8 things people on P.E.I. should know about the 2018 federal budget

The Trudeau government delivered its third budget Tuesday, a document entitled "Equality and Growth: A Strong Middle Class." It includes items that will affect the lives of Prince Edward Islanders, ranging from funding for families, to addressing the "EI black hole" for seasonal workers, to funding new options for rural broadband internet.

Finance Minister Bill Morneau's 2018 federal spending plan aims to boost productivity and offset an aging population by bringing more women into the workforce in sectors ranging from science to skilled trades.

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Here's what the 2018 budget means for Islanders:

1) More benefits for new parents

The federal government plans to spend $1.2 billion over five years and $344.7 million per year thereafter to introduce a new EI Parental Sharing Benefit. The benefit will provide additional weeks of "use it or lose it" EI parental benefits, when both parents agree to share parental leave. The incentive is expected to be available starting June 2019. 

The proposed benefit will be available to eligible two-parent families, including adoptive and same-sex couples, to take at any point following the arrival of their child. The benefit would increase the duration of EI parental leave by up to five weeks in cases where the second parent agrees to take a minimum of five weeks of the maximum combined 40 weeks available using the standard parental option of 55 per cent of earnings for 12 months, according to the 2018 budget document.

Alternatively, where families have opted for extended parental leave at 33 per cent of earnings for 18 months, the second parent would be able to take up to eight weeks of additional parental leave. In cases where the
second parent opts not to take the additional weeks of benefits, standard leave durations of 35 weeks and 61 weeks will apply.

2) Child care

Last year the federal and P.E.I. governments signed an agreement that will see Ottawa invest $10.5 million in the province's early childhood education system over the next three years. Nine bilateral agreements have now been signed with provinces and territories. The 2018 budget outlines details of what P.E.I. can expect. 

It said on P.E.I. up to 100 children whose parents work non-standard or seasonal hours and can receive specialized child care tailored to their needs and up to 200 infants and preschool children will be able to access a regulated space, which is a 10 per cent increase according to the budget document. 

3) Free national park admission

Free admission for kids to national parks will be made permanent. 

4) Rural innovation

$100M over 5 years has been budgeted to develop rural broadband innovation, including low-earth-orbit satellites. 

The Government of Canada said it recognizes access to the internet is more than just a convenience — it is an essential means by which citizens and businesses access information, offer services and create opportunities and to reach the most remote areas of Canada, new technological solutions will be required.

5) EI 'black hole'

Finance Minister Bill Morneau said in his speech the federal government will work to address the "black hole" in Employment Insurance benefits for workers in seasonal industries like fish processing and tourism to help families make ends meet until new work seasons begin. 

Budget 2018 proposes to invest $80 million in 2018–19 and $150 million in 2019–20 through federal-provincial labour market development agreements. In the coming months, the government plans to work with key provinces to co-develop local solutions that can be tested to support workforce development. Employment and Social Development Canada will also reallocate $10 million from existing departmental resources to provide immediate income support and training to affected workers. The government said these measures will help ensure that unemployed workers in Canada's seasonal industries have access to the supports they need when they need them most. Budget 2018 also proposes legislative amendments, as required, to assist workers in seasonal industries.

6) Small craft harbours

Money has been earmarked to expand fisheries operations as the increasing size of fishing vessels require deeper and wider harbours. Safe and accessible small craft harbours are essential to Canada's fisheries industry as well as its coastal communities says the budget document. Budget 2018 proposes to provide $250 million on a cash basis over two years, starting in 2018–19, to Fisheries and Oceans Canada to renew its network of small craft harbours and work with municipalities. 

7) Temporary Foreign Workers

Money has been budgeted to protect temporary foreign workers. Many of the workers are employed on P.E.I. in fish plants. The government proposes to provide $194.1 million over five years, beginning in 2018–19, and $33.19 million per year ongoing, to ensure the rights of temporary foreign workers in Canada are protected and enforced through a robust compliance regime. 

Funding will support unannounced inspections under the Temporary Foreign Worker Program, the continued implementation of the International Mobility Program compliance regime, and the ongoing collection of labour market information related to open work permits. In addition, the Government proposes to invest $3.4 million over two years, beginning in 2018–19, from Employment and Social Development Canada's existing resources to establish, on a pilot basis, a network of support organizations for temporary foreign workers dealing with potential abuse by their employers. This network would support these workers in reporting wrongdoing and provide information on their rights to temporarily remain and work in Canada free from harassment and abuse.

8) Phoenix Pay System

More money is going to be spent to fix issues with the plagued Phoenix pay system, which is the system used to pay many Islanders. $16 million over two years, beginning in 2018–19, will be invested to work with experts, federal public sector unions and technology providers on a way forward for a new pay system. 

The budget also outlines an additional $431.4 million over six years, starting in 2017–18, to continue making progress on Phoenix issues including hiring additional staff to support the pay system. 

To date, the government has already committed more than $460 million to implement the Phoenix pay system and resolve subsequent issues. 

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