Here's a craft that I've done in Sunday School for the past couple of years. I have the kids make their Dads a tie.
The kids start with a big piece of colored cardstock. We have a tie template that they use to trace out their tie shape. Then they cut out the tie and decorate it with colors and stickers and things. We punch a couple of holes at the top that we put a string through. Then the kids tie the string around their dad's neck. It's pretty fun to see all of the dads walking around with their goofy ties after church.
So if you're a Sunday School teacher looking for a good Father's Day craft, or if you just have some small kids that want to make something for their dad this weekend, there you go!