Summative Evaluation : Employment Benefits and Support Measures Delivered Under the Canada-Yukon Labour Market Development Agreement, September 2009

List of Acronyms

• AHRDA - Aboriginal Human Resources Development Agreement
• APE - Action Plan Equivalent
• CRA - Canada Revenue Agency
• EAS - Employment Assistance Services
• EBSMs Employment Benefits and Support Measures
• EI Act - Employment Insurance Act
• HRSDC - Human Resources and Skills Development Canada
• JCP - Job Creation Partnerships
• JMC - Joint Management Committee
• LMDA - Labour Market Development Agreement
• LMP - Labour Market Partnership
• NOC - National Occupation Classification
• R&I - Research and Innovation
• SA - Social Assistance
• SD - Skills Development
• SEA - Self Employment Assistance
• TWS - Targeted Wage Subsidy

Executive Summary

This report presents findings from the Summative Evaluation of the Canada-Yukon Labour Market Development Agreement.

The Agreement came into effect on January 24, 1998—the Governments of Canada and Yukon undertaking to work in concert to design and manage programs and services to assist unemployed workers. The evaluation focussed on Employment Benefits and Support Measures delivered under the Agreement, as follows: Skills Development (classroom training including the classroom component of apprenticeship training); Targeted Wage Subsidy (subsidized employment); Self Employment (assistance to start self-employment); Job Creation Partnerships (work experience); and Employment Assistance Services (employment services including counselling).

Objectives for the Summative Evaluation were to:

• Measure the extent to which Employment Benefits and Support Measures were successful in achieving the objectives of the EI Act, Part II. Success was defined in the Act as the extent to which the active benefits and measures assisted persons “to obtain or keep employment”.
• Estimate the cost effectiveness of the interventions.
• Provide useable and relevant information to managers, policy makers and program designers on a number of formative and summative issues.

The evaluation used multiple lines of evidence, and focussed on client impacts for two groups of clients: active claimants (those with an Employment Insurance claim at or near the start of their participation) and former claimants (those eligible by virtue of an earlier claim). Other sub-groups of interest to Canada and Yukon were participants under Employment Assistance Services (due to their large number), apprentices, seasonal workers, Aboriginal people, and persons with disabilities.

Overall conclusions

The key conclusion of the evaluation is that participation in Employment Benefit and Support Measures within the Canada-Yukon Labour Market Development Agreement is beneficial for the 60% of participants who are active claimants. The 27% of participants who are former claimants do not benefit to the same degree. The study does not address why the two groups have different experiences or the incremental impacts for the 13% of participants who are apprentices.

Conclusions related to the three broad objectives of the evaluation were as follows:

• Success in terms of obtaining or keeping employment. Active-claimant participants experience incremental gains in annual earnings of between $3,000 and $4,000 in the first three years after participation. This is strong evidence of an impact of participation on employment among active-claimant participants. There are indications as well, however, that the program has an impact on the ability to obtain and keep employment among participants as a whole:
  • Almost all participants (95%) found employment after participation. Of those with employment, 86% were satisfied overall with their main job and 79% were satisfied with its pay.
  • Among those with employment, 47% required a diploma or certificate to get their main post-participation jobs. Of these, the program provided the required diploma or certificate for 51% over all and for 76% of Skills Development participants ^{Footnote 1} .
  • Also among those with employment, 82% required particular skills to get their main post-participation jobs. Of these, the program provided the needed skills for 38% over all and for 48% of Skills Development participants.
• Cost-effectiveness. From an individual perspective, participation results in an improvement (benefits exceeded costs to individuals) for active-claimant participants over all and, in particular for women, for Skills Development participants, or those who received only Employment Assistance Services. From a government perspective, participation results in an improvement (benefits exceed costs to government) in the case of active–claimant participants receiving only Employment Assistance Services. From a social perspective, participation results in an improvement (benefits exceed cost to society) for active-claimant participants over all and, in particular, for those receiving only Employment Assistance Services.
• Useable and relevant information for program designers and policy makers. The Labour Market Development Agreement:
  • Is relevant to the needs of clients, employers, and communities.
  • Is unknown by employers. Employers are only aware of participation in Employment Benefits and Support Measures if an individual is an apprentice or self-identifies as a participant.
  • Helps communities outside Whitehorse. It leads to or strengthens partnerships within community groups. Strong promotion and access to apprenticeship occurs and provides opportunities. Efforts to serve communities through other programs have been made but few opportunities exist, which limits effectiveness.
  • Accommodates the seasonal nature of the Yukon economy.
  • Plays a role (particularly through apprenticeship) in filling needs for occupational expansion and adjustment.
• Is more likely to assist participants with labour-market or economic adjustment for the following groups:
  • Those who leave their main line of work as a result of layoff or closure (13%).
  • The 57% who did not work in the same occupation before and after participation.
  • Those who worked for different employers but in the same occupation in both periods (11%).
  • Those who moved after participation (one-third), of whom 58% moved to take a job and 55% moved outside Yukon.
• Was helpful to about three-quarters of participants in terms of identifying employment goals and selecting a government program related to training or employment appropriate to their goals.
• Satisfied 80% of participants in terms of their programs taken. Ninety per cent of apprentices and ninety-one per cent of those taking mainly Skills Development were satisfied.
• Results in an appropriate sharing in the costs of participation for those who contribute to their back-to-work activities through a process called Negotiated Financial Assistance. Most (82%) who had negotiated the costs of their participation feel they paid an appropriate amount.
• Leads to positive impacts in terms of earnings gains, less use of EI, and decreased dependence on income support among active-claimant participants as a whole and among certain sub-groups, namely women, Skills Development participants, and those who received Employment Assistance Services only. Ranges of impacts are: $3,000 to $4,000 annually for earnings gains; $600 to $1,200 and 2 to 3 weeks annually for EI reductions; and reductions of 4 to 7 percentage points in dependence on income support.
• Results in fewer positive impacts for former claimants. Reductions occur in the use of Employment Insurance by $400 and $700 in two separate years and by 2 weeks in one year after participation.
• Although not designed to address literacy issues, the LMDA may do so through the Action Plan process. Forty-one per cent of participants say they needed help gaining literacy skills (defined as skills such as reading, writing, numeracy, and information or basic technology, which are useful in most jobs) when they started participation. While one-third experience difficulty participating and 7% find it very difficult to participate because of their literacy barrier, three-quarters say participation has been useful in removing it. In 20% of the cases in which the program provides skills needed to get a post-participation job, it was literacy skills the program provided.
• Is characterized by effective working relationships and creativity among its Joint Management Committee. Priority setting and planning are working well.

Findings by sub-groups of interest

Significant findings for particular sub-groups of interest to Canada and Yukon were:

• Participants who receive only Employment Assistance Services represent 37% of all participants. Among them, those who are active claimants (22% of all participants) receive less Employment Insurance (from $900 to $1,200 annually and 2 to 3 weeks annually) and have lower dependence on income support (from 4 to 6 percentage points) than they would have had they not participated. They also experience more earnings ($2,000) in the first and second years following the start of participation. Such participants experience improvements (benefits exceed costs) from social, government, and individual perspectives.
• Seasonal workers (defined as those who worked in seasonal activities prior to participation) represent 46% of all participants. The typical seasonal worker is male and did not complete a high school education. Seventy per cent continued to work in seasonal activities during and after their period of participation. Based on the evidence collected, Employment Benefits and Support Measures were responsive to the special needs of such workers arising from the seasonality of the labour market in which they worked.
• Aboriginal clients make up 19% of participants. Compared to other participants, Aboriginal participants are more likely to be female and to have less formal education and more dependents. After participating, Aboriginal clients are more likely to participate in (further) training, to move to take training, or to move to take a job.
• Their views about almost all changes since participation tend to be more positive than those of non-Aboriginal clients.
• Persons with disabilities represent 13% of participants. They are more likely to be older women and to have less household income at the start of participation compared to other participants. They are more likely to have identified needing help when they started their participation with the following: looking for or getting a job; having stability in their personal life or career; or making a career choice.
• Apprentices make up 13% of all participants. Almost all take Skills Development.
• Apprentices work more, both in the year before participation and following participation, than other participants. They are more likely to rate participation as important in enabling them to get their post-participation job and to have the highest satisfaction with their pay in this job. A higher proportion moved to take this job than any other group. They also had a more positive attitude toward changes in their lives since participation.

Management Response

The Canada-Yukon Labour Market Development Agreement (LMDA) was signed in 1998. It is related to the co-management of federal Employment Benefit and Support Measures (EBSMs) delivered under EI Part II. Section 12 of this agreement requires the Labour Market Partners to co-operate in evaluations to determine the extent to which these EBSMs are successful in achieving their objectives which are to assist persons in preparing, obtaining and keeping employment.

The LMDA Management Committee, a joint Canada-Yukon committee responsible for the planning and operation of the Yukon LMDA, oversaw the work of this evaluation through the on-going co-operation of the Joint Evaluation Committee. In preparation for the new LMDA, under which the design and delivery of EBSM-similar programming was transferred from Canada to the Yukon effective February 2010, the LMDA Management Committee has thoroughly reviewed the report of this summative evaluation.

The Government of Yukon, HRSDC and Service Canada, BC-Alberta-Territory (BAT) Region are committed to evidence-based decision making and continuous program improvement. On-going monitoring of EBSMs, which includes evaluation of specific programs and services, helps to better address client employment/training needs and improve outcomes for Yukon’s labour force.

This joint Canada-Yukon Management Response addresses three key areas highlighted by the summative evaluations: the functioning of the management relationship, findings related to programs and services and client impacts, and issues related to client data as new evaluations are planned.

Management Relationships

The evaluation stated that the LMDA Management Committee meets regularly and exhibits an effective working relationship. Priority setting and planning are working well. The Management Committee commits to retaining the on-going positive working relationships as we move forward into the devolved LMDA environment.

Programs and Services and Client Impacts

The evaluation considered the following EBSMs delivered in the Yukon: Skills Development (SD)–classroom training including the classroom component of apprenticeship training; Targeted Wage Subsidies (TWS)–subsidized employment; Self Employment (SE)–assistance to start a business or become self-employed; Job Creation Partnerships (JCPs)–work experience; and Employment Assistance Services (EAS)–employment services including counselling. In addition, the evaluation examined literacy issues that present barriers to Yukon job seekers in finding or keeping work. Overall, employment programs and services in Yukon are functioning well and are relevant to the needs of clients, employers and communities. The Management Committee concurs with these findings and feels this evidence reflects a strong service commitment among Service Canada staff, who are to be commended for making a valuable contribution to the lives of EI clients across Yukon.

Approximately 75% of participants were assisted in identifying employment goals and selecting an EBSM appropriate to these goals. Almost all participants (95%) found employment after completing their intervention, and among these, 86% were satisfied with their main job and 79% with the pay from that job. Among those who found employment after completing their intervention, 47% also stated they required a diploma or certificate to obtain their job. For these individuals, participation in an SD intervention was most likely to have resulted in a diploma certificate: 76% of those who completed an SD intervention earned a diploma/certificate as compared to 51% for those who participated in any EBSM in general.

Evidence of an earning gain is a strong indicator of a positive employment impact. Active claimants experienced annual earnings gains of $3,000 to $4,000; gains were even higher for SD participants ($3,300 to $5,100 annually). EAS participants increased their annual earnings by $2,000 in the first and second years since intervention start date.

The evaluation results demonstrated that, for active claimants, the benefits of EBSM participation exceeded the costs from the perspective of the individual and of society. The evaluation found that SD participants reduced EI use by $600 to $1,000 and by two to three weeks annually, and reduced dependence on income support in each of the following three years by five to seven percentage points. Most were satisfied with the programs they took and found the help they received was useful.

After participation, Aboriginal views about training tended to be more positive than those of non-Aboriginals. In addition, they were more likely to participate in further training, move to take training, or move to take a job. While EBSMs are not specifically designed to address literacy issues, the evaluation found that 75% of participants felt that their participation was useful in removing their literacy barrier, and the Management Committee is pleased with these results.

The evaluation results also highlighted that EBSM use was beneficial for the 60% of participants who were active claimants. Former claimants (27% of the total) did not benefit to the same degree. For example, the earnings gains and employment results experienced by active claimants were higher than those for former clients. The Management Committee agrees with this evidence, since many former clients have been out of the labour force for substantial periods of time, and face greater barriers to reemployment than do active claimants, who have more recent work experience.

Finally, this evaluation also found that, while EBSMs play a role in filling the labour market’s needs for occupational expansion and adjustment, programming did not always help employers to address skill shortages. A key reason for this was that employers were not fully aware of the spectrum of programs and services delivered under the LMDA.

Data For Evaluation Purposes

The evaluation report pointed to weaknesses in the client case management data and discusses the extensive work that was required to correct administrative data that identified seemingly identical interventions with different program names. Original source data was used to recreate intervention records that had been corrupted over time.

Considerations/Action Plan

• Moving forward, the Management Committee commits to retaining the current positive working relationships in the new LMDA environment.
• In the context of the transfer of LMDA programs and services, it will primarily be the responsibility of the Yukon Government to collect, update and maintain its data and information system which will be used for future evaluation.
• HRSDC and Service Canada, (BAT) Region and Yukon Government will work together to maintain and ensure regular monitoring of the quality and integrity of LMDA and other administrative data. Both will ensure that administrative data sources, particularly contact information and other fields, are regularly and appropriately completed to ensure their accuracy for use in future evaluations.
• The Canada-Yukon Management Committee will determine the need for a different mix of programs or additional supports/interventions to help former clients to succeed in the labour market and develop recommendations.
• To address the employers’ needs, the Government of Yukon, in the context of devolution, will engage stakeholders to develop a new approach to raise the awareness of LMDA programs and services.

Conclusion

The findings of the Canada-Yukon EBSMs Summative Evaluation provided valuable insight which will guide the delivery of employment programs and services in future.

Given the devolution to the Territory in February 2010 for EBSM design and delivery, further follow up will be done to ensure actions are taken to achieve better labour market outcomes for the Yukon people. The Government of Yukon, HRSDC and Service Canada, BAT Region will work together to ensure that programs and services continue to meet the need of the people of the Yukon.

1. Introduction

This report provides a summary of the Summative Evaluation of the Employment Benefits and Support Measures (EBSMs) delivered under the Canada-Yukon Labour Market Development Agreement (LMDA). It draws on technical reports prepared by the evaluators and consists of the following sections:

• Chapter I-Introduction—provides a description of EBSMs in Yukon, and highlights the purpose, scope and methods of the summative evaluation.
• Chapter II-Rationale, Design, Delivery, and Implementation-looks at these issues as well as literacy and follow-up of issues from the Formative Evaluation.
• Chapter III-Clients and their Experiences-addresses client characteristics; attitudes and quality of life; EBSM-specific factors; and post-program activities and experiences.
• Chapter IV-Client Impacts-looks at impacts of participation.
• Chapter V-Analysis of Costs and Benefits-examines the cost and benefits of participation.
• Chapter VI-Conclusions-provides the high level conclusions of the evaluation and findings by sub-groups of interest.

1.1 Canada-Yukon Labour Market Development Agreement

1.1.1 The Canada-Yukon LMDA

The Canada-Yukon LMDA came into effect on January 24, 1998. The Governments of Canada and Yukon agreed to work in concert in the design and management of programs and services, or Employment Benefits and Support Measures, that assist unemployed workers. ^{Footnote 2} The following Employment Benefits are delivered in Yukon:

• Skills Development (SD) provides financial assistance to help individuals obtain skills training needed in order to obtain employment. Skill training can range from basic to advanced skills and from a few days to years in length. Apprentices ^{Footnote 3} who receive a temporary layoff from their employer to take classroom training are eligible for SD support.
• Targeted Wage Subsidy (TWS) helps individuals, including those facing particular disadvantages, to find jobs by providing them with work experience. A wage subsidy is provided to the employer to encourage them to hire individuals they would not normally hire in the absence of the subsidy.
• Self-Employment (SE) assists individuals to become self-employed by helping them start their own businesses.
• Job Creation Partnerships (JCP) encourages sponsoring organizations to create incremental and meaningful work opportunities for individuals so that they may gain work experience to help them find on-going employment elsewhere.

The following Support Measures are delivered in Yukon:

• Employment Assistance Services (EAS) provides financial assistance to external service providers that provide employment services to unemployed persons. Types of activities covered under EAS include: individualized counselling, job search workshops, employment resources centres, and case management of the client.
• Labour Market Partnerships (LMP) encourage and support employers, employee and/or employer associations and communities to improve their capacity for dealing with human resources requirements and implementing labour force adjustment. There is no direct support to participants under LMP. Instead an indirect benefit may accrue through a better functioning labour market.
• Research and Innovation (R&I) supports activities that identify better ways of helping people prepare for or keep employment and be productive participants in the labour force. There are no participants under R&I.

Research and Innovation was not covered while LMP received only minor coverage in the evaluation due to their unique characteristics and indirect role in achieving client impacts.

1.2 Methodology

1.2.1 Objectives for the study

The objectives of the summative evaluation are to:

• Measure the extent to which EBSMs are successful in achieving the objectives of the EI Act, Part II. Success is defined in the Act as the extent to which the active benefits and measures assist persons “to obtain or keep employment”.
• Estimate the cost effectiveness of the interventions.
• Provide useable and relevant information to managers, policy makers and program designers on a number of formative and summative issues.

Sub-groups of interest to Canada and Yukon were participants under Employment Assistance Services (due to their large number), apprentices, seasonal workers, Aboriginal people, and persons with disabilities.

The study researched specified evaluation issues toward the achievement of the summative evaluation objectives. Findings particular to the sub-groups of interest were also identified.

1.2.2 Study methods

Although client outcomes are the primary focus, the perspectives of other stakeholders ^{Footnote 4} are included in the summative evaluation. The evaluation was designed to address specified evaluation issues through the following multiple lines of evidence:

• Profile of participants and their participation characteristics was constructed based on administrative data for participants under the Yukon LMDA between early 1998 and 2006/2007. Action Plan Equivalents (APEs) were formed of EBSMs separated by less than 6 months where each APE contained at least one EBSM funded under the Yukon LMDA. APEs might also include one or more EBSMs funded under Aboriginal Human Resource Development Agreements (AHRDAs) or another LMDA.
• Econometric analyses were conducted using administrative data only to produce estimates of incremental impacts on a variety of outcome indicators that could be attributed to participation under the LMDA. These analyses covered non-apprentice participants who completed in 2003 or earlier. This provided at least two calendar years of post-participation taxation data—the source of information on earnings, employment and Social Assistance (SA) outcomes. EI data were also used for the incremental analyses.
• Survey of participants covered participants in the periods 2000-01 to 2005-06 who were apprentices, or who were active or former claimants taking EAS only, SD or SE as their principal EBSM. Conducted in early 2008, the survey was affected by old contact information (36% of telephone numbers were not-in-service despite attempts to update them) and poor recall (92 potential respondents could not confirm details of their participation and were disqualified). The survey achieved 323 completions-113 EAS, 191 SD and 19 SE participants, and a response rate of 38% using the HRSDC response rate formula. ^{Footnote 5}
• Ten key informant interviews each lasting one to one and one-half hours on average. Interviews were conducted in-person and all occurred in Whitehorse. Key informants were selected based on their knowledge of the LMDA, EBSMs, labour market circumstances or literacy in Yukon.
• Two participant focus groups involving 21 attendees (15 and 6) were conducted in Whitehorse. The groups covered both apprentice and non-apprentice participants who had participated in a variety of EBSMs. The survey of participants was used to identify individuals willing to participate in a focus group. Whitehorse was the only community with sufficient numbers of volunteers to organize focus groups.
• Ten in-depth telephone interviews of participants selected randomly from among survey respondents from rural and remote areas outside of Whitehorse who had expressed interest in attending a focus group. Most had taken EAS only. Some had taken SD and one SE as their principal EBSM.
• Two employer focus groups involving six employers in total.
• One community partners focus group was held in Whitehorse. Six participants attended.
• A telephone conference call with EAS delivery staff involved seven delivery staff from across Yukon.

As a general note, any impact estimates reported from the incremental analysis or differences observed in the survey analysis are statistically significant at the 95% confidence level unless otherwise stated. To illustrate the strength of qualitative findings, coverage is specified as: most if a majority but less than all; or some if a significant minority supports the finding. Due to the unique nature of key informants, findings from even a small number of them are reported here, as these few may represent “all” that have sufficient expertise to be able to respond.

1.2.3 Study challenges and limitations

The relatively small number of participants under the Yukon LMDA and their high mobility represented the principal challenges faced by the study. These challenges reflect the reality of the Yukon population and present limitations in similar studies in the North.

Also problematic was the relatively small number of non-participants that would be available for a comparison group. Based on data from Statistics Canada, the Yukon labour force of about 15,000 in 2001 grew by about 900 individuals while employment increased by 1,800 to 2005. This resulted in a decrease in the rate of unemployment from 12% to 5% or down to 800 individuals.

In addition to limiting the opportunity for a survey of a comparison group this strengthening economy needed to be reflected in the estimated effects of participation in EBSMs.

In order to obtain sufficient survey completions among the Yukon participants, candidates were selected who had completed as early as 2000-2001. To improve the survey response rate, available secondary sources were used to try to update administrative sources of contact information that may not have been updated since participation. These early participants were likely harder to reach since they were more likely to have moved and may have had greater recall problems if they were reached resulting in a potential bias of unknown magnitude and direction.

To avoid such problems, the incremental analysis uses only administrative data, which have the advantage of being free of recall errors and are available for all participants. ^{Footnote 6}

Even though the survey had to go back many years, and the incremental analysis was restricted to using only administrative data, difficulties remained in addressing the particular sub-groups of interest for the study. Among sub-groups of interest, only participants taking EAS and apprentices can be identified with certainty from administrative sources. Further, no suitable comparison group exists for apprentices, limiting incremental estimates to EAS cases only. Participants within other sub-groups were only identifiable (reliably) through direct questioning. The telephone survey obtained relatively few completions of participants in some sub-groups ^{Footnote 7} due to the low incidence of most sub-groups in the population of participants and low overall completions (see above).

Prior to the survey and incremental analyses, considerable effort was made to correct administrative data that identified seemingly identical interventions with different program names. Original source data was used to recreate intervention records that had been corrupted over time.

Ultimately qualitative methods rely on those who attend focus groups and key informant sessions. Although sessions were well attended it is unknown what if any effect would have resulted from the participation of others.

2. Rationale, Design, Implementation, and Delivery

This chapter explores issues of program rationale, design, implementation, and delivery and follows up on issues of the formative evaluation.

2.1 Rationale

2.1.1 Assistance with labour market/economic adjustment of clients

Qualitative sources suggest that the LMDA assists in the labour market and economic adjustment of clients.

The LMDA is instrumental in filling the Yukon economy’s need for occupational expansion and adjustment according to key informants. The proactive role of LMPs to identify needs and ways to deal with needs was also highlighted.

Key informants identified a high demand for skilled workers in trades, and credited SD for helping to meet that demand through its support of classroom training of apprentices.

According to key informants, the requirement to show the existence of an identifiable need before SD funding is approved resulted in a channelling of support to growing areas of the economy. But they felt the LMDA focused on near term demand for occupations and did not provide training for longer term needs. For example, no funding was available for multi-year degree programs, as funding required a job in the short-term.

Further upgrading of skills could only be funded if this was identified as part of a career goal by the participant.

A minority of key informants felt the LMDA can only provide basic training, and as such does not address occupational demand. In contrast, other key informants believed that SD provides higher level skills training, and identified the apprenticeship program as being good at addressing this demand. Approximately one-quarter of clients in focus groups indicated they were taking training in an area that was in demand, while the remainder indicated they were upgrading or following their interests.

Those who change occupations were more likely to have been assisted through participation particularly those who participate in employment benefits (SD, TWS, and SEA, compared to EAS only). The survey asked respondents questions in order to identify the occupation of their main line of work before and after participation in an LMDA program.

Table 1 presents frequently occurring occupations of the main line of work ^{Footnote 8} prior to participation. Note that no single occupational group at the 4-digit National Occupation Classification (NOC) level represents more than 7% of the jobs prior to participation. Most of the main occupations occur in apprenticeable trades. Three-quarters (75%) of the jobs were in the private sector.

• Source: Participant Survey

The table presents similar information for the main line of work after participation. Again no single occupational group at the 4-digit NOC level represents more than 7% of the post-participation jobs and most of the main occupations occur in apprenticeable trades. Sixty-eight per cent of the jobs in the main line of work in the post-participation period were in the private sector.

Of the 322 who worked prior to participation, 15 (5%) did not work after participation. Of the 307 who worked after participation, 176 or 57% worked in different occupations in the pre- and post-participation periods. This suggests that the LMDA is more likely to have assisted with the labour market/economic adjustment of those who changed occupations. Of the 131 who worked in the same occupation in the two periods 45 worked for different employers. They comprise 15% of all participants who worked after participation, suggesting that the LMDA is more likely to have assisted in the labour market/economic adjustment of those changing employers. Also 13% of those who left their job in their main line of work prior to participation did so as a result of a layoff or closure, suggesting that this group was more likely to have been assisted with their labour market/economic adjustment.

As a result, LMDA participants, particularly apprentices, were said to fill Yukon’s needs for occupational expansion and adjustment. Labour market or economic adjustment is more likely through the LMDA for:

• Those who left their job in their main line of work prior to participation as a result of layoff or closure (13% of participants).
• Those who did not work in the same occupation before and after participation (57% of participants).
• Those who work for different employers after but in the same occupation as before participation (15% of participants).

2.1.1.1 Mobility

Moving by participants to look for, or to take, a job may be an example of how the LMDA is helping them with their labour market/economic adjustment. Since participation ended, one-third of participants had moved. Of those who moved the reasons for the move (multiple reasons could be provided) included: 58% to take a job, 50% to look for a job, 40% to reduce their costs of living, 29% to go back to school on a full or part-time basis, and 25% to take a training course. The majority of moves either occurred outside Yukon (55%) or within the same community in Yukon (26%). These percentages are likely under-estimated as those who moved are harder to locate in the survey.

As a result, the LMDA may assist in the labour market or economic adjustment of the one-third of participants who moved after participation: 58% to take a job and 55% to a location outside of Yukon.

2.1.1.2 Accommodating the seasonal nature of Yukon’s labour market

The ability of the LMDA to accommodate the seasonal nature of Yukon’s labour market is a potential issue given the magnitude of the seasonal labour market. (Forty-six per cent of LMDA participants worked in seasonal activities prior to participating.) Based on the collected evidence, seasonal workers do not identify any issues or problems related to their participation that interferes with their seasonal activities. As a result, EBSMs appear responsive to any special needs of such workers that may have been created through the seasonality of the labour market in which they worked.

Of those working in seasonal activities in their main line of work prior to participation, 70% continued to work in seasonal activities during their period of participation. Twothirds (67%) of seasonal workers who had set goals or actions to achieve when they began participation said they had met all the goals or actions. Of those not meeting all goals or actions none identified going back to seasonal employment as the reason although 10% identified getting (other) work as the reason. Among seasonal workers none identified returning to seasonal work after participation as a failure to reach their goals. Returning to other types of work was mentioned, however, by 10% as a reason for not meeting their goals or actions.

Those attending the community partners’ focus group believe that seasonal work is important to the Yukon economy. Due to the high turnover in this area they believe that the programs need to do more to help accommodate and address this feature of the economy.

Key informants had mixed views about the responsiveness to the seasonal nature of the labour market. Some believe that SD cannot be used to fund training for occupations that are seasonal in nature while others claimed there was no such discrimination against seasonal occupations. Some key informants identified EBSMs accommodating seasonal occupations as they believed that classroom training for apprentices was scheduled for low-demand periods while a few key informants believe TWS does not accommodate seasonal occupations given the long lead-times needed to establish a TWS.

Although few participants in the focus groups were engaged in seasonal employment, those that were, all indicated the program had accommodated them.

As a result, most but not all evidence suggests the LMDA is able to accommodate the seasonal nature of the Yukon economy.

2.1.2 Relevance to the needs of communities

Clients are the focus of the LMDA, however, the needs of a community may be addressed through the LMDA. This section assesses if the LMDA has successfully met community needs.

The LMDA is successful in contributing to the social development of communities and in creating opportunities for the community according to the results of the community partners focus group. Community stakeholders who attended the focus group believe the LMDA has an impact on community partnerships:

• Many EBSMs involve partnering (EAS, community-based JCP) or require partnering (LMP). As a result, EBSMs support partnerships both directly and indirectly including partnerships with government groups.
• While there is only one case manager for each participant, a number of external service providers may be involved in the participant’s activities leading to communication and partnership opportunities among community organizations. Increased partnerships are the natural outcome of the requirement to work together.
• While EBSMs may not necessarily foster specific partnerships, the growth of partnerships may be a consequence of the support received by groups in communities. Specifically, the LMDA support creates stronger community groups, which in turn result in stronger partnerships in the communities.

While key informants indicated that an effort was being made to serve communities outside Whitehorse they also believe that the lack of sufficient opportunities limits the overall effectiveness of such efforts. The exception to this general observation was apprenticeships, which are believed to provide opportunities and have strong promotion and access in communities outside of Whitehorse.

In summary, partnerships within community groups have emerged or been strengthened through the LMDA. Strong promotion and access to apprenticeship occurs in communities outside Whitehorse, and thus provides opportunities. While efforts to serve these communities through other programs have been made, the lack of sufficient opportunities limits effectiveness. The LMDA appears to contribute to social development of, and creates opportunities in, communities.

2.1.3 Relevance to the needs of employers

As mentioned earlier, clients are the primary focus for the LMDA. However through its support of skills acquisition by clients, the LMDA may address employers’ needs for skilled workers.

The need for staff is the primary reason employers hire LMDA participants according to key informants. They believe that the LMDA fills job vacancies indirectly by developing the skilled workers required for the job. Non-apprentice employers agree that the LMDA helps to fill job vacancies through the provision of skilled workers.

According to key informants, and verified in employer focus groups, employers are unlikely to know that a worker or a new hire has been a participant under the LMDA. In cases where the employer is aware, it is usually the case that the individual self-identified or was an apprentice.

Apprentice employers indicated that they usually hire an individual and only sponsor them for apprenticeship if they have proven themselves first as an employee. From their perspective, the LMDA was not instrumental in filling job vacancies but rather assisted in the training of apprentices once hired. Community partners believe, however, that the high demand for workers with trades skills has led to the hiring of apprentices to meet needs.

Community partners are the only group that believes the LMDA addresses skills shortages and that it was especially effective for the trades. Employers indicated that the LMDA did not help them address skills shortages, but this was because they were mostly unaware of the programs. (This view does not consider the LMDA potentially providing a pool of skilled workers from which employers could select employees to meet skill needs.)

Key informants think that the TWS program is unable to address skills shortages as employers are unwilling to train in essential or literacy skills, attributed to the large amount of paper work and limited subsidy. Employers agreed. Key informants suggest that employers like EAS and apprenticeship within SD. Further, key informants suggest that employers are unaware of other EBSMs. Employers confirmed their limited awareness of the LMDA and suggested more communication would be required to increase awareness of EBSMs. Apprentice employers also identified that they do not like the inflexible schedule of apprenticeship classroom training as it does not always fit with the availability of the individuals.

In conclusion, employers benefit when individuals gain skills through participation that they need. However, employers are generally unfamiliar with most EBSMs and are only aware of participation if an individual is an apprentice or identifies himself/herself as a participant. As a result, few are able to assess if EBSMs meet their needs. Minor criticisms were raised about the excessive paperwork related to TWS and inflexible schedules for apprenticeship classroom training.

2.2 Design, Implementation and delivery

2.2.1 Action Plans

2.2.1.1 Characteristics of participation

The Action Plan is a process by which activities are identified and undertaken to help the individual get back to work. However, previous evaluations have found the recording of the Action Plan within administrative systems insufficient for the purposes of characterising participation. As a result, evaluations have created Action Plan Equivalents (APEs) to act as proxies for the Action Plan.

The analysis of administrative data on participants between 1998 and 2003 resulted in the identification of 2,604 APEs, defined as a single or a series of EBSMs separated by less than six months.

Participant observations included all APEs that started and ended during the reference period and contained at least one EBSM funded under the Canada-Yukon LMDA. Such APEs could also include EBSMs funded under other LMDAs or under AHRDAs. The rationale for including such EBSMs was to attribute any observed effects to all the interventions received while acknowledging that some may have been funded outside the LMDA being evaluated. The proportion of Yukon LMDA, other LMDA and AHRDA EBSMs within Yukon APEs varies. For example, for active claimants taking EAS only it was 95%, 5%, 0% while for former claimants taking SD as their principal EBSM it was 72%, 7%, 21%.The high mobility of the Yukon population may contribute to the proportion with other LMDA experience. Participation in other LMDAs may be a result of the high mobility of the Yukon population. Participation in AHRDAs may reflect the high proportion of participants who are of Aboriginal descent (19% overall and 23% for former claimants).

During the reference period, 60% of the APEs (n=1,563) were taken by active claimants (a participant who had an active claim at the start or within 4 weeks after the start of their APE). Twenty-seven per cent (n=702) were taken by former claimants meeting requirements for eligibility based on an earlier claim within 3 years (regular claim) or within 5 years with no return to work since the claim (maternity or parental claim). The remaining 13% (n=339) were apprentices. The latter group was not part of the incremental analysis but was included in the participant survey.

Few differences in characteristics (other than the source of funds) were observed between the APEs of active or former claimants but more differences occurred when compared to apprentices. The average length of an APE was 25.7 weeks for active claimants, 21.1 weeks for former claimants and 10.7 weeks for apprentices. More differences exist across the principal EBSM (EBSM accounting for the most duration within the APE). Action Plan Equivalents with SE as their principal EBSM took the most time (55.1 weeks and 52.1 weeks for active and former claimants, respectively). Those that contained only EAS, took approximately 12.8 and 8.5 weeks for active and former claimants, respectively.

Active claimants waited an average of 15.2 weeks after the start of their claim to start their APE. By principal EBSM the average difference between start of claim and start of participation was: EAS only-12.7; SD-15.9; TWS-24.7; and SE-17.4 weeks. Note that active claimants can start participating up to 4 weeks before the start of their claim possibly resulting in a negative difference (that is the difference between dates for claim start and APE start is negative) for some individuals in the averages noted above.

2.2.1.2 Views on Action Plans

The views of key informants on Action Plans (AP) are varied. Some see the AP as critical to the success of participants. The process of developing an action plan helps clients to discard any preconceived notions and focus on their actual problems and possible solutions. Others believe the AP process asks too many personal questions and that clients feel intimidated—pressured by the "contract" nature of the AP.

Those who deliver programs believe that participants with Action Plans related to skills enhancement have higher success rates than those related to employment/job search.

They believe that many participants do not follow through on their APs as they lack motivation, thinking the AP is being imposed on them.

In participant focus groups less than one-half could remember working with someone related to an Action Plan and most of them suggested it had been related to setting employment goals.

Non-apprentice participants in our survey were asked if they recalled an action plan being created as part of their participation. Forty-eight per cent of non-apprentice participants ^{Footnote 9} recalled an action plan. More non-apprentice participants (71%) recalled having been assisted by someone at a government office or community organization as part of their participation. The 75% of non-apprentice participants who recalled either an action plan or being assisted by someone as part of their participation were asked whether they had set goals or actions at the start of their participation. Eighty-five per cent had and of them 74% completed all of their goals or actions. Those that had not completed all of their goals or actions identified the following reasons:

• Pursued other opportunities (found work, went back to school, started a business)- 37%.
• Life issue (illness/medical reasons, travel, family responsibilities, maternity/paternity leave)-22%.
• Program problem (financial difficulty/lack of funding, funding discontinued, programs not available in area, not satisfied with program)-15%.
• Personal issue (age makes it difficult to pursue, not ready/afraid, low literacy)-12%.
• Inappropriate/revised goals-10%.
• Still working on goals-2%.
• Other-2%.

Key informants believed that 50% of those who undertake an AP will complete it by achieving their intended goal of their desired job. Many others will not complete their AP, dropping out prior to completion to take some other job, given the strong labour market conditions in the reference period for the study.

Those who recalled being assisted by someone at a government or employment office or at a community organization as part of their participation were asked to rate the usefulness of the assistance.

A 7-point scale where 1 was "not at all useful" and 7 was "very useful" was used to assess the assistance in terms of identifying employment goals and selecting a government program related to training and employment appropriate to their goals. ^{Footnote 10}

The average score assigned by participants for the assistance they had received toward helping them identify employment goals was 5.3. Three-quarters rated the assistance they had received at 5 or higher on this scale. Those stating they needed help related to a career choice or a literacy issue rated the help as a 5.7 (81% rated it a 5 or above) and 5.6 (79% rated it a 5 or above), respectively, using this scale.

Participants rated the assistance in selecting a government program related to training or employment appropriate to their goals as 5.2 on average (73% rated it a 5 or above).

Those with a career choice need rated the assistance a 5.8 (81% rated it a 5 or above).

In the survey, participants working in seasonal and non-seasonal occupations prior to participation rated the assistance they had received equally in terms of its ability to identify employment goals and to select programs appropriate to their employment goals.

Key informants did not identify any differences for seasonal workers. Instead they felt the success of the action planning process depended on client commitment, buy-in, and setting of achievable objectives.

2.2.1.3 Views on programs within Action Plan

Participants who identified a particular employment barrier (the proportion identifying these barriers is discussed in the next chapter on clients) were asked to assess the usefulness of the program or programs they had taken in removing the barrier using a 7-point scale. By identified barrier, the usefulness of participation toward removing it was:

• Career choice-4.9 (with 63% rating it a 5 or more).
• Literacy-5.4 (with 74% rated it a 5 or more).
• Looking for or getting a job-4.8 (64% rated it a 5 or more).
• Needing stability in personal life-4.8 (67% rated it a 5 or more).

Participants were generally satisfied with their EBSMs according to key informants. Those in our participant focus groups were generally very satisfied with their EBSMs. In one focus group some felt their training experience had been very good but thought there should have been a placement service to assist them after training. Some also commented on the lack of follow-up to see if they had been successful. In rural areas, slightly more than one-half were satisfied with their programs.

The survey asked participants to assess their overall satisfaction with the programs they had taken. A 7-point scale was used where 1 was "very dissatisfied" and 7 was "very satisfied". The average assessment across all participants was 5.5 and 80% rated their overall satisfaction a 5 or more. Those who had taken SD as their principal program rated their satisfaction at 6.0. Ninety-one per cent rated it a 5 or higher. Apprentices rated their satisfaction at 5.8 with 90% rating it a 5 or higher.

The same scale was used to assess participants’ satisfaction with access to the programs or activities in their area. The average rating was 4.9 (69% rated it a 5 or higher) and for those taking SD as their principal EBSM, 5.2 (75% rated it a 5 or higher).

Those who had a job after participation (95%) were asked a general question on the main reason they found work. Nine per cent of those identifying a reason identified the program as the reason they found work. However, other reasons given might be linked to participation: continuation of work experience as an apprentice-5%; skills- 12%; and education-15%.

2.2.1.4 Summary of Action Plan experience

Action Plan Equivalents consisted of EBSMs separated by less than six months. There were 2,604 APEs between 1998 and 2003-60% with active claimants, 27% with former claimants, and 13% with apprentices. The principal EBSM of most active claimants was SD (51%), for former claimants it was EAS (57%), while for almost all apprentices it was SD (98%). Action Plan Equivalents averaged 26 weeks, 21 weeks and 11 weeks for these groups respectively. Action Plan Equivalents involving SE as the principal or main EBSM were longest (55 and 52 weeks for active and former claimants respectively) while those with EAS only were shortest (13 and 9 weeks respectively).

Government staff or third parties may help non-apprentice clients develop an AP. While about one-half of participants recalled an AP, a higher percentage recalled the fact that they received assistance. Of those who recalled either the AP or receiving assistance, 85% set goals or actions to achieve, and among these 74% confirmed achieving them. Main reasons for not achieving goals were: 37% pursued other opportunities (found other work, went to school), 22% faced a life issue (illness, family responsibilities, pregnancy) and 15% experienced a problem with the EBSM (funding discontinued, program not available in area, not satisfied with program).

Rating the help received using a 7-point scale where 7 was "very useful":

• 75% found it useful (5 or above) in terms of identifying employment goals.
• 73% found it useful in selecting a government program related to training or employment appropriate to their goals.

Using a similar scale 80% said they were satisfied (5 or above) with the programs they had taken. Ninety per cent of apprentices and 91% of those taking SD were satisfied.

The above suggests that although only one-half recall the Action Plan, the action planning process appears to be working to assist participants and most find it useful. This evidence of outcome is in keeping with later findings of the incremental impacts for participants— most of whom would have experienced this process.

2.2.2 Experience related to Negotiated Financial Assistance

The financial ability to contribute to the costs of SD participation is determined through a process called Negotiated Financial Assessment. Those who can are required to contribute to cover some of the costs of participation. The amount is negotiated based on the costs and the individual’s ability to contribute.

Survey respondents identified how much of their own money they had contributed to such activities. Seven per cent refused to identify an amount and 10% did not know. Of those who did identify an amount, 50% suggested it was $200 or less, and 25% identified $2,000 or more. The average contribution among those who provided a dollar amount was $1,500.

Twenty-one per cent of those who contributed to their back-to-work activities said they had negotiated the amount. The percentage negotiating the amount was lower for apprentices (5%) and higher for SD (23%). Most (82%) who had negotiated the costs of their participation felt they had paid an appropriate amount toward their participation.

Apprentices in focus groups felt that the amount they received for travel-related expenses was insufficient. Actual travel cost to Alberta or other provinces and accommodations in a hotel or shared house was more than the allowance provided.

Participants in focus groups suggested the cost of transportation creates a barrier even within Whitehorse. No bus service is available after hours to Yukon College and taxi fares can cost $30. The "handy bus" for persons with a disability can only be used once per week and must be booked months in advance.

In summary, participants are encouraged to contribute to their back-to-work activities through a process called Negotiated Financial Assistance. Of those who identified an amount they had contributed, 50% identified it was $200 or less, and 25% identified $2,000 or more. The average contribution among those who provided a dollar amount was $1,500. Most (82%) who had negotiated the costs of their participation felt they had paid an appropriate amount toward their participation.

2.3 Follow-up to Formative Evaluation

An issue from the formative evaluation was the extent to which LMDA management and coordination/committee structures were affecting EBSM planning and priority setting and EBSM design and delivery.

Key informants reported that the Joint Management Committee meets regularly and exhibits effective working relationships and creativity. Priority setting and planning are working well. They believe that management has been effective in using funds to update community profiles and update Yukon Work Info Net (web-based local, national, and global labour market information).

3. Client Characteristics and their Experience

3.1 Introduction

This chapter explores LMDA clients and their experiences. More specifically, it explores: LMDA client characteristics; attitudes and quality of life of clients; EBSM-specific factors; post-program activities; and client experiences.

3.2 LMDA Clients

Data analysis identified participation which ended ^{Footnote 11} by fiscal year. Results are presented in Table 2 by active or former claimant or apprentice status of the participant and by their principal or longest EBSM. Most clients, and especially active claimants and apprentices, had SD as their principal EBSM. Most former claimants had EAS only.

3.2.1 Client characteristics

• Participants are almost equally divided among males and females. Apprentices and those whose principal EBSM was SD are significantly more likely to be male while EAS only participants are more likely to be female.
• The average age at the time of the survey was 43. Apprentices and those with SD as their principal EBSM are significantly more likely to be 35 years of age or less. Former claimants are significantly more likely to be 46 years of age and older and EAS only participants more than 55 years of age.
• Some participants identified themselves as being part of the following target groups: Aboriginal—19%, visible minorities—5% ^{Footnote 12} and persons with disabilities—13%.
• At the time they began participation, 43% of participants were single. Apprentices are more likely to be single (55%) and former claimants least likely to be single (35%).
• Relative to former-claimant participants, active-claimant participants are more likely to be without children under the age of 18 when they started participation.
• Apprentices are significantly more likely to have graduated high school when they began participation. Over all participants, 25% have less than a high school education and 26% have a high school or equivalent education. Eleven per cent have some college, 22% have graduated college and 16% have at least some university education. Among apprentices, however, 44% have high school or equivalent education.
• The median annual household income for all groups was between $30,000 and $40,000 when they began participation.
• Apprentices are significantly more likely to be supporting 5 or more household members when they began participation.
• Compared to participants over all:
  • Aboriginal participants are more likely to be women, to have less formal education, and to have more dependents.
  • Seasonal workers are more likely to be men and have less formal education.
  • Those with a disability are more likely to be women, to be older, and to have less household income at the start of participation.

The EI history of the average active-claimant participant shows EI benefits to be high and increasing in each year leading up to participation. EI benefits peak in the 1^st quarter before participation for the average active-claimant participant. For the average former claimant EI benefits peak in the 3^rd or 4^th quarter before participation, depending on the principal EBSM, and decline closer to APE start. This likely corresponds to the timing of the end of the claim for the average former-claimant participant.

3.2.2 Barriers to employment

Non-apprentice clients were asked to identify impediments to their looking for, finding, or keeping employment that they needed help with removing at the time they began their participation. Responses are summarized in Table 3.

• Source: Participant Survey
• Notes: * Small number of responses
• ** Extremely small number of responses.
• *** Defined as skills useful in most jobs such as reading, writing, numeracy, and information or basic technology Percentages may not add to 100 due to rounding.
• Not asked of Apprentices

One-half of all respondents identified needing help in looking for or getting a job. Groups identifying needing this help were those with household income less than $20,000 (70%), less than a high school education (60%), household income between $20,000 and $30,000 (58%), those supporting one dependent (58%) and those with a disability (56%).

Forty-two per cent of all participants identified needing stability in their personal life or career. Groups identifying a high incidence of needing help in this area were those with household income less than $20,000 (66%), those with a disability (56%), and those with one or two children (51%).

Literacy skills were defined as skills useful in most jobs. Such skills include reading, writing, numeracy, information or basic technology. As noted earlier, 41% of all participants identified needing help in this area. This earlier section discussed the characteristics of those more likely to identify needing help with literacy skills.

About one-third report needing help making a career choice. Groups in which a high proportion of participants needed help with choosing a career included those with a disability (43%), those with less than a high school education (41%), those who have completed at least part of the course work needed for a university degree (39%), those with household incomes less than $20,000 (39%), and those with household incomes between $20,000 and $30,000 (38%).

Table 4 presents cases of multiple barriers. The first column of data indicates proportions of participants who have experienced each of the four barriers to employment. The remaining columns show the percentages among these that experienced other barriers as well. For example, 41% of all participants needed help gaining literacy skills (from column 1). Among these, 54% also needed help making a career choice, 54% also needed help looking for or getting a job, and 56% also needed help having stability in their personal life or career. The table indicates that a number of participants face multiple barriers that may influence their ability to look for, find, or keep a job.

• Source: Participant Survey
• * Defined as skills useful in most jobs such as reading, writing, numeracy, and information or basic technology

3.2.3 Literacy

Literacy is defined in this study as the possession of skills, such as reading, writing, numeracy, and information or basic technology, that are useful in most jobs.

Key informants believe that, although the International Adult Literacy Survey ^{Footnote 13} has not identified a literacy problem in Yukon, the survey likely missed pockets where the problem existed, or had somehow excluded those with low literacy. They believe that while literacy levels varied in Whitehorse the problem could be more severe in rural communities. Teslin in particular, was identified as an area with significant literacy deficits. Often literacy was bundled with other barriers to employment such as low education and low self-esteem.

In the community focus group, attendees noted that the incidence of a literacy problem is "reportedly" low. However, all agreed that it is very difficult to identify the true literacy level. Attendees indicated that most clients are not comfortable identifying themselves as having a literacy problem and "hide" this information. They also identified literacy as often bundled with other employment barriers.

Findings from the survey related to literacy include:

• 41% indicated they needed help gaining literacy skills when they began their participation in the program.
• Those more likely to need help gaining literacy skills were those with less than a high school education (59%), a high school education (50%), household income less than $20,000 (57%), and household income between $20,000 and $30,000 (51%).
• Of those needing help gaining literacy skills, 42% also needed help making a career choice, 65% needed help looking for or getting a job, and 56% needed help gaining stability in their personal life or career.
• Those who identified a literacy barrier were asked to identify how difficult it was to participate in their government programs related to training and employment because of this barrier. The average response for this group was 3.3 on a 7-point scale where 1 represented "not at all difficult" and 7 was "very difficult". Sixty per cent of those with a literacy barrier rated the degree of difficulty as three or less. A full 25% rated it a "1" or "not at all difficult". In comparison, 30% rated their degree of difficulty in participating as a 5 or more. Only 7% rated it a "7" or "very difficult".
• Participation was useful (a 5 or more on a 7-point scale where 7 was "very useful") in removing their literacy barrier according to 74% who identified having one.
• One-quarter of participants indicated the program had provided them with skills they did not have, but needed, in order to get their post-participation job. Among these participants literacy skills were mentioned by 20% (after technical skills at 29%, and computer skills at 25%) as the skills provided by the program.

Key informants indicated that, subject to the availability of individuals able to help, literacy can be addressed in the Action Plan process. However, participants sometimes try to hide their literacy deficit and do not identify it as an issue that should be addressed in their action plans. It may come up later through working with the individual or be identified through an accident caused by an inability to read warning signs, through lack of labour market performance, or through shying away from the labour market.

Key informants suggested that while employers want literate workers, EBSMs are not designed to specifically address literacy. However, those with low literacy are not excluded from participation. (Those who deliver programs noted that exceptions may occur whenever a college offering SD-supported training requires literacy as a prerequisite.) Accommodations can be made for those with low literacy, such as providing pictograms or assistance through a service organization (funded outside the LMDA).

In summary, although the International Adult Literacy Survey did not identify literacy as a problem, the participant survey found that a large minority (41%) had a literacy barrier. Accommodations to assist participants of EBSMs can be made for those who identify having a literacy barrier. However not all participants identify facing this barrier. Almost one-third with a literacy barrier found it difficult and 7% found it very difficult to participate because of it. Almost three-quarters with a literacy barrier said participation had been helpful in removing it. Of those who got a post-participation job through new skills, 20% thought they did so because participation provided them with literacy skills. As a result, the LMDA appears to help many of those with a literacy barrier address it.

3.3 Experience Participating in Specific EBSMs

This section addresses issues aimed at two specific types of EBSM in the evaluation matrix. Due to the small numbers of participants in TWS and JCP, no estimation of incremental effects of participation was conducted for them and such participants were excluded from the survey of participants. The matrix included no issues aimed specifically at participants who received only EAS.

3.3.1 Experience participating in Skills Development

Ninety-eight per cent of those identified in administrative records as having participated in SD confirmed they took classroom training in a community college, school or training institute. Those confirming SD participation were asked further questions about their experience.

Almost one-half had taken trades training/apprenticeship (45%). Other principal courses or fields of study taken include: developmental studies (upgrading to grades 9 to 12) (11%); medical assistant (7%); business administration (7%); office administration (6%); computers/information technology (5%); and college preparation course (5%).

Forty-one per cent of all participants identified that the classroom training they participated in had been part of the requirements to become an apprentice. ^{Footnote 14} However, this percentage may be understated, as there is reason to believe that respondents may have misunderstood the question pertaining to classroom training: only 63% of apprentices (instead of the expected 100%) identified the classroom training as being part of their apprenticeship.

Seventy-three per cent of SD participants said they received a certificate or diploma as part of their classroom training. A trade certificate (44% of those receiving certificates/diplomas) was most frequently mentioned. Other principal mentions include: high school equivalent (6%); first aid/safety/WHMIS ^{Footnote 15} training (6%); office administration/secretary (6%); and business administration (5%).

In summary, slightly less than one-half with SD as their principal EBSM take trades training/apprenticeship. Most (73%) identify a certificate or diploma resulting from their classroom training and of these 44% received a trade certificate. These are indicators of outcome through SD participation. In a later section we explore the incremental impacts of SD for non-apprentice clients.

3.3.2 Experience participating in Self-Employment

We obtained 19 survey completions of participants of the Self Employment program. All confirmed that they had participated in SE. Given the small number of respondents we report results as whole numbers instead of using percentages to emphasize the care required in interpreting the results from this small group of SE participants.

Ten of the 19 were running their businesses at the time of the survey. Of those not running their business (9) all but one participant had started a business. Main reasons ^{Footnote 16} for not running businesses at the time of the survey were (multiple responses possible) health reasons/on disability (4) and went to work for someone else (2).

Of the 18 that started a business, the average per cent of earnings derived from the business was 52%. Five individuals had derived all of their earnings from the business. Of the 18 starting businesses, 16 had started the business after participation began and all but one (15) credited the program with enabling them to start their business. Sixteen of the 18 participants reported a positive impact of the program. These businesses had employed an average of 0.8 people in addition to the participant.

In summary, almost all who participated in SE had started a business and about one-half were running it at the time of the survey. Of those who started one, the average per cent of earnings derived from the business was 52%. Almost all reported a positive effect by the program and those who did reported employing 0.8 people on average in addition to the participant. These are indicators of outcome through SE participation. However there were insufficient numbers of SE participants to conduct an analysis to determine incremental results.

4. Client Impacts

4.1 Employment Experience

This section discusses the employment experiences of participants. Three periods are considered—before, during and after participation.

4.1.1 Characteristics of main line of work prior to participation

Survey respondents were asked to identify details of their main line of work (the one providing the most earnings) before participation began. The most frequent occupations identified for the main line of work prior to participation were provided earlier in Table 1. No occupation represented more than 7% of the total. The main line of work for 46% of respondents was seasonal in nature, averaging 6.9 months in duration. Those who did not complete high school were significantly more likely to work in seasonal employment prior to participation.

When the job in the main line of work ended prior to participation it was most often the result of:

• Work season coming to an end – 33%
• Layoff or closure – 13%
• Release from work to take classroom training – 7%
• End of contract – 5%
• Medical/health reason (injury) – 5%

Those with less than a high school education were significantly more likely to identify the reason the job ended as the work season coming to an end (recall more were in seasonal work). Apprentices were significantly more likely to identify being released to attend classroom training.

4.1.2 Proportion of time worked

Participants worked 69% of the year prior to participation. Apprentices worked significantly more (at 83%) than either active claimants (at 67%) or former claimants (at 68%). (Some former-claimant participants may have worked prior to their participation but were unable to establish an EI claim for a variety of reasons. These include quitting their pre-participation jobs, having been fired with just cause, having been self-employed, or having been paid by the piece by their employer.) Males (74%) worked significantly more than females (65%) before participation as did those in non-seasonal occupations (78%) compared to those in seasonal occupations (62%).

While a few respondents (4%, n=10) had not worked in the year before participation ^{Footnote 17} , 28% worked for the full year. Five per cent (n=15) did not work ^{Footnote 18} after participation, while 36% worked during the entire post-participation period (100% of time). Participants as a whole worked an average of 76% of the time in the post-participation period. Apprentices worked significantly more at 86% than did non-seasonal workers, at 81%. Differences in results across EBSMs and gender ^{Footnote 19} are not statistically significant.

Slightly less than one-half of participants worked at some time during their participation. The average proportion of time worked identified by respondents was 27%. Apprentices and those taking SD as their principal EBSM had the lowest proportion of time worked at 18% and 21% respectively. Full-time attendance is required for the classroom training potentially limiting the ability of participants to work. Despite this, 6% of SD participants and 4% of apprentices identified working 100% of the time during participation and 19% of SD participants and 18% of apprentices suggested they had worked more than 50% of the time while participating.

While participating, former claimants worked for a significantly greater proportion of the time (34%), possibly because they were not eligible to receive EI benefits while participating. Those with lower household income also worked more while participating, possibly also as a result of greater need. Those with less than $20,000 in annual household income worked an average of 38% of the time and those between $20,000 and $30,000 worked 31%.

There was no statistically significant difference in the amount of time worked between those who were and those who were not employed in seasonal activities prior to participation. Of those seasonally employed before participation who worked while participating, 70% said they had been able to continue to work in seasonal employment during participation.

4.1.3 Job similarities before and after participation

Seventy per cent of those who worked in seasonal employment prior to participation found work in seasonal jobs after participation. Those who were single were significantly more likely (at 83%) to continue to work in seasonal employment, compared to those who were married (at 56%).

Of those who worked after participation, 34% had returned to the same employer they had worked for prior to participation. Apprentices (at 56%) and males (at 40%) and those in seasonal jobs prior to training (at 43%) were significantly more likely to return to the same employer. Of those working for the same employer (n=105), 91% (or 96 individuals) also were in the same job in both periods.

Table 5 provides the frequency of cases and the percentage of those cases where an individual worked in the same occupation and cases where they worked for the same employer in the same occupation in both the pre- and post-participation periods. Note that most occupations identified in the table are trades and many are seasonal in nature.

4.1.4 Post-participation employment

Participants who found employment assessed their degree of satisfaction with the job in their main line of work after participation. Both overall job satisfaction and satisfaction with the pay received were assessed on a 7-point scale where 1 was "very dissatisfied" and 7 was "very satisfied". Participants rated overall satisfaction as 5.7 and satisfaction with pay at 5.5. Eighty-six per cent rated their overall satisfaction as a 5 or above, while 79% rated satisfaction with pay as a 5 or above. There was no difference in overall job satisfaction across the various characteristics of respondents. Apprentices had a statistically higher rating of their satisfaction with pay at 5.8.

Participants were asked the main reason why they succeeded in finding employment after participation, with a focus on their main line of work. The employment program or activity taken during participation was cited by 9%. Other reasons given were:

• Previous experience-27%.
• Education-14%.
• Skills-11%.
• Personal contacts-9%
• Demand for trades people/shortage of personnel-5%.
• Continuation of work experience as an apprentice-5%.

Some groups were statistically more likely to identify certain reasons for finding employment following training:

• Apprentices identified demand for trades people/shortage of personnel (16%) and continuation of work experience as an apprentice (13%).
• EAS participants identified previous experience (34%).
• Those with less than a high school education identified previous work experience (37%).
• Those with at least some university education cited personal contacts (16%).
• Females identified education (21%).
• Males identified demand for trades people/shortage of personnel (7%).

Participants were also asked to identify the importance they placed on participation as the vehicle that has enabled them to find employment in their main line of work following participation. A 7-point scale was used to assess the importance, where 1 indicated "very unimportant" and 7 indicated "very important". Twenty-six per cent rated importance as less than 3, and 17% rated it a 1 or "very unimportant". In contrast 63% rated importance as 5 or more and 36% rated it a 7 or "very important".

The average rating of the importance of participation as the vehicle enabling participants to find post-participation employment in their main line of work was 4.8. Ratings by apprentices (5.9), those taking SD including those who were apprentices (5.5) and those whose household income when they started participation was $20,000 to $30,000 (5.5) were more positive and statistically significant. Ratings by those with at least some university education (3.9) were less positive but statistically significant.

Forty-seven per cent of participants with a post participation job said a diploma or certificate was required to get the job in their main line of work. Of these, 51% ascribed it to the program in which they had participated. Participants in SD were statistically more likely to credit the program. Of SD participants who said a diploma or certificate was required to get the job in their main line of work, 76% said they had obtained it through the program.

Eighty-two per cent of participants with a post participation job said the job in their main line of work required a particular set of skills. Thirty-eight per cent of participants said they did not have these particular skills when they began their participation. Those taking SD (48%) were statistically more likely not to have these needed skills when they began participation. Of those initially not having the prerequisite skills, 83% said they acquired them through the program. Ninety-one per cent of SD participants not having the skills needed to get the job when they started said they acquired them through the program. The most mentioned skills needed to get the job that were provided by the program were:

• Technical-29%
• Computers-25%.
• Literacy-20% identified as writing skills (communicating through words)-9%, numeracy/arithmetic skills -8%, and reading skills-3%.
• Managerial-10%.
• Financial/accounting-9%.
• Health care/nursing/dental hygienist-7%.
• Administrative/office administration-7%.
• Work experience/hands-on experience/knowledge-5%.
• Trade/apprenticeship-5%.
• Communication-5%.

Participants were also asked to identify how (or how else) the program had helped them. Participants could provide multiple responses. Main ways that the program helped were:

• Provided diploma/certificate-15%.
• Provided job-specific skills-15%.
• Provided general skills-14%.
• Taught how to look for/find a job-11%.
• Taught self-employment skills-5%.

4.1.5 Employment experience of participants

The following summarizes the employment experience of participants.

The proportion of time worked in the year prior to, during, and in the period (which could be years) after participation was 69%, 27%, and 76%. Almost all (95%) had found some employment after participation. Of those with at least one job, 86% were satisfied overall with their main job while 79% were satisfied with its pay (5 or higher on a 7-point scale). Of the few (5%) without a job after participation, the main reasons were: sickness/disability; no work/jobs available; full time attendance at school; and seasonal work not being available.

Nine per cent identified the program or activity they participated in as the main reason they found work. When asked directly in a question using a 7-point scale, where 7 was "very important", 63% felt the program or activity was important (a 5 or more) to them getting employment. Apprentices (81%) and those taking SD as their principal EBSM (77%) rated participation as being more important.

Forty-seven per cent of participants with a post-participation job said a diploma or certificate was required to get their main job after participation. Of them, 51% said the program had provided it. Participants in SD (76%) were more likely to credit the program.

Eighty-two per cent of participants with a post-participation job said the job in their main line of work required a particular set of skills. Thirty-eight per cent of participants said they did not have these particular skills when they began their participation. Those taking SD (48%) were more likely not to have these needed skills prior to participation. Of those not having the prerequisite skills, 83% overall and 91% of SD participants said they acquired these skills through the program.

4.2 Post-Participation Experience

Participation may affect the post-participation experience of individuals. This section looks at activities engaged in by participants after participation. However, because no comparison is made with the activities of non-participants in a similar period these activities should be viewed as being indicative only of an impact through participation.

4.2.1 Activities to improve skills after participation

After participation ended, 57% of participants had taken a training course, 33% had gone back to school on a full or part-time basis, and 53% had increased their skills through volunteer activities to help them gain skills. Aboriginal clients (71%), those who had completed some or all of their community college education when participation began (67%), and those who had household income between $20,000 and $30,000 when they started participation (64%), were significantly more likely to have participated in training after participation. Those who had household income between $20,000 and $30,000 when they started participation (46%), and those who had completed some or all of their community college education when participation began (46%) were also statistically more likely to have gone back to school on a full or part-time basis. Former claimants (68%) and those that had completed some or all of their community college education when participation began (68%) were more likely to have increased skills through volunteer activities.

4.2.2 Move since participation

Since participation ended one-third had moved ^{Footnote 20} . Of those who moved the reasons for the move (multiple reasons could be provided) were: 58% to take a job, 50% to look for a job, 40% to reduce their costs of living, 29% to go back to school on a full or part-time basis, and 25% to take a training course. Some of the moves to look for or to take a job may be examples of the LMDA assisting with labour market/economic adjustment but we have no direct evidence from our survey. Most moves had occurred outside Yukon (55%) or within the same community in Yukon (26%).

Apprentices and those of Aboriginal descent (both at 18%) were statistically more likely to move to take training. Those who had household income of between $20,000 and $30,000 (18%) and those who were single (13%) when participation began were statistically more likely to move to go back to school. Aboriginal participants (34%) and those who were single (27%) were statistically more likely to move to look for a job. Aboriginal clients (29%), males (27%), those employed in seasonal work prior to participation (24%) and those with no children (23%) were statistically more likely to move to take a job.

4.2.3 Summary of post-participation experience

Since participation, 57% had taken a training course, 33% had gone back to school and 53% had increased their skills through volunteer activities. At least one-third had moved. Not all of these impacts may be attributable to the effects of participation.

4.3 Perceived Changes since Participation Started

Participants were asked the extent of their agreement to statements concerning changes since they started the program using a 7-point scale where 1 represented "strongly disagree" and 7 "strongly agree" to the statement. The changes perceived by individuals may not all be due to participation, however. An assessment of a change attributable to participation would require similar data for a suitable comparison group.

Average responses on perceived changes are identified in Table 6. The assessment of all the changes listed in Table 6 was positive, except for willingness to move to another community to find work.

Note that apprentices and participants whose principal EBSM was SD scored all of the changes more positively than the average. Differences are statistically significant in almost all cases. Results for those of Aboriginal descent (not shown in the table) were also more positive and statistically significant compared to other groups concerning all the changes other than their willingness to move to another community to find work.

The table also displays the average assessment scores of participants who had a literacy barrier when they started participation. Their scores are not significantly different from those of all participants. This suggests that those who identified a literacy barrier were as “strong” in their agreement to statements about positive changes after participation as the average participant.

In summary, when asked a series of questions about changes (higher skills, more confidence, etc.) since the start of participation, participants generally were positive (average of 5 or more on a 7-point scale). The only exception concerned their willingness to move to another community to find work. Apprentices and participants taking SD as their principal EBSM were generally more positive on all changes.

• Note: Agreement measured on 7-point scale where, 1 is "strongly disagree' and 7 is "strongly agree'"
• Bolding indicates statistical significance at the .05 level.
• * Small number of responses.
• ** Extremely small number of responses.

4.4 Incremental Impacts through Participation

An analysis was conducted of incremental impacts, due to participation, on:

• Annualised earnings.
• Annualised EI benefits.
• Annualised weeks on EI.
• Annualised SA benefits.
• Dependence on income support [(EI+SA)/(EI+SA+earnings)].
• Indicator of employment (0,1). ^{Footnote 21}

These estimates are provided for the following groups of participants:

• All active claimants.
• Female active claimants.
• SD active claimants.
• EAS active claimants.
• All former claimants.
• Female former claimants.

Methodological considerations leading to these groups were: active and former claimants are different and should not be pooled, and EAS only (due to its size and expenditure of LMDA funds) should also be treated as a significant intervention on the same basis as SD. Many other groups were too small to be included. Interest in the potential for a differential impact by gender led to separate groups for females.

Estimates ^{Footnote 22} were produced for a number of time periods—during participation, annual periods measured from the start of the APE, annual periods measured from the end of the APE, calendar years measured from the start of the APE, and calendar years measured from the end of the APE. Given the sheer volume of the estimates and the alternative time periods and overlapping time periods the text provides a high level summary, focusing only on estimates that are significant at the 95% level.

Table 7 shows estimates for years measured from the APE start date, the APE end date, and for the during-participation period. The latter are provided on an annualized basis for comparability with the other yearly estimates. The annualised estimates for the in-program period should be understood with the actual duration of the APEs in mind, which are, on average 25.7 weeks for active-claimant participants as a whole; 12.8 weeks for active-claimant participants taking EAS only; 32.4 weeks for SD active-claimant participants; and 21.1 weeks for former-claimant participants. Results that are statistically significant at the 95% level of confidence are bolded in the table.

• Note: Bolded estimates are significant at the 0.05% level of significance

Participation leads to the following broad incremental impacts in the post-participation period:

• Active-claimant participants have increased earnings (from $3,000 to $4,000 annually), make less use of EI (from $800 to $1,000 annually and 2 to 3 weeks annually), make less use of SA ($100 less in years one and two), and have a lower dependence on income support (from 5% to 7%).
• Female active-claimant participants have increased earnings (from $2,500 to $3,400 annually) make less use of EI (from $900 to $1,100 annually and 2 to 3 weeks annually), and have a lower dependence on income support (from 5% to 7%).
• Active-claimant participants with SD as their principal EBSM have increased earnings (from $3,300 to $5,000 annually), make less use of EI (from $600 to $1,000 annually and 2 to 3 weeks annually), make less use of SA in the third year after participation ends ($200), and have a lower dependence on income support (from 5% to 7%).
• Active-claimant participants with EAS as their principal EBSM experience less use of EI (from $900 to $1,200 annually and 2 to 3 weeks annually), and a lower dependence on income support (from 4% to 6% annually). (Measuring from the start of the APE they also have more earnings ($2,000) in the first and second years.)
• Former-claimant participants see lower EI use in some years ($800 and 2 weeks in year one and $400 in year two).
• Female former-claimant participants have no post-participation impacts. There is an increased dependence on income support while participating (7%).

In summary, participation resulted in:

• Positive impacts in terms of earnings, less use of EI and decreased dependence on income support for all active-claimant participants and for sub-groups of active claimants (females, those taking SD or EAS as their principal EBSM).
• Results were mixed for former-claimant participants. Reductions occurred in EI use after participation but reduced earnings, more SA use and an increase in dependence on income support occurred during participation.

This is strong evidence of a positive impact through participation, especially for active-claimant participants.

5. Analysis of Costs and Benefits

This chapter compares the costs and benefits of participation under the Yukon LMDA from three perspectives—participant, government, and society. Incremental estimates presented earlier and estimates of taxes paid are used in the assessment of the benefits to these groups. Program expenditure data and costs borne by participants are used for costs. Together these help produce a simplified benefit-cost analysis of participation.

5.1 Program Cost per Action Plan Equivalent

Government costs of participation were estimated based on the number of EBSMs in the average APE and cost of EBSMs. Average costs per EBSM were derived from the number and expenditure on EBSMs in the period 2001/02 to 2005/06 identified for the Yukon LMDA in annual Monitoring and Assessment Reports. This period corresponds to the majority of the APEs used to generate the incremental estimates of Chapter IV and provides stable estimates for the benefit-cost analysis. Due to the limited number of examples of JCP in Yukon the value for JCP is based on an average across all the jurisdictions. Average costs by EBSM are estimated to be: EAS-$2,210; SD-$8,039; TWS-$4,462; SE-$23,076 and JCP-$7,960. ^{Footnote 23} Table 8 presents the average costs per APE based on the number of EBSMs in the average APE and the average costs per EBSM identified above. For example, the average APE by active claimants had 0.75 EAS, 0.71 SDs, 0.02 TWSs, 0.06 SEs and 0.04 JCPs and cost $9,183 on average.

• Notes:
  * See Exhibits IV-17 and IV-19 in Quantitative Methodology Report
• ** Average costs are estimated based on the number of and expenditure on EBSMs in the period 2000/2001 to 2005/2006 based on data in Monitoring and Assessment Reports for these years.

Note that these program costs do not cover the fixed costs related to training or other facilities or resources used by the EBSMs and may not pick up overhead costs attributable to these services. As a result, they under-estimate the full costs of EBSMs from both a government and social perspective.

5.2 Participant Cost per Action Plan Equivalent

Participants also incurred costs to take part in EBSMs under the Canada/Yukon LMDA.

Averages were:
Active claimant – $1,520
Female active claimant – $1,280
EAS active claimant – $320
SD active claimant – $1,900
Former claimant – $1,890
Female former claimant – $1,710

5.3 Present Value of Participation Impacts

Chapter IV identified the impacts of participation in various periods relative to the start and end dates of participation. The analysis calculates the present value of those impacts as of the participation period. The calculation is made as follows:

• Present values are calculated for six groups: all active-claimant participants; female active-claimant participants; SD active-claimant participants; EAS active-claimant participants; former-claimant participants; and female active-claimant participants.
• All estimates from the incremental analyses for earnings, EI benefits, and SA benefits (including those not found to be statistically significant) are used in the calculation. These represent the best estimates of impacts regardless of significance.
• A total incremental income change is estimated as the annual impact on earnings, EI benefits, and SA benefits. The analysis assigns a zero value to the non-work time of participants.
• To estimate taxes paid, an effective tax rate for earned income was determined based on the pre-APE earnings and the proportion of income that is taxed for participants. Pre-APE earnings were reduced by the earnings that are exempt for tax purposes under paragraph 81(1)(a) of the Income Tax Act and section 87 of the Indian Act for client groups in our analysis. A marginal tax rate was determined using the pre-participation average income level by the client groups used in our analysis and tax rates for Yukon for 2008 from (http://www.ey.com/ Global/assets.nsf/Canada/2008 TaxRateCard_Yukon/$file/Yukon.pdf). This rate was 22% for all groups.
• Annualized impacts for the first through fourth year after APE start are used. Note that benefits may continue in later years but are not used in the cost-benefit calculations. If we were to ascribe any potential benefits in later years as well to program participation these would increase the present value.
• Present values are calculated over the four years.
• A 5% discount rate is used to bring this stream of impacts to a present value as of the start of the participation period.

5.4 Net Present Value from Individual, Government, and Social Perspective

Table 9 presents the net present value of participation from the perspective of the individual (participant), the government, and society. This table shows the present value of the benefits of participation in the first four years, as of the start of participation, and the costs (already being incurred at the time of participation) that are relevant for each group. The table then calculates the net present value of participation as benefits minus costs for each group from each perspective. If positive, benefits exceed the costs of participation.

Results are:

• From an individual perspective, participation results in an improvement for the participant (net present value is positive or present value of benefits exceeds costs) in the case of all active-claimant participants, female active-claimant participants, SD active-claimant participants, and EAS active-claimant participants.
• From a government perspective, participation results in an improvement in the case of EAS active-claimant participants.
• From a social perspective, participation results in an improvement in the case of active-claimant participants and EAS active-claimant participants.

Note the analysis is based on major benefits and costs only. Limitations follow:

Expenditures by the government on APEs are derived from tax revenue. Taxes withdraw money from members of society, add costs through the collection of taxes, and create distortion effects in the economy. As a result, the government costs for APEs identified above are an under-estimate of the costs to society of participation. This is a general observation for any expenditure by government on programs. Estimating the distortive effects of taxation is beyond the scope of this study. However, if included they would tend to decrease the net present value to government and to society.

• * The net present value is the present value of benefits minus the present value of costs. The later is already in present value terms.

• Supported participants may take away jobs that would otherwise be obtained by non-supported unemployed individuals (displacement effects). This is more likely to occur for participation in EAS only compared to SD. Again this effect is beyond the scope of this study to estimate. However if included it would tend to decrease the net present value to government and to society.
• The analysis does not capture "intangible" benefits through additional employment of participants. For example there may be reduced stress, less social unrest and reduced crime rates. Including values for such benefits would increase the net present value to individuals, government and society.

5.5 Summary of Costs, Benefits and Net Present Value

Program costs were calculated to range from approximately $2,700 for an active claimant taking EAS only to $12,000 for an active claimant taking SD as their principal EBSM. Out-of-pocket costs incurred by participants ranged on average from $300 to $1,900 for these groups respectively.

The present value (as of the participation period) of the benefits in the four years from the start of participation was calculated. Relevant impacts and costs were then used to assess the net present value ^{Footnote 24} from the perspective of the participant, government and society.

Participation in EAS only by active claimants results in an improvement (benefits exceed costs) from a social, government and individual perspective. Participation among active claimants over all results in an improvement from a social and individual perspective. From an individual perspective, participation results in an improvement in the case of female active-claimant participants and SD active-claimant participants. These are strong indicators of the value of participation. However, positive net returns through participation appear limited to the 60% of participants who are active claimants.

6. Conclusions

The key conclusion of the evaluation is that participation in Employment Benefit and Support Measures within the Canada-Yukon Labour Market Development Agreement is beneficial for the 60% of participants who are active claimants. The 27% of participants who are former claimants do not benefit to the same degree. The study does not address why the two groups have different experiences or incremental impacts for the 13% of participants who are apprentices.

This section presents a fuller discussion of the conclusions of the evaluation issues of the study. It also presents findings by the sub-groups of interest to the evaluation.

6.1 Conclusions by Evaluation Issue

6.1.1 Rationale

The LMDA is relevant to the needs of clients, employers, and communities.

For clients the LMDA is more likely to foster labour market or economic adjustment for the:

• 13% of participants who left their job in their main line of work prior to participation as a result of layoff or closure.
• 57% who did not work in the same occupation before and after participation.
• 15% who worked in the same occupation but for different employers, comparing before and after participation.
• One-third who moved after participation, 58% to take a job and 55% to a location outside of Yukon.

Participation in EBSMs appears to accommodate the seasonal nature of the Yukon economy. Of those working in seasonal activities in their main line of work prior to participation (almost one-half of participants):

• 70% continued to work in seasonal activities during their period of participation.
• 67% of those who set goals or actions to achieve when they started said they had met all goals or actions through participation.
• None of the seasonal worker participants who failed to achieve their goals identified going back to seasonal employment as a reason for this failure.

Employers benefit when individuals gain skills through participation that they need. However, employers are generally unfamiliar with most EBSMs and only aware of participation if an individual is an apprentice or self-identifies as a participant. Nonetheless, other qualitative evidence suggests participants, particularly apprentices, are filling Yukon’s employment needs for occupational expansion and adjustment.

For communities, the LMDA contributes to social development of and creates opportunities. Partnerships within community groups have emerged or been strengthened through the LMDA. Strong promotion and access to apprenticeship occurs in communities outside Whitehorse and provides opportunities. Efforts to serve these communities through other programs have been made, but have had limited success due to the scarcity of employment opportunities in these communities.

6.1.2 Design, delivery, and implementation

Participants take a variety of programs under the LMDA. Most are satisfied with the programs they take and find the help they receive useful.

The principal EBSM of most active claimants, who participated between 1998 and 2003, was SD (51%), while for most former claimants it was EAS (57%), and for almost all apprentices it was SD (98%). Average participation lasted 26 weeks, 21 weeks, and 11 weeks for these three groups respectively. Participation was longest for those taking SE as the principal or main EBSM (55 and 52 weeks for active and former claimants respectively) and shortest for those taking EAS only (13 and 9 weeks respectively).

The Action Plan is a process by which activities are identified and undertaken to help the individual get back to work. Government staff or third parties may help non-apprentice clients develop an Action Plan. Three in four participants recalled having developed an AP or receiving assistance. Of those who recalled, 85% set goals or actions to achieve and of those with such goals and actions, 74% said they were achieved. Main reasons for not achieving goals were: 37% pursued other opportunities (found other work, went to school), 22% faced a life issue (illness, family responsibilities, pregnancy), and 15% experienced a problem with the EBSM (such as discontinued funding, lack of program availability in the area, or lack of satisfaction with the program).

Most participants found the help that they received useful. Reporting using a 7-point scale where 7 was "very useful":

• 75% found it useful (5 or above) in terms of identifying employment goals.
• 73% found it useful in selecting a government program related to training or employment appropriate to their goals.

Again using a 7-point scale, 80% said they were satisfied (5 or above) with the programs they had taken. Ninety per cent of apprentices and ninety-one per cent of those taking mainly SD were satisfied.

Participants are encouraged to contribute to their back-to-work activities through a process called Negotiated Financial Assistance. Of those who identified an amount, 50% identified it was $200 or less, and 25% identified $2,000 or more. The average across those who provided a dollar amount was $1,500. Most (82%) who had negotiated the costs of their participation felt they had paid an appropriate amount toward their participation.

6.1.3 Literacy

Literacy (including reading, writing, numeracy, and information or basic technology) was identified in the study as the skills area deemed useful in most jobs. The International Adult Literacy Survey did not identify literacy as a problem for Yukon residents.

However, a large minority of participants (41%) did identify having a literacy barrier.

Although EBSMs were not designed to address literacy issues, literacy is addressed in the Action Plan process if the issue is identified. Accommodations to assist participants of EBSMs can be made for those who identify having a literacy barrier. However not all participants will identify facing this barrier. Almost one-third with a literacy barrier experienced difficulty participating in the program because of it and 7% found it very difficult. At the same time, almost three-quarters with a literacy barrier said participation had been helpful in removing it. Twenty per cent of those who felt participation had provided them with the skills needed to get their post-participation job identified literacy skills as the skills provided.

6.1.4 Follow-up to Formative Evaluation

LMDA management and coordination/committee structures are working as intended. The Joint Management Committee meets regularly and is characterized by effective working relationships and creativity. Priority setting and planning are working well.

6.1.5 Labour Market Development Agreement clients

The characteristics of participants vary. Clients are almost equally divided between men and women. Apprentices and those taking SD as their principal EBSM are more likely to be males. Women are more likely to have received only EAS. Participants identify themselves as being in the following groups: Aboriginal (19%), visible minorities (5%), and persons with disabilities (13%). When they started participation, 25% had less than a high school education while 26% had a high school education or the equivalent. When they started, 50% needed help to look for or get a job, 42% needed help having stability in their personal life or career, 41% needed help gaining literacy skills, and 32% needed help making a career choice. Multiple barriers are common among participants.

6.1.6 Participation experience

Intended outcomes of programs are achieved for most participants. Almost one-half of participants (45%) with SD as their principal EBSM took trades training or apprenticeship. Other frequent mentions are high school equivalency, first aid, business, and office administration. Most SD participants (73%) indicate their classroom training led to a certificate or diploma.

Almost all who participated in SE had started a business and about one-half were still running it at the time of the survey. On average, those who started a business derived 52% of their earnings from it. Almost all reported a positive effect from participating in the program, and those who did reported employing an average of 0.8 people in addition to themselves.

6.1.7 Client outcomes

Clients experienced several outcomes through participation. ^{Footnote 25} Almost all (95%) had found some employment after participation. Of those with at least one job, 86% were satisfied overall with their main job and 79% were satisfied with its pay (5 or higher on a 7-point scale). Of the few (5%) without a post-participation job, the main reasons were: sickness/disability; no work/jobs available; full time attendance at school; and seasonal work not being available.

Many felt participation helped them get their main post-participation job:

• Nine per cent identified the program or activity they participated in as the main reason they found work. When asked directly in a question using a 7-point scale, where 7 was "very important", 63% felt the program or activity was important (a score of 5 or more) to their getting employment. Apprentices (81%) and those taking SD as their principal EBSM (77%) were more likely to rate their participation as being important.
• For 47%, a diploma or certificate was required to get their main job after participation. Of them, 51% said the program had provided it. Participants in SD (76%) were more likely to credit the program.
• Eighty-two per cent of participants said the job in their main line of work after participation required a particular set of skills. Thirty-eight per cent of participants said they did not have these particular skills when they began their participation.

Those taking SD (48%) were more likely not to have these needed skills when they started. Of those not having the prerequisite skills, 83% overall and 91% of SD participants attributed the acquisition of these skills to the program. The most frequently mentioned skills that were needed to get the job and were provided by the program were: technical (29%); computers (25%) and literacy (20%).

Participation may encourage further skill enhancement. Since participation, 57% had taken a training course, 33% had gone back to school, and 53% had increased their skills through volunteer activities.

When asked a series of questions about changes (higher skills, more confidence, etc.) since the start of participation, participants generally were positive (average of 5 or more on a 7-point scale). They were less positive, however, regarding their willingness to move to another community to find work. Apprentices, those of Aboriginal descent, and participants taking Skills Development as their principal EBSM were generally more positive on all changes.

6.1.8 Incremental impacts

An incremental analysis produced estimates over a number of time periods for groups of participants: active claimants; former claimants; female active claimants; female former claimants; active claimants receiving only EAS; and active claimants taking SD as their principal EBSM. Methodological considerations leading to these groups were: active and former claimants are different and should not be pooled and EAS should be treated as significant interventions on the same basis as SD. Many other groups were too small to be included. Interest in the potential for a differential impact by gender led to separate groups for females.

Participation resulted in positive impacts for the majority of participants. Focusing on statistically significant impacts (at the 95% confidence level) in the three years after the end of participation, participation resulted in:

• Positive impacts in terms of earnings gains, less use of EI, and decreased dependence on income support for all active claimants and for sub-groups of active claimants (females, those taking SD or EAS as their principal EBSM). Ranges of impacts were: $3,000 to $5,000 annually for earnings gains; $600 to $1,200 and 2 to 3 weeks annually for EI reductions; and 4% to 7% reductions each year in dependence on income support.
• Fewer positive impacts for former claimants. Reductions occurred in the use of Employment Insurance by $400 and $700 in two separate years and by 2 weeks in one year.

6.1.9 Costs and benefits of participation

Participation brought positive net returns for a number of participant groups.

Program costs were calculated to range from $2,700 for an active claimant taking EAS only to $12,000 for an active claimant taking SD as their principal EBSM. Out-of-pocket costs incurred by participants ranged on average from $300 to $1,900 for these groups respectively.

The present value (as of the participation period) of the benefits in the four years from the start of participation was calculated. Relevant impacts and costs were then used to assess the net present value ^{Footnote 26} from the perspectives of the participant, of government, and of society and revealed that:

• From an individual perspective, participation resulted in an improvement for the participant (net present value is positive or present value of benefits exceed costs) in the case of all active-claimant participants, particularly women or those who participated mainly in SD or received EAS only.
• From a government perspective, participation resulted in an improvement in the case of active-claimant participants who received only EAS.
• From a social perspective, participation resulted in an improvement in the case of active-claimant participants over all and, in particular, among those who received only EAS.

6.2 Findings by Sub-Groups of Interest

In addition to the coverage by issues noted above, Canada and Yukon were interested in findings across various sub-groups of interest. These findings are gathered across issues and lines of evidence for the sub-groups below.

Significant findings for particular sub-groups of interest to Canada and Yukon were:

• Participants who receive only EAS represent 37% of all participants. Among them, those who are active claimants (22% of all participants) receive less Employment Insurance (from $900 to $1,200 annually and 2 to 3 weeks annually) and have lower dependence on income support (from 4% to 6% annually) than they would have had they not participated. They also experience more earnings ($2,000) in the first and second years following the start of participation. Such participants experience improvements (benefits exceed costs) from social, government, and individual perspectives.
• Seasonal workers (defined as those who worked in seasonal activities prior to participation) represent 46% of all participants. The typical seasonal worker is male and did not complete a high school education. Seventy per cent continued to work in seasonal activities during and after their period of participation. Based on the evidence collected, EBSMs were responsive to the special needs of such workers arising from the seasonality of the labour market in which they worked.
• Aboriginal clients make up 19% of participants. Compared to other participants, Aboriginal participants are more likely to be women and to have less formal education and more dependents. After participating, Aboriginal clients are more likely to participate in (further) training, to move to another location to take training or to take a job. They are also more positive in their views on almost all changes since participation.
• Persons with disabilities represent 13% of participants. They are more likely to be female and older and to have less household income at the start of participation compared to other participants. They are more likely to have identified, when they started participation, needing help with: looking for or getting a job; having stability in their personal life or career; or making a career choice.
• Apprentices make up 13% of all participants. Almost all take Skills Development. Apprentices work more, both in the year before participation and following participation, than other participants. They are more likely to rate participation as important to them in getting their post-participation job and to have the highest satisfaction with their pay in this job. A higher proportion had to move to a different location to take this job than any other group. They also had a more positive attitude toward changes in their lives since participation.