Caledon became a police village in 1913 and a village in 1957. In 1974, the town of Caledon was created with the amalgamation of the townships of Caledon and Albion, part of Chinguacousy, and the villages of Bolton and Caledon East. Caledon East was originally named Tarbox Corners after a Loyalist family. It was then called Munsie’s Corners after an early postmaster. Caledon East refers to its location in the township of Caledon. Bolton was named after James Bolton, an early settler.
Today, industries employing significant numbers of Caledon residents include industrial machinery manufacturing and food processing. Mars Canada and PepsiCo both have warehouses here.
Caledon is a rural area known for its scenic landscape near the Credit and Humber rivers. The Cheltenham Badlands is a significant geological landmark.