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NLIS 3
March 2, 2001
(Human Resources and Employment)

 

Change to federal program for students concerns province

The provincial government is expressing serious concerns with the recent decision by Human Resources Development Canada to change the way it will fund the federal summer career placement program this year. 

Human Resources and Employment Minister Gerald Smith today sent a letter to HRDC Minister Jane Stewart, expressing concerns with the impact this decision will have on summer job opportunities particularly at the municipal level. Reflecting also the views of his colleagues, Intergovernmental Affairs Minister Tom Lush, Municipal Affairs Minister Oliver Langdon and Youth Services and Post Secondary Education Minister Sandra Kelly, Minister Smith said: "Under the changes, the subsidy for public health, educational institutions and municipalities will decrease from $4.25 hourly in previous years to $2.75, meaning that these organizations will pay about an extra $1.50 per hour to hire summer students under the federal program. Municipalities, which at the best of times operate under tight fiscal circumstances, will be detrimentally affected by HRDC's decision, as will the families and children who rely on the summer recreational programs operated by these communities."

"I fully appreciate the desire of HRD Canada to maximize the use of their funds by placing publically funded organizations on an equal footing with private sector employers to create additional job opportunities, however, this funding change does not appear to take into consideration the differing economic circumstances of provinces, nor the particular circumstances of many rurally based communities," said Minister Smith. 

"Municipalities, particularly those in rural Newfoundland and Labrador, have limited resources, yet they are key employers for summer students. I'm concerned that this change will make it very difficult for small towns to create employment opportunities for our young people," said Minister Langdon.

"While the provincial government has a very good working relationship with HRD Canada and is a partner in other very successful summer programs such as the Student Work and Service Program (SWASP), this decision was made without the opportunity for provincial dialogue on the matter," said Minister Lush. "We do trust that Minister Stewart will listen to our concerns and appreciate the challenges of providing job opportunities for young people in rural Newfoundland and Labrador."

"My colleagues and I are requesting Minister Stewart take a second look at this issue," noted Minister Kelly. "Programs such as this one are important for our young people to be able to save for their education and gain valuable work experience. All orders of government need to be working together to ensure that such opportunities are not scaled back and that students across the province have access to them."
Media Contact: Marcia Porter, Communications, (709) 729-4062.

2001 03 02                                             11:30 a.m.


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