Key agreements signed for skills training and employment programs
July 7, 2014 – St. John’s, Newfoundland and Labrador – Employment and Social Development Canada
Three agreements have been signed today by the Governments of Canada and Newfoundland and Labrador to help address the labour market needs of individuals, communities and employers across the province. Scott Armstrong, Parliamentary Secretary to the Minister of Employment and Social Development, on behalf of the Honourable Jason Kenney, Minister of Employment and Social Development, along with the Honourable Kevin O’Brien, Minister of Advanced Education and Skills, today signed agreements that will help meet labour market demands and assist older workers and persons with disabilities connect to available jobs.
The Canada Job Grant is an innovative, employer-driven approach to help Canadians gain the skills and training they need to fill available jobs. It is designed to be flexible enough to meet the needs of businesses of all sizes, in all industries and regions. The Canada Job Grant represents a partnership between government and employers to train people for available jobs. It will be delivered though the new Canada-Newfoundland and Labrador Job Fund agreement (formerly known as the Labour Market Agreement).
Also signed today was the new Canada–Newfoundland and Labrador Labour Market Agreement for Persons with Disabilities (LMAPD). With increased employer involvement and a stronger focus on demonstrating the best possible results for Canadians, the new agreement will better connect Canadians with disabilities with available jobs. The LMAPDs are the single largest federal government investment in helping Canadians with disabilities get jobs. Under this agreement, the Governments of Canada and Newfoundland and Labrador will each provide over $4.5 million per year. For 2013-14 the Government of Newfoundland and Labrador’s Annual Plan included over $16 million for LMAPD and related programs.
Additionally, Canada and Newfoundland and Labrador signed the renewal of the Targeted Initiative for Older Workers, a federal–provincial/territorial cost-shared initiative that provides unemployed older workers in eligible communities with training to re-enter the workforce. This represents a three-year federal investment of over $2.5 million in Newfoundland and Labrador.
These three agreements help link people with jobs, support employer and labour market-driven training and work with individuals to support workforce attachment. More information on Canada Job Grant, Labour Market Agreement for Persons with Disabilities and the Targeted Initiative for Older Workers can be found in the backgrounder below.
“Our government’s top priorities are creating jobs, economic growth and long-term prosperity. The Canada Job Grant is part of our commitment to address the paradox of too many Canadians without jobs in an economy of too many jobs without Canadians. With employers’ skin in the game, the Canada Job Grant will lead to a guaranteed job. Helping employers train Canadians for jobs that need to be filled will help their businesses grow and succeed. And that is good news for the Newfoundland and Labrador economy.”
- The Honourable Jason Kenney, Minister of Employment and Social Development
“The Government of Newfoundland and Labrador remains focused on the province’s long-term prosperity by encouraging job creation for skilled labour, older workers and persons with disabilities. Today’s signing ceremony is another step towards ensuring Newfoundland and Labrador continues to meet the growing demand for skilled labour - continuing business growth and a strong economy.”
- The Honourable Kevin O’Brien, Newfoundland and Labrador Minister of Advanced Education and Skills
“Newfoundland and Labrador has the potential for strong economic and employment growth over the coming years. To ensure the Province’s prosperity, job openings have to be filled. The agreements signed today will not only help create jobs and opportunities for Newfoundlanders and Labradorians, they will also help develop the skilled workforce the province needs.”
- Scott Armstrong, Parliamentary Secretary to the Minister of Employment and Social Development
Alexandra Fortier
Office of the Minister
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John Tompkins
Director of Communications
Department of Advanced Education and Skills
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jtompkins@gov.nl.ca
Canada–Newfoundland and Labrador Job Fund
The current Labour Market Agreements, created in 2007, are being transformed into the new Canada Job Fund to ensure greater employer involvement in training. Nationally, the Government of Canada will continue to provide $500 million annually to the provinces and territories for investments in skills training through the Canada Job Fund. Newfoundland and Labrador will continue to receive approximately $7.5 million—its per capita share of the $500 million.
The Canada Job Fund will include $200 million of employer-driven training nationally, beginning in 2017–18, which may include funding for the Canada Job Grant or other existing employer-driven training programs.
Canada Job Grant
The Canada Job Grant will help Canadians get the training they need for available jobs and put skills training decisions in the hands of employers. It will provide up to $15,000 per person for training costs, such as tuition and training materials, which includes up to $10,000 in federal contributions. Employers will be required to contribute on average one-third of the total costs of training. Newfoundland and Labrador will be developing the Canada Job Grant over the coming months.
The provinces and territories will have full flexibility on the source of funds for the Canada Job Grant. They may be sourced from provincial/territorial allocations under the Canada Job Fund, the Labour Market Development Agreements or provincial/territorial sources.
The Canada Job Grant will be for short-duration training provided by an eligible third-party trainer, such as community colleges, career colleges, trade union centres and private trainers. Training can be provided in a classroom, on site at a workplace or online.
All private and not-for-profit businesses with a plan to train Canadians for a new or better job will be eligible to apply for a Canada Job Grant, once implemented.
The Canada Job Grant will be flexible enough to meet the needs of businesses of all sizes, in all industries and regions. Small businesses will benefit from flexible arrangements, such as the potential to count wages as part of the employer contribution. This will help ensure that all businesses, regardless of size, can fully participate in the Canada Job Grant.
The Canada Job Grant will ensure that employers participate meaningfully as partners in the skills training system, sharing in the associated costs. This will ensure that training is better aligned with job opportunities, particularly in sectors facing skills mismatches and labour shortages.
The Canada Job Grant is strongly supported by employers and other stakeholders including:
- The Building and Construction Trades Department, AFL-CIO;
- National Association of Career Colleges;
- Canadian Federation of Independent Business;
- Canadian Manufacturers & Exporters;
- Canadian Construction Association;
- Information Technology Association of Canada;
- Canadian Welding Bureau;
- Engineers Canada;
- Progressive Contractors Association;
- Christian Labour Association of Canada;
- Canadian Home Builders’ Association;
- Canadian Shipowners Association;
- Canadian Electricity Association;
- Canadian Institute of Plumbing and Heating;
- Merit Canada;
- Polytechnics Canada;
- Prospectors and Developers Association of Canada;
- Chemistry Industry Association of Canada; and
- Aerospace Industry Association of Canada.
Labour Market Agreements for Persons with Disabilities
As announced in the Economic Action Plan, this new generation of Labour Market Agreements for Persons with Disabilities (LMAPDs) represents an investment of $222 million per year by the Government of Canada in the provinces and territories. This will allow provinces and territories flexibility to determine how to best address the needs of Canadians with disabilities, while helping Canadian businesses benefit from their skills and talent.
Additional support for Canadians with disabilities
Through Economic Action Plan 2014, the Government of Canada is providing:
- $15 million over three years to the Ready, Willing & Able initiative of the Canadian Association for Community Living to help connect Canadians with developmental disabilities with jobs; and
- $11.4 million over four years to support the expansion of vocational training programs for Canadians with Autism Spectrum Disorders.
To further help Canadians with disabilities in the workforce, the Government:
- announced a $10 million increase in ongoing support for the Opportunities Fund, to $40 million annually. The Opportunities Fund helps Canadians with disabilities to prepare for, obtain and keep employment, or become self-employed;
- extended the Enabling Accessibility Fund on an ongoing basis at $15 million per year to improve accessibility in facilities across Canada, including workplaces; and
- provided funding of $7 million per year for the Social Sciences and Humanities Research Council of Canada, some of which will support research related to the labour market participation of people with disabilities.
Targeted Initiative for Older Workers
The Targeted Initiative for Older Workers (TIOW) is a federal-provincial/territorial cost‑shared initiative that provides unemployed older workers (normally between the ages of 55 and 64) with employment assistance services, skills upgrading and work experience. The TIOW assists unemployed older workers in small communities of 250,000 or less that are experiencing high unemployment and/or significant downsizing or closures to re‑integrate into the workforce. As announced in Economic Action Plan 2014, the TIOW is being renewed for a three-year period, representing a federal investment of $75 million. The TIOW is also being expanded to include communities experiencing unfulfilled employer demand and/or skills mismatches so that communities with tighter labour markets can participate in the initiative, particularly if they have vacant jobs that could be filled by unemployed older workers.
