 2023: Government fails to make meaningful commitments to advance economy and empower the construction industry
While the 2023 Federal Budget signalled the Trudeau government’s clear focus on transitioning to a net-zero economy, the proposed initiatives do not support the fair participation of all construction companies in its green building goals.
Read our press release ↗
Many construction companies, particularly small and medium-sized firms, may find themselves unable to fully benefit from the tax credits created to attract investment in clean technology, hydrogen, and electricity. The qualifying conditions around labour and wages will effectively restrict fair access to these credits while also limiting an already strained workforce’s ability to deliver on the clean projects the government is seeking to create. Equally concerning is that these restrictions were announced without proper consultation of the industry stakeholders.
One of the most notable absences from the Budget were any commitments to help alleviate the construction workforce shortage. This includes changing an outdated immigration point system and working with provinces to ensure better skills matching. These measures would help to ensure that Canadian companies have access to the skilled workers they need to execute on green infrastructure projects.
Also missing was a long-term plan to address Canada’s aging infrastructure, develop a trade corridor to strengthen supply chains, and build a steady pipeline of skilled and talented workers. Without a clear roadmap for infrastructure investments, Canada risks falling further behind in our trade infrastructure and essential projects for Canadians may be delayed or deferred due to a continued misalignment between projects and an available and skilled workforce. With next to no movement on the National Infrastructure Assessment, an initiative that was announced in Budget 2021, the industry sees a missed opportunity to finally put in motion plans to develop an infrastructure program based on independent, apolitical advice that would address the needs and priorities of provinces, municipalities and Indigenous groups.
Over the next few months, CCA will reiterate our recommendations in support of a strong economy during our annual Meech Lake meeting on April 25, through a robust outreach strategy leading into the summer recess, and culminating with Hill Day 2023 where the industry will convene to make our messages heard in Ottawa.
Read CCA’s Pre-Budget submission ↗
It is vital that the federal government create the appropriate economic conditions and equally accessible incentives for the industry to advance the greener infrastructure needed to transition to a net-zero economy.
For more information on our recommendations to government, please contact Louis-Philippe Champagne, Director of Government Relations and Policy, or Mario Baker, Assistant Manager, Economics and Policy Development.