Social assistance is harder to get than it was 20 years ago and, as a result, more people were being forced into destitution to qualify in 2009, says a new report from the National Council of Welfare (NCW).
Released on Monday, the report, Welfare Incomes 2009, reveals that many provincial social assistance programs have not kept pace with inflation and those using the service are finding it more difficult to make ends meet.
In addition, the maximum amount of liquid assets that applicants are permitted to have before they are no longer eligible to receive social assistance has eroded.
In Alberta, a single person considered employable is allowed to have $583 in liquid assets before the amount they receive from welfare is reduced.
The amount of liquid assets for a single person with a disability is $1,530, $1,062 for a single parent and child and $1,533 for a couple with two children.
According to the NCW, liquid asset exemption policies are counter-productive. The organization argues that allowing applicants to retain modest savings will help make the transition to self-sufficiency easier.
In Alberta, the Basic Social Assistance amount for single people considered employable increased slightly last year, to $7,241.
Only three jurisdictions increased their basic social assistance amount for people in this category between 1990 and 2009: Saskatchewan (17 per cent), Newfoundland and Labrador (63 per cent) and the Yukon (34 per cent).
However, since inflation increased by 45.9 per cent during the 19-year period, only in Newfoundland and Labrador did the welfare income increase exceed the cost of living.
Basic social assistance for a single person with a disability was $8,244 plus a $253 tax credit
Albertans who are severely handicapped received $14,297 under the province’s Assured Income for the Severely Handicapped (AISH) program in 2009. This category saw a 4.2 per cent increase between 1990 and 2009.
In Alberta, single parents with one child received $15,749 in 2009 after Federal Child Benefits and GST credits were factored in.
Couples on social assistance with two children received a median sum of $22,220 in 2009.
In Alberta, the total was slightly lower, at $22,201.
Leanne MacMillan, community development co-ordinator with Family and Community Support Services (FCSS) in St. Albert said the number of families applying for the City Subsidy Program grant, which helps low income families afford recreational activities for their kids, has increased substantially over the last few years.
“Maybe they held on tight but now things are really tight for them so families that we’ve never seen before we’re seeing now,” she told the Gazette on Tuesday.
“Unfortunately those sort of things of course can’t be a priority if you’re looking at the necessities of life around food, rent, shelter,” she said.
The program is a collaboration between FCSS and the City of St. Albert, which assesses the financial need of applicants.
For people on a tight budget, recreational activities must often be postponed until families can afford to pay for them, MacMillan said.
“It helps the kids recreate. That’s very important for long-term health but it also keeps them busy and gives them self-worth. Investing in prevention pays off in the long run,” she added.
