Ontario's automotive sector is undergoing a major transformation. This week, Honda announced an upcoming multibillion-dollar investment to develop a comprehensive electric vehicle supply chain. This project promises to further cement the province as a key player in the electric vehicle market.
However, it surfaces a critical issue: a skills gap in Ontario’s workforce could hinder progress unless promptly addressed.
There is immense opportunity for Ontario workers in the rapidly developing electric vehicle industry—if the province can invest in workforce alignment.
A recent ICTC report reveals a profound necessity for specialized training and education to prepare Ontario's workforce for the burgeoning electric vehicle supply chain.
For instance, Ontario needs programs that foster awareness about opportunities in critical minerals mining: a secure supply of battery materials will be vital to support the electric vehicle industry, but an anticipated 50% of workers in the exploration and mining industry are expected to retire within the next decade—and attracting youth to the mining industry is a challenge.
Ontario also needs partnerships between industry and educational institutions to fill knowledge and skills gaps in the electric vehicle sector. The sector faces difficulties attracting skilled and diverse talent, an aging workforce, the need for rapid workforce reskilling, and misaligned post-secondary training curricula that are struggling to keep up with rapid industry changes and developments.
Building electric vehicle charging infrastructure throughout Ontario presents a significant challenge and a major employment opportunity. There is an acute and long-running shortage of electricians in Ontario. With a scarcity of electricians, public charging infrastructure projects, as well as the installation of private residential home chargers, are subject to delays and increased costs. As electric vehicles become increasingly common across Ontario, there will be more demand for qualified electricians to install and maintain public and private charging infrastructure.
Automotive recyclers will need to upskill their workforces and develop new processes to safely and economically recycle electric vehicles at the end of their useful lives. Most automotive recyclers in Ontario are small businesses that may lack the capacity to make major investments to adapt to change and stay competitive.
The government plays a pivotal role in this transition. The provincial and federal support highlighted in the deal with Honda, including significant financial investments and incentives, should be paralleled by investments in workforce development.
Initiatives such as the federal investment tax credits for manufacturing and the new tax credits for building construction are significant developments poised to expand Ontario’s electric vehicle manufacturing prowess, but they must be complemented by strategic funding for education and training programs to gain the most benefit from these significant public investments.
As Ontario positions itself as a leader in the North American EV market, the focus must also turn inward to the backbone of this industry—the workforce.
By addressing the skills gap through comprehensive training and education, supported by government and industry partnerships, Ontario can ensure its economic opportunity in electric vehicles is sustainable and inclusive. The road ahead is electric, and by preparing our workforce today, Ontario will drive the future of automotive technology tomorrow.
Erik Henningsmoen is a research and policy analyst at ICTC and co-author of the recent report, Fast-Charging Ontario’s Electric Vehicle Workforce.