A slowdown does not always have to become a layoff exercise. That is the practical idea behind a proposed federal change that would bring worker retention, reduced hours and training into one program. Employment and Social Development Canada says the coming Workforce Retention and Retraining Program would combine the existing Work Sharing program with the Worker Retention Grant. The proposed model is aimed at employers dealing with temporary economic pressure. It would allow participating workers to reduce their hours while training takes place during time they are not working. Employers could receive up to $1,000 per participant to help with training costs, while eligible workers could receive support that brings compensation for lost earnings to about 70% rather than 55%. For HR teams, the important part is not the name of the program. It is the sequence of decisions the program is trying to change. When demand drops, many organizations move quickly into headcount mode. They freeze hiring, cut overtime, leave vacancies open and then start asking which positions can be eliminated.
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