Proposed Productivity Mega Deduction Includes Construction

The federal government has proposed a permanent Productivity Mega Deduction that would allow businesses to deduct the full cost of many eligible capital purchases in the year the equipment becomes available for use. The proposal generally applies to eligible property acquired on or after September 15, 2026, but has not yet become law.

For MCAO members, the measure could support investments in fabrication equipment, robotics, and surveying or layout tools. MCAC advocated for construction to be included and we commend them on their important work on this topic.

The main benefit is timing. Rather than claiming a deduction over several years, a contractor could claim the full eligible amount sooner. This is a tax deduction, not a rebate on the purchase. Buildings and certain vehicles are among the exclusions in the proposal.

Members planning a significant purchase should review the proposed rules with their tax advisers before factoring the deduction into their decision.

Read the: Federal backgrounder 

See the: MCAC response

AI Corner: Teaching AI About Your Business

Most people begin using AI to draft emails, summarize documents or brainstorm ideas. It can help with all three, but its answers become more useful when it has the right context about your company. An AI tool will not know your preferred reporting format, estimating terminology or approach to client communication unless you provide that information.

For MCAO members, this could be as simple as giving AI an approved example of a handover report before asking it to prepare a draft. Companies can also use approved tools to help staff find information in their own procedures, checklists and project documents. A project manager looking for a closeout requirement, for example, could ask the tool to locate the relevant document and point to the section that addresses it.

Making this information easier to find can also help preserve knowledge that experienced employees have built over years of work. It gives newer staff a place to start and can reduce the need to ask senior colleagues the same questions repeatedly. Staff still need to check the original source, especially for contracts, safety requirements and technical decisions.

Good results depend on good source material. Current documents, clear file names and a reliable way to identify the approved version will help employees as well as any AI tool they use. Members should also confirm that a tool meets their company’s confidentiality and access requirements before sharing internal information with it.



A practical place to start is with one routine task or a few frequently used documents. Provide the relevant context, review the result and check whether the tool points staff to the correct source. That will show where AI can be useful and where the company’s information needs more work.

Grant Funding for AI Training and Tools

Ontario construction companies looking to build their capabilities in artificial intelligence may be eligible for funding through the Future Ready Program.

Qualifying companies can undertake a $20,000 training project and receive $10,000 back upon completion. The program is focused primarily on developing employees' AI and technology skills, but eligible projects may also incorporate practical AI tools alongside the training. The initial program takes approximately five weeks, with companies receiving written approval before proceeding.

For companies ready to take the next step, a separate funding opportunity is available specifically for the development and implementation of custom AI tools. Qualifying projects can be valued at up to $200,000, with funding covering 50% of eligible project costs, subject to a separate application and approval.

One of the program runners also highlighted the flexibility available within the initial training program:

“An additional advantage of these grants is that they allow us to deliver more than the minimum required. Provided the training standards expected under the program are fully met, we are permitted to include extra services within the same project. Our team has built a large library of practical AI tools and owns the source code for the underlying frameworks, which means we can rebuild and customize one of these tools for your business and include it as part of this offering. In practice, a qualifying company can come away from the initial program with both a trained team and a working, tailored AI tool, all within the approved project budget.”

Funding is limited and applications are being considered on a rolling basis. Members should complete the eligibility and pre-approval process before beginning a project or incurring expenses.

To learn more, read the full Future Ready Program

For more information or assistance with the program, please contact Dylan at  dylan@mcao.org.

Data Centre Development: What the New Frameworks Mean

The Ontario government has released a draft Data Centre Playbook to help guide decisions about connecting large projects to the electricity grid. The province proposes that data centres pay their full electricity system costs and be assessed on local investment, economic benefits and environmental impacts. It identifies modern cooling approaches, including closed-loop systems that limit water use, as one-way projects can reduce their impact.

For MCAO members, the mechanical scope is clear: data centres require substantial cooling, piping, controls and commissioning work. The frameworks may influence which projects proceed and how those systems are designed, but an announcement or proposal should not be taken as confirmation that a specific facility will be built. Members following this market can review the provincial playbook and federal principles below.

Ontario Data Centre Playbook  |   Federal principles

Work Permit Holders Can Now Take Short-Term Training Without a Study Permit

Immigration, Refugees and Citizenship Canada have introduced a temporary measure allowing eligible work permit holders to study for up to six months without a separate study permit, or until their work permit expires, whichever comes first. The measure is in effect until December 31, 2027, and IRCC says it is notifying eligible workers directly.

This change makes it easier for members to put eligible employees through short technical or skills-upgrading programs while they continue working. Members should confirm that the individual and course meet IRCC’s conditions before making plans; full-time studies still require a study permit.

For more information, read the Full IRCC notice

TSSA Adds Features to Boiler and Pressure Vessel Owner Portal

TSSA has updated its Boiler and Pressure Vessel Certificate of Inspection (COI) portal for owners. The portal now shows certificate expiry dates and inspection non-compliances with their due dates, making it easier to see what needs attention. Owners can also download multiple certificates at once, search their equipment inventory more easily and add optional equipment tags.

TSSA has also removed the third-party signoff requirement and the separate form previously used to link a third party to an owner’s account. Owners can now be linked by account number or through a new search tool.

Further changes are planned as part of a new COI process expected to launch in March 2027. TSSA advised MCAO that owners will be able to notify it of a change in ownership or decommission a device through the portal.

Members who own regulated equipment, or help clients manage it, should review their equipment records and make use of the new features.

For more information see the complete TSSA portal update

New Federal Supports Coming for Skilled Trades and Apprentices

The federal government has announced several new skilled trades supports that are expected to begin rolling out over the coming months, including financial incentives for employers hiring apprentices and new funding for apprentices completing their training.

Of particular interest to MCAO members is the new Build Canada Apprenticeship Service, expected to launch later this fall. Eligible small and medium-sized employers will be able to receive up to $10,000 for hiring a first-year apprentice in an eligible Red Seal trade, along with support to help employers hire, train, and retain apprentices.

Additional supports announced for apprentices include:

• A $5,000 completion bonus for eligible tradespeople who earn certification in a Red Seal trade. Those who received certification on or after April 1, 2025, are expected to qualify, with applications opening later this fall.
• A new Apprenticeship Training Grant, expected in spring 2027, providing eligible apprentices with a $400 weekly top-up, in addition to Employment Insurance, while attending mandatory in-class technical training.

These programs are still being implemented and applications are not yet open for all three measures. MCAO will continue to monitor their rollout and share eligibility and application details with members as they become available.

To learn more, Read the Government of Canada announcement

MCAO TRAINING

When Is a Workplace Injury a WSIB Claim?

Not every workplace injury presents a clear answer when it comes to WSIB reporting. MCA Ontario is hosting an informational webinar on Thursday, October 1, 2026, from 12:00 p.m. to 1:00 p.m. via Zoom to help members work through some of the grey areas.

Sheila Zsoldos, Owner of Corporate Workplace Injury Management, will discuss how to recognize situations that should be reported and those that may not need to be. If time permits, she will also cover what employers should consider when an injured worker calls in absent, does not show up for work or reports worsening symptoms.

Sheila will provide an overview of workplace injury management services available to MCAO members at preferred rates. We encourage anyone involved in health and safety, injury management or WSIB matters to attend.

For registration information, please contact dylan@mcao.org.



Free Suicide Prevention Training Available to Members

In recognition of Suicide Prevention Month, MCA Ontario is making LivingWorks Start suicide prevention training available to member companies at no cost.

MCAO has purchased a limited number of training licences, with one licence available per member company. Members may also request additional licences, which will be provided where availability permits.

If your company would like to access the training, please contact Dylan at dylan@mcao.org.

MCAC

Help Shape MCAC’s Federal Advocacy Priorities

MCAC is asking MCAO members to share their views as it sets its federal advocacy priorities for the fall. The short survey asks about confidence in the federal government’s direction, the impact of Canadian counter-tariffs and the proposed Productivity Mega Deduction.

Your feedback will help inform MCAC’s discussions with elected officials, government departments and industry stakeholders. MCA Ontario encourages members to add comments where their business experience provides useful context.

Click to Complete the MCAC Advocacy Survey

Upcoming MCAC Webinars for Women in Trade Contracting

MCAC’s Women in Canadian Trade Contracting initiative has two upcoming virtual sessions focused on building confidence, resilience, and leadership skills within the construction industry.

On October 6 from 1:00 p.m. to 2:00 p.m. ET, Mikki Paradis will present Confidence Under Construction. The session will explore confidence as a skill that can be developed over time, with practical insights for navigating leadership and visibility in the construction industry.

Learn more and register here: Confidence Under Construction

On December 2 from 1:00 p.m. to 2:30 p.m. ET, Jaime Mann will present Steady Under Pressure. This practical workshop will focus on self-awareness, resilience, and strategies for making effective decisions in challenging situations.

Learn more and register Here: Steady Under Pressure