GNWT takes control
NWT signs $20-million deal with feds

by Richard Gleeson
Northern News Services

NNSL (Mar 04/98) - The territorial government is taking over federal responsibility for helping the unemployed get back into the workforce.

The territorial and federal governments signed on Friday, a labor market development agreement, which was hailed as a "milestone agreement" by Education Culture and Employment Minister Charles Dent.

The agreement, said Dent, "will help us move forward with policies and programs tailored to meet the needs of the NWT labor market."

Dent signed the agreement on behalf of the territorial government. Western Arctic MP Ethel Blondin-Andrew signed on behalf of the government of Canada.

Dent's department will be responsible for implementing the agreement, which transfers to the government responsibility for providing the unemployed with needs assessment, job placement and employment counselling.

The scheduled implementation date of April 1 this year has been pushed back to, at the latest, July 1, said the department's assistant deputy minister Lesley Allen.

The three-month delay was necessary, Allen said, because of the late signing of the agreement, and the provision which allows affected Human Resources Development Canada employees up to 60 days to decide whether they will transfer to Education, Culture and Employment.

Allen said, where possible, the programs will be delivered by the same offices that handles the department's income support programs, providing for "one stop shopping," for income support and employment clients.

The federal government will provide $19 million over the next four years for delivery of programs and services.

In addition, the federal government will provide $1.79 million each year for salary and administration costs.

The federal government is still responsible for making unemployment insurance payments.

Under the agreement the territorial government is required to monitor the success of its programs and meet specified targets.

For the 1998-99 fiscal year, those targets getting a minimum of 409 employment insurance recipients back into the workforce and making sure at least 65 per cent of those taking advantage of programs are unemployment insurance claimants.

Human Resources Development Canada affected by the transfer of responsibility are being given the option of transferring to education, culture and employment.

The GNWT is the 11th province or territory to sign a labor force market development agreement with the government. The only jurisdiction without one is Ontario.