As well, to my right is Karen Kinsley, the President of Canada Mortgage and Housing Corporation.
First of all, let me say that I'm very pleased to be here before the standing committee to answer questions about the 2009 supplementary estimates (B) and to talk about our department's role in supporting Canadians through our government's economic action plan.
Human Resources and Skills Development provides assistance to Canadians of all ages, everyone from families with young children to seniors entering their golden years. We assist students making the transition from school to work. We help workers make the transition from one job to another. We assist the unemployed reintegrate into the workforce, and we help those making the transition from the workforce to retirement.
We also play an important role in assisting some of society's most vulnerable, including persons with disabilities, aboriginal Canadians and those with lower incomes.
Mr. Chair, many Canadians are facing difficult times of transition during the current economic slowdown. Over the last few months, the global economic situation has deteriorated further and faster than anyone had predicted. While Canada continues to fare better than many other countries, Canadians are feeling the effects of the global recession, and they're concerned.
I understand their worries. Every day I hear and see first-hand the stories of those who have lost their jobs through no fault of their own. I see and hear first-hand the stories of those who are worried about making ends meet. They're worried about keeping their jobs. They're worried about being able to pay their mortgages. They're worried about being able to take care of their families. Many are even worried about simply putting food on the table.
It's during these difficult times that Canadians need to know that their government is listening to them and that we have an action plan that will help them. To address the most pressing needs of workers affected by the current economic downturn, Canada's economic action plan is investing $8.3 billion for the Canada skills and transition strategy.
Let me discuss many of the items that are part of this strategy.
We will help those facing unemployment. We will protect jobs. We will invest in training and skills development.
Further to our Budget 2008 commitment, we'll also make post-secondary education more affordable and accessible for Canadian students and families by investing in new student financial assistance measures beginning in the fall of 2009. As part of our economic action plan, we're proposing to increase funding to the provinces and territories so that more Canadians can have access to the training and skills they need to land a new job.
But we cannot do it alone. We will do it in partnership with the provinces and territories.
So recognizing that the provinces and territories have the pulse of their local labour markets, we'll invest $1 billion over two years through the employment insurance program under existing agreements. These funds will enable provinces and territories to train an additional 100,000 EI-eligible clients in hard-hit sectors and regions of our economy.
A proposed new strategic training and transition fund will provide $500 million over two years. This fund will provide flexibility to help meet the different training and support needs of workers affected by the downturn, whether or not they qualify for employment insurance, and up to 50,000 individuals could benefit.
Another area of investment is the targeted initiative for the older workers program. We are increasing this program's budget, providing an additional $60 million over three years, and we're expanding its reach. Assistance will be made available to more workers in a large number of cities, particularly those heavily dependent upon a single sector or single employer facing adjustments.
We have an apprenticeship incentive grant to encourage more Canadians to get into the skilled trades, and we propose to build on this by adding a new grant for apprentices who successfully complete their apprenticeship training in a red seal trade. This $2,000 grant could benefit up to 20,000 eligible apprentices per year.
To further support the trades, the Prime Minister and premiers recently agreed to work together so that Canada can benefit from the experience of skilled new Canadians. To this end, we are committing $50 million over two years to help more newcomers obtain the certification they need to get to work quickly once they get to Canada.
Mr. Chair, let me now turn to employment insurance. In an economic downturn EI is the first line of defence. As members know, EI has important features that automatically respond to changing economic conditions. As employment rates increase in a given region, the number of hours required to access EI is reduced, and the duration of benefits increases. The government, however, is taking significant additional steps to help Canadians. For the next two years we'll make available nationally the five weeks of extended EI benefits that have previously been available through a pilot project only in regions with the highest unemployment. The government will also increase the maximum duration of benefits to 50 weeks. Some 400,000 claimants could benefit from these changes.
We also intend to support long-term training for those workers who have worked many years and did not make significant use of EI. We would extend income support for the duration of their training, and this would benefit 40,000 workers.
The government will also freeze EI premium rates for 2010 at $1.73 per $100. This is the same rate as 2009, and it provides a projected stimulus of $4.5 billion relative to break-even rates.
What's more, we'll extend work-sharing agreements by 14 weeks to a maximum of 52 weeks. This will enable Canadians to continue working while companies adjust to a temporary slowdown and recovery. To complement this measure, we're also proposing to increase access to work-sharing agreements through greater flexibility in the qualifying criteria.
In terms of processing EI claims, our priority is to ensure that clients receive their EI benefits just as quickly as possible. We've already made significant efforts and investments to process the increasing EI claims. We're hiring additional staff, redistributing workloads across the country, and recalling recent retirees. We're also increasing overtime, opening EI call centres on Saturdays, and increasing automation of claims processing, and we will do more as it's needed.
In a time of economic uncertainty, housing is of particular importance to Canadians. We have an obligation to protect the most vulnerable citizens in this country. In September 2008 our government committed $1.9 billion over the next five years for housing, to improve and build new affordable housing for low-income Canadians and to help the homeless. Canada's economic action plan invests more than $2 billion in additional social housing, creating jobs in construction and renovation. We hope provincial and territorial governments will match this investment because this will help families and individuals in need access safe and affordable housing at rents they can afford. It will bring older projects up to standard and make them more energy efficient.
We will also invest in new social housing for low-income seniors and persons with disabilities so they can continue to live independently in their communities. We have an obligation to protect the most vulnerable citizens of this country.
That's why our government, in September 2008, made a five-year commitment of $1.9 billion to extend housing and homelessness programs to low-income Canadians. And we will be building new social housing and repairing and modernizing existing social housing in first nations communities and in Canada's far north.
The supplementary estimates addressed a couple of issues that are close to my heart. Elder abuse is a subject that has required a focused and coordinated effort, involving the Department of Justice, the Public Health Agency of Canada, and the RCMP, with HRSD providing a leadership role.
We are now in a position to work with stakeholders to help seniors and others to prevent abuse and recognize the symptoms.
On the disabilities side, I took great pride in helping launch the Canada disability savings program. The goal is to provide for the financial security of persons with severe and prolonged impairments and physical or mental functions.
My personal struggle with a physical disability has taught me the importance of providing avenues for independence and self-sufficiency for persons with disabilities. They appreciate that so much.
Mr. Chair, our government recognizes the challenges ahead. We understand and sympathize with those who are going through these difficult times. Following the most extensive pre-budget consultations that our country has ever seen, we've heard from and are delivering for Canadians through our economic action plan. This plan will stimulate the economy and will create and maintain jobs.
As parliamentarians, we owe it to Canadians to pass this legislation as soon as possible.
This plan is currently before Parliament, and I urge all members to pass it without delay.
I now invite committee members to ask questions on the supplementary estimates (B) or on any of the HRSD measures announced in Canada's economic action plan.
Thank you, Mr. Chair.
