Apprentice Loans: New Disability Definitions

Summary#

These final regulations (SOR/2022-133) update the Apprentice Loans Regulations to change how some disability terms are defined and to make people with long-term (but not lifelong) disabilities explicitly covered by certain loan rules. They were published June 22, 2022, and come into force August 1, 2022.

What it does#

• Replaces the definition of severe permanent disability to list different kinds of impairments and to link the meaning to the ability to work in a way that is “substantially gainful” under the Canada Pension Plan rules, and to say it is expected to last for the person’s expected life.
• Replaces the definition of permanent disability to describe impairments that restrict daily activities needed for apprenticeship or work and that are expected to last for the person’s expected life.
• Adds a new definition, persistent or prolonged disability, defined as an impairment that restricts daily activities needed for apprenticeship or work and that has lasted, or is expected to last, for at least 12 months but is not expected to last for the person’s expected life.
• Edits wording in section 12 of the regulations so that where the rules refer to borrowers with a permanent disability, they now refer to borrowers who have either a permanent disability or a persistent or prolonged disability.
• Adjusts the related timing language used in section 12, including a reference to 114 months in the calculation used there.

Who's affected#

• Borrowers under the Apprentice Loans Regulations, especially those who have long-term disabilities that are not lifelong.
• Apprentices who develop or live with disabilities that last a year or more but may not be permanent.
• The department that administers the program — Employment and Social Development — and officials who apply these rules.

Why it matters#

• The change broadens which types of disability are explicitly recognized in the apprentice-loan rules. That can affect whether someone with a long-term but non-permanent disability is treated the same as someone with a permanent disability under the parts of the regulations that were amended.
• For apprentices facing prolonged health issues, the change can clarify eligibility for whatever supports or special treatment section 12 provides (for example, pause, adjustment or special calculations under the loan rules), though the regulations themselves set the exact legal effect.
• The wording updates also make the rules clearer about how long a disability must last to be considered under these categories.