Streamlined Feepayer Approach

Information and Process for
Employment Assistance Service (EAS) Providers

A new, streamlined approach to the application process for Feepayer clients became effective on June 1, 2009.  The purpose of this document is to introduce and provide guidance about the new approach to Employment Assistance Service (EAS) Providers.

A Feepayer is an Employment Insurance (EI) client who requests and receives authorization from the Employment and Labour Market Services Division (ELMSD), under Section 25 of the EI Act to continue to collect his/her EI benefits while attending approved training for which he/she is paying all training-related costs him or herself.

Under Skills Development (SD) program policy, Feepayers have been required to complete the nine-page application form HSD5259 “Application for Financial Assistance under the Skills Development Employment Benefit (SDEB)” as well as undergoing the same rigorous and time-intensive assessment process as regular SD clients.

With the federal government’s Long Tenured Worker Initiatives (LTWI) that came into effect on May 31, 2009, Service Canada articulated a streamlined Feepayer approach in a policy paper entitled "Temporary Feepayer Policy for Permanently Unemployed Workers." It also made this option available to the provinces administering the LTWI under Labour Market Development Agreements.

As this approach will make skills training more accessible for Feepayer clients, and presents minimal risks and reduces workload for service providers and staff related to the processing of these types of applications, ELMSD has approved the same approach as a permanent policy for all Feepayer clients and not just those requesting assistance under the LTWI. 

The new approach places the responsibility on the client to ensure that he/she has undertaken adequate labour market research and is making a good choice in terms of training in relation to the needs of the labour market. These clients will not be required to demonstrate the extensive labour market research normally associated with a Skills Development application for funding.

Clients will still need to have their needs assessed and develop a mutually agreed upon Return to Work Action Plan with their EAS case manager. They will also be eligible to receive support in determining the suitability of training as a response to their labour market need.

Given the rapidly changing labour market, it is important to encourage unemployed job seekers to use this period to improve their skills as necessary to help them become re-employed.  In support of this objective, the policy concerning the application requirements and approval of Feepayers has been revised to streamline the application process.
To be approved by ELMSD as Feepayers, unemployed workers who wish to participate in training at their own expense must:

• meet the eligibility criteria of an EI client;
• pursue training that has the potential to enhance their future labour market participation;
• have had their needs assessed by an EAS case manager;  and
• have developed a Return to Work Action Plan as explained below.

OPERATIONAL GUIDANCE

Application Form: HSD5166 “Referral to Training Activity Under Section 25 of the Employment Insurance (EI) Act”

• All Feepayer clients must complete the following relevant sections in Parts A, B and E of the form:
• Part A - PARTICIPANT INFORMATION
• Part B – DESCRIPTION OF TRAINING ACTIVITY - only the following information needs to be completed: 
• Name of Training Institution, Course Name, Start Date of Training and End Date of Training.
• Part E – only the following information needs to be completed:
• Participant’s Signature and Date
• The form must contain complete information about the course(s) being requested and the training institution.
• The client must read and understand his or her responsibilities as outlined on page 2 of the form.

Once approved and completed by ELMSD, this form will also serve as the client’s agreement with the Province.

The application package must include:

• a completed and signed HSD5166 (Parts A, B and E as mentioned above);
• a copy of the Return to Work Action Plan (RTWAP);
• a copy of the Letter of Acceptance from the training institution outlining the details of the program and associated training costs;
• a brief synopsis of the client’s labour market research; and
• the EAS case manager’s written statement of support or non-support for the client’s application.

Return to Work Action Plan

• A RTWAP that identifies a lack of skills as a barrier to employment must be developed and agreed to by the client and his or her case manager.
• It must also state that there is uncertainty about the client’s immediate prospects for suitable employment in his/her community and that the specified training will enhance his/her future labour market participation.

Case Management

• All Feepayer clients must be case managed as it is an important level of support and ensures the client’s results can be tracked and recorded for accountability purposes.

Points to Note for EAS Case Managers

• EAS case managers may assist clients in the completion of their Feepayer application package and forward it to the ELMSD office on their behalf.
• EAS case managers must ensure that the client’s EI Part I benefits will cover the duration of the training requested.
• EAS case managers must not refer clients requesting assistance as a ‘Feepayer’ (EI Part I only) to an SDEB community coordinator, as community coordinators do not have the authority to refer clients to training as Feepayers. Only ELMSD program officers have this authority.
• EAS case managers must ensure that the training institution the client has chosen is either PCTIA registered and/or accredited, or exempt.