Five Million Dollar Aid Package For Potato Plant Workers Announced

* Development and Technology [to Apr 2008]
Five million dollars over two years has been pledged to help potato plant workers affected by the potato wart situation. The announcement of the program was made today by the Honourable Lawrence MacAulay, Solicitor General of Canada, on behalf of the Honourable Jane Stewart, Minister of Human Resources Development Canada, and Michael F. Currie, Minister of Development and Technology for the Province of Prince Edward Island.

The Farm Employee Support Program will be funded under the Canada/Prince Edward Island Labour Market Development Agreement, a co-managed agreement between Human Resources Development Canada and the provincial Department of Development and Technology.

"Today's announcement brings assistance to Island potato plant workers," said the Honourable Lawrence MacAulay. "Providing wage subsidies to their current employers will help workers maintain employment during a difficult time. This program will also help support local farming communities by stabilizing their workforce and strengthening the economic and social activity."

"Like the farmers they work for, these people have become victims of the potato wart crisis and the closure of the US border to Island potatoes," said Michael F. Currie, Minister of Development and Technology. "This program will help them secure enough employment; it will also assure that farmers will not lose a very valuable workforce because of this crisis."

Since restrictions were placed on shipping to the United States, many farmers have not been able to provide enough work for employees who would normally package potatoes. This program will provide farmers with an employment subsidy which will enable them to retain their valued workforce. The employees will work on the farm or with community-based non profit groups, doing different work than they normally do, which will help give workers new experiences and diversify their skills.

Surveys carried out earlier this month indicate that approximately half of the Island's potato packaging plants have workers who would qualify for assistance. They represent full-time, seasonal and casual workers.

In addition to the subsidies, work sharing is also available to eligible employers and their EI eligible workers who agree to shorten the work week. Under a work sharing arrangement, Human Resources Development Canada will provide eligible workers with EI benefits to compensate for the lower wages because of reduced hours.

Applications for the program will be available beginning on March 19th. Intake for the program will continue through the spring. If there is still a need, the program will be activated again in January 2002.

Media Contact: Birt MacKinnon