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3. Nova Scotia Employment Benefits and Support Measures (EBSM) Program


Employment Benefits and Support Measures are programs and services designed to assist current and former Employment Insurance (EI) clients prepare for, find, and keep jobs. EBSM began as a part of the EI restructuring in 1996. The chief objectives of the reform were "to ensure that the system was responsive to the realities of today's labour market and to remove disincentives and inequities in the system." Active re-employment assistance was emphasized to help the unemployed find work, to improve work incentives, and to simplify administrative processes for employers.

Part II of the EI legislation contained six important changes related to EBSM:

  1. Expansion of Client Base for Assistance Whereas only current Unemployment Insurance (UI) clients were eligible for active program supports under the UI Act, current EI clients and those who collected EI benefits in the past three years (past five years if claimant collected maternity or parental benefits) are eligible under Part II.
  2. Elimination of the Extension of Income Benefits for Claimants Participating in Active Measures Formerly, UI benefits could be extended for up to three years while the claimant participated in active program interventions. This is not permitted under EI, although a new measure — negotiated financial assistance — was introduced, whereby workers and clients negotiate a client contribution to the intervention.
  3. Provisions for Provincial and Territorial Partnerships Under the new legislation, EBSM must be developed in conjunction with provincial/territorial governments; indeed Part II funds may be transferred to provinces/territories should they decide to assume delivery responsibility. This is accomplished under the LMDA.
  4. Three-year Phase-out of training Purchases The EI Act mandates an end to the purchase of training seats or courses from provincial/territorial governments and training providers by June 30, 1999. Nova Scotia intended to replace training purchases with skills loans and grants during 1998/99, but implementation will be delayed.
  5. Results-Based Accountability The focus of EBSM is on outcomes. Results indicators include: the number of participants who find employment; for current EI claimants, the amount of unpaid Part I Income Benefits resulting from claimants returning to employment before the end of their entitlement; and, the number of active EI claimants served.
  6. Client Responsibility Clients must take an active role in identifying the type of assistance they need, finding where that assistance is available and, as appropriate, contributing to the cost of the assistance.

Reflecting this context, EBSM principles include:

  • help for people to find and keep jobs, thereby reducing dependency on passive support;
  • harmonization of employment initiatives to preclude overlap;
  • cooperation and partnership with other levels of government, and other stakeholders;
  • flexibility at the local level concerning implementation and decision-making;
  • promotion of individual self-reliance and responsibility;
  • programs and services that reflect Nova Scotia's economic and labour market priorities; and
  • accountability and measurement of results.

EBSM in Nova Scotia currently encompasses the following elements:

Targeted Wage Subsidies Offers employers a wage subsidy to provide on-the-job experience for individuals who have been unemployed for a long time or face special barriers to employment. The subsidy is meant to encourage employers to hire eligible clients who would not normally be considered without the subsidy. The maximum subsidy is set at 60 percent of the wage paid by the employer. The maximum duration is 78 weeks. Contracts are negotiated by the Human Resources Centres of Canada (HRCC) or delegated partners.

Self-Employment Assistance to unemployed individuals with viable business ideas. Individuals may qualify for financial support, planning assistance and ongoing support while getting the business up and running. A special priority is to be placed on designated groups: women, visible minorities, Natives and the disabled. For delivery, HRCCs contract with local delivery agents with expertise in business development. These third party agencies select appropriate clients, provide training in key aspects of running a business, and negotiate client contribution and length of contract (not to exceed 52 weeks, or 78 weeks for the disabled). Income support — EI and some expenses such as child care — is not insurable.

Job Creation Partnerships To help develop the local economy in areas where jobs are scarce, these projects encourage community partnerships to help claimants get work experience. Partners may include provinces, the private sector, labour and community groups. Its aim is to create "sustainable employment" for clients; that is employment that lasts beyond the term of the job creation project. Job Creation Partnerships projects should not be "make-work," nor should they fund existing community activities. They are meant to fund new community economic development initiatives. Partners are expected to contribute capital and material costs and perhaps top up income support. Targeted clients are EBSM eligible individuals with multiple barriers to employment, or more job-ready clients without employment opportunities. Job Creation Partnerships is funded through contribution agreements up to 52 weeks in duration. Income support may be EI or non-insurable remuneration.

Training Purchases and Skills, Loans and Grants (Purchase of training) As mentioned above, training purchases must be phased out by the middle of 1999 to be replaced by Skills, Loans and Grants, an initiative providing loans or grants to help with course fees and living expenses for those who need new skills to return to work. Purchase of training normally consists of "buying" seats at a local community college or private training school, which are reserved for eligible clients. Purchase of training clients are excused from searching for work while in training; they receive EI benefits and have course costs covered. "Feepayers" are excused from job search requirements but have to pay course costs. Maximum duration is 52 weeks.

Employment Assistance Services Under Employment Assistance Services, HRCCs or community-based organizations deliver a range of services and Human Resources Development Canada (HRDC) programs to help clients prepare for, find and keep jobs. Services may range from self-service information to full case management. Employment Assistance Services gives HRCCs the flexibility to decide what services to contract out to whom, based on local needs and resources. Employment Assistance Services are normally used by job-ready clients who need labour market information, help with job search, access to tools such as resume writing software and the Internet. In some areas, higher need clients such as the disabled may be referred to Employment Assistance Services providers with appropriate expertise.

Local Labour Market Partnerships Local employers, labour groups, community organizations and government agencies forge partnerships to help create local employment opportunities for the unemployed. The objectives of Local Labour Market Partnerships are to support community efforts to identify labour market needs, identify the capacity of the community to meet those needs, work with partners in building "community capacity" to address local labour market needs, and minimize duplication and gaps in service. As such, Local Labour Market Partnerships fund research, community planning, and innumerable other activities in the name of community economic development. HRCCs are to identify needs (perhaps through research and developing local planning groups), to help mobilize community resources to meet the identified needs, to provide information and financial support as warranted, to negotiate partnerships, and to monitor the results.

No claimant is automatically eligible for employment benefits. Many offices target those who need extra help and are prepared to make a personal commitment to a return-to-work Action Plan. An HRCC staff member helps determine client needs and eligibility for EBSM measures. Clients develop a personal Action Plan that must be approved by an HRCC staff or external Case Manager. This plan sets out the steps the client agrees to take to get back to work, and the actions HRDC will take to support them. Case Managers support and monitor client progress, and provide additional assistance as needed.


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