Alignment of Leaner Income Support Benefits - Apprentices and EI Learners with Non-EI Learners

In our first round of consultations done in earlier this year, we presented the original concept and the initial recommendations for the policy alignment of Employment Insurance (EI) learners and apprentices with non-EI learners.

In developing the detailed recommendations we took into account the feedback received from the Training Provider/Alberta Human Resources and Employment (HRE) Advisory Committee, internal committees, senior management and staff. HRE is conducting a second round of consultations with our internal and external partners. As part of the consultation process, the recommendations and related background documents will be posted on HRE’s internet site until November 24, 2006, giving interested stakeholders an opportunity to provide the Department with feedback. The feedback questions can be found at the end of this document.

Summary of Recommendations

In October 2005, a project team was tasked with developing high-level recommendations on the feasibility of aligning learner income support for implementation in the 2007/2008 academic year and/or in conjunction with the new information system. Specific policy items were identified and described for each of the three types of learners in a document produced in October 2005.

Feedback was gathered from stakeholders through HRE’s website, and consultative meetings were held with the Training Provider Advisory Committee, the Skills Investments Advisory Committee (SIAC), the provincial Learner Benefits Specialists and Alberta Advanced Education–Apprenticeship and Industry Training (AIT).

A working group was established in February 2006 which was chaired by Learner Income Support with representatives from Strategic Policy, Health Benefits and Child Support, Employment and Training Services, Delivery Services and Apprenticeship and Industry Training.

The working group reviewed the income support policies and business rules for apprentices, EI learners, and non-EI learners, considered the feedback received, and developed recommendations for aligning learner policies and benefits. These included general eligibility criteria, financial eligibility, income support and supplementary benefits, income and assets exemptions, recoveries, health benefits and taxation. It was not within the group’s mandate to recommend changes to non-EI learner benefits.

To test out some of the recommendations, HRE worked with AIT and training providers to obtain actual financial information from EI-eligible learners in May 2006. Participants included the contracted assessment centers in Edmonton and Calgary, Academy of Learning, CDI, Campbell College, contracted self-employment programs and apprentices from four different training classes. Client scenarios were developed, comparing 2005/2006 policies with the proposed 2007/2008 policies, to determine the financial impact of the recommendations on apprentices and EI learners. Where needed, the working group’s recommendations were amended.

The recommendations are in the following appendices:

• Appendix I:  Alignment of Apprentices and EI Learners with Non-EI Learners Recommendations identifies specific policy items, briefly describes the current policy for each of the three types of learners. The final recommendations are included and identify the new thresholds, the legislation potentially impacted, and provide a brief rationale.
• Appendix II: Supplementary Learner Benefits Recommendations provides a summary of the various types of additional continuous and non-continuous benefits that are presently in place and would need to remain in some form, upon alignment of learner benefits. Some will remain exclusive to apprentices.
• Appendix III: Learner Benefit Questionnaire Results summarizes the data obtained from 188 questionnaires completed by apprentices and EI-eligible learners.
• Appendix IV: Comparison of Financial Awards shows the financial award for a variety of learner household situations based on existing policies (2005/2006) compared to the recommended policies. The increased award for EI learners is primarily due to the liquid asset test, enabling them to retain some assets such as savings, the removal of the mandatory student contribution and alignment of the earnings exemption.
• Appendix V: Potential Impacts provides a matrix analyzing the potential impacts (gains and losses) to apprentices and EI learners.

Generally, EI learners and apprentices will benefit from alignment in these areas:

• Implementation of a liquid asset policy, allowing EI learners to retain some assets
• Access to additional continuous and non-continuous benefits
• Improved access to health benefits
• Removal of the mandatory student contribution
• Changes to overpayment recovery policy
• Removal of regulated funding maximums
• Access to Child Support Services
• Income tax deductions.

It is possible EI learners and apprentices may be negatively impacted by:

• Using certain assets in determining financial eligibility
• Requiring sponsors of immigrants to continue to meet their obligations to a sponsored learner
• Removing child support payments for EI learners
• For apprentices, no longer providing funding for a spouse’s alimony, or for a spouse’s student loan payments.

Feedback Questions

As you review the documents posted on this website, please consider:

• What benefits do you see for EI learners and Apprentices under the proposed alignment?
• Do you have a suggestion for change to any of the recommendations aligning EI learners and Apprentices? Please be specific, and explain what would you recommend in its place, and why.
• Please provide any other general comments pertinent to aligning learner income support programs.

As mentioned above, we are providing stakeholders with an opportunity to comment on the detailed recommendations.

Your comments to the feedback questions are requested by November 24, 2006.

Please send your responses to the feedback questions to AHRE.SkillsInvestments@gov.ab.ca