Human Resources, Labour and
Employment
October 29, 2009
Province Prepares to Assume Responsibility for
Labour Market Development Agreement
Next week, responsibility
for Labour Market Development Agreement (LMDA) programs
and services will transfer from the Federal Government
to the Government of Newfoundland and Labrador. This
means that effective November 2, the Provincial
Government will assume responsibility for the design and
delivery of approximately $133 million annually in EI-funded
Employment Benefits and Support Measures.
�Assuming responsibility
for the LMDA is an important component of an overall
approach to respond to the new labour market challenges
facing Newfoundland and Labrador,� said the Honourable
Susan Sullivan, Minister of Human Resources, Labour and
Employment. �The Williams Government is very excited
about our new role as it will allow the province greater
flexibility in the design and delivery of labour market
programs and services in order to better meet local,
regional and provincial labour market needs.�
LMDA programs and
services are available to EI-eligible individuals and
include self-employment assistance, skills development
training, wage subsidies, job creation partnerships,
employment assistance services and labour market
partnerships
�Labour market conditions
in Newfoundland and Labrador, as well as throughout
Canada, have changed dramatically over the years with
new challenges and opportunities emerging all the time,�
said Minister Sullivan. �In the short-term, we will
continue to deliver the same programs and services
currently offered through Service Canada. However, in
the longer-term, the province will be looking at our
future labour market needs. We will work with our many
partners including business, labour, post-secondary
institutions and community organizations to ensure we
have the right mix of programs and services in place to
help individuals obtain the necessary training and
employment needed to build and maintain a strong
provincial workforce.�
To ensure seamless
delivery of existing programs and services,
approximately 75 federal staff will be transferring to
HRLE offices throughout the province effective November
2.
�On behalf of the
Provincial Government, I would like to welcome these new
colleagues to the Public Service of Newfoundland and
Labrador,� said Minister Sullivan. �These individuals
have been directly involved in delivering LMDA programs
and services with Service Canada and we are very pleased
they have decided to accept employment with the
province. We certainly look forward to them joining our
team and continuing to serve LMDA clients and partners.�
Existing LMDA clients and
third-community agencies have already been notified of
this upcoming change. To complement these efforts, the
Provincial Government has implemented a province-wide
advertising campaign that will run for the month of
November. Individuals are encouraged to contact Human
Resources, Labour and Employment with any questions,
toll-free 1-800-563-6600 or visit
www.hrle.gov.nl.ca/hrle/lmda/
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Media contact:
Jennifer Collingwood
Director of Communications
Department of Human Resources, Labour and Employment
709-729-0753, 690-2498
jennifercollingwood@gov.nl.ca
BACKGROUNDER
Labour Market Development Agreement
Labour Market Development
Agreements (LMDAs) are bi-lateral agreements between the
Federal Government and the Provincial/Territorial
Governments that provide funding focused on helping EI-eligible
persons increase their opportunities within the labour
market.
LMDAs were established in
1996 and many jurisdictions at the time chose to sign an
agreement with the Government of Canada that transferred
LMDA responsibility to the province. Under such an
agreement, provinces and territories assume
responsibility for the design, delivery and management
of the programs and services.
Newfoundland and
Labrador, along with a number of other jurisdictions,
chose the co-managed model where the Federal Government
delivers the programs and services but shares
responsibility for the design, management and evaluation
of these programs with provinces and territories. Since
1996, LMDA programs and services have been delivered in
this province through Service Canada offices.
On September 5, 2008, the
Government of Newfoundland and Labrador signed a
devolved LMDA with the Government of Canada. Under a
devolved LMDA, the Province assumes responsibility for
the design and delivery of approximately $133 million
annually in EI-funded Employment Benefits and Support
Measures, effective November 2, 2009.
For the next two years,
all provinces and territories will receive additional
LMDA funding under the Federal Government�s stimulus
package, which was released in the last federal budget.
Newfoundland and Labrador�s share of this additional
funding is an additional $14.7 million per year.
2009 10 29
10:45 a.m.
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