The Government of Canada Extends Transitional Measures for the Region of Madawaska-Charlotte

"Our government recognizes that not all regions are seeing the same growth, and that individuals employed in traditional, seasonal work face challenges," said Minister Thompson. "While the EI regional boundaries are working well overall, we recognize the need to allow for adjustment and to ensure the change does not occur as the work season is ending for many in these regions."

The effect of these measures is to apply a higher unemployment rate than would otherwise be the case. As a result, claimants in the Madawaska-Charlotte region require fewer hours to qualify for EI, and receive benefits for a longer period than would be the case without the transitional measures.

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FACT SHEET

Transitional measures for Employment Insurance economic regions

September 5, 2008

The Honourable Greg Thompson, Minister of Veterans Affairs and Regional Minister for New Brunswick, on behalf of the Honourable Monte Solberg, Minister of Human Resources and Social Development, has announced an 18-month extension of transitional measures for the Employment Insurance (EI) economic region of Madawaska-Charlotte in New Brunswick. This extension coincides with the announcement that the current EI regional boundaries will remain unchanged as a result of the conclusion of the boundaries review process.

The transitional measures provide for the application of a higher unemployment rate than would normally be the case under the current EI regional boundaries. As a result, claimants in the Madawaska-Charlotte region require fewer hours to qualify for EI, and receive benefits for a longer period than would be the case without the transitional measures.

Under the EI program, Canada is divided into economic regions that ensure that people residing in areas of similar unemployment levels face comparable EI rules, in terms of eligibility and length of benefit entitlement. EI Regulations require that EI regional boundaries be reviewed every five years to ensure that they reflect current labour market conditions and geographic representation of communities across Canada. The current 58 EI economic regions came into effect on July 9, 2000, and were confirmed today.

The configuration of the economic regions had a greater than expected effect on EI claimants residing in the region of Madawaska-Charlotte. Consequently, transitional measures were adopted to ease the impact of the actual EI regional boundaries. The extension will complete the adjustment period and also ensure that the conclusion of the transitional measures does not occur when the work season is ending for many in these regions.

For more information on EI regional boundaries, visit www.hrsdc.gc.ca.

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