RBC + SCP
Community Employment Loans
SCP’s innovative social finance strategy gives business owners an incentive to hire individuals who are at a disadvantage in finding employment. Our partnership with RBC is helping take the solution to scale. Along the way, we are benefiting both a major financial institution and its customers.
Creating a Different Model
Our Community Employment Loan program facilitates access to subordinated debt financing for entrepreneurs, franchisees and small business owners who commit to hiring workers via community agencies and other employment service providers. The terms of these Community Employment Loans are linked directly to outcomes: for every employee an entrepreneur hires from one of our community partners, the interest rate on the loan decreases.
Proving the Win-Win
Our financing targets community-minded business owners who have a high number of entry-level positions with the potential for career advancement. It’s a win-win scenario. More job seekers from disadvantaged groups are offered opportunities for decent employment, while entrepreneurs gain access to attractive financing terms and strong, motivated employees.
Partnering for Scale
After years of experimentation and refinement, SCP brought the program to RBC Generator, the impact investing arm of RBC’s Social Finance initiative. RBC Generator has purchased $250,000 of the Community Employment Loan portfolio managed by SCP, and has made an additional commitment of up to $450,000 over a 3-year period. RBC’s involvement is helping provide more employment opportunities across more organizations, geographies and sectors.Read about our partnership in the Wall Street Journal >
“By linking interest rates to employment outcomes, SCP is demonstrating how financial incentives can drive social good in a way that makes sense for business owners. SCP is a leader in the social finance landscape in Canada, and through this initiative RBC hopes to further engage the private sector in using business to drive positive social impact.”
Deloitte + SCP
Demand-Led Employment & Training
By showing how Canada can achieve both economic growth and productivity through “demand-led” employment systems, SCP’s partnership with Deloitte is offering a new vision for policy makers and business leaders. With its size, research capability, expertise, and ability to engage employers and government, Deloitte is helping drive change at the systems level.
Advancing Demand-Led Systems Change
SCP and Deloitte have released a White Paper that calls for transformative change. In it, we advance concrete recommendations for bridging supply and demand to the benefit of both employers and job seekers. By scaling a demand-led employment and training system nationwide, we believe that we can help build a more productive, prosperous and inclusive Canada. Deloitte’s investment of resources and commitment to leadership in this area will affect more organizations than we ever could alone.
Link to our White Paper, “Working together: Implementing a demand-led employment and training system.”
Breaking Down the Components
To better understand challenges and opportunities, Deloitte and SCP assessed the “current state” of affairs, conducting consultations with employment service providers, staffing agencies, job seekers, employers and other key players. We also interviewed leaders in workforce development and innovation, with an eye toward best practices. The result is both a clear understanding of today’s reality, challenges and opportunities, as well as a clear vision for the future.
Demand-Led Demonstration Projects
The perspective and learnings arrived at with Deloitte aided the design of concrete projects on the ground. Our goal is to prove the business case to employers and the return on investment for government. Deloitte and SCP identified seven industry sectors where demand-led demonstration projects can make the greatest difference – considering factors such as employers’ current and future needs, skills required for entry-level jobs, and the quality of jobs themselves. The result is a sharp focus on where demand-led programs can most powerfully drive access to employment. We are now working with employers and government partners in multiple provinces.
“Our belief is that Canada’s current employment training and social assistance systems… must be redesigned and implemented in a manner much more responsive to our future workforce development requirements. Employers currently play virtually no role in designing and delivering our employment and training programs and this must change or we will continue to pay a severe price in terms of employment and productivity.”
We would like to acknowledge the pro bono support that both Monitor and now Monitor Deloitte have provided along our journey.
MaRS + SCP
MaRS Solutions Lab helps solve complex societal challenges that require systems change. One of their areas of focus is the “Future of Work and Learning.” SCP and MaRS have partnered to design and test solutions at a macro system level.
Taking a Lab Approach to System Change
Unemployment and lack of skills force many Canadians into the ranks of “marginalized communities” – they are at risk, or outside the economic mainstream. Our partnership with MaRS aims to address access to employment issues faced by over one million marginalized Canadians. Taking a “Lab” approach means starting by looking at the problem from the users’ perspective - in this case, jobseekers and employers. The process involves convening users and stakeholders to figure out causality, identify the root cause, develop prototypes, run experiments and scale what works.
Mapping the System
SCP and MaRS are together mapping the entire system, and identifying opportunities for change in the current landscape of employment and training. System mapping includes identifying all the actors involved and understanding how these stakeholders interact with each other. Our aim is to identify gaps and opportunities for different types of interaction that may produce better outcomes.
Developing a National Change Strategy
Together with MaRS, we are exploring and designing a national change strategy to address these problems. One element of this strategy is to establish a national group of experts and champions, representing employers, government, employment service providers, consultants, training providers, colleges, and others. This group, which will be engaged in developing solutions, will serve as a catalyst to change the behaviour of stakeholders throughout the system.
Virgin Mobile Canada + SCP
Virgin Mobile RE*Generation Supporting At-Risk & Homeless Youth
Virgin Mobile RE*Generation was created to empower a generation to help its own and support at-risk and homeless youth.
With SCP’s help, Virgin Mobile RE*Generation is investing in programs that help youth find stable employment, through innovative, demand-driven programs.
Over 225,000 Canadian youth are without a job and not in school. They’re having difficulty accessing affordable housing and paying for life’s necessities. Meanwhile, finding and maintaining a job is tough – particularly for young people who may not possess required skills and who may not be aware of employer expectations.
Virgin Mobile RE*Generation
More than $2.5 million has been raised through programs such as Change For A Dollar, Text to Donate, the RE*Generation phone from Samsung and ongoing benefit concerts. These efforts are raising awareness and encouraging Canadians to be a part of a solution to youth homelessness.
Since 2008, by partnering with leading youth-serving agencies across the country, funds have been invested in providing at-risk and homeless youth with emergency and crisis support like shelter and counseling as well as mentoring and life skills training so they can emerge from the cycle of homelessness. Now, Virgin Mobile RE*Generation is turning its attention to employment.
Learn more online at Virgin Mobile.
Identifying the Right Partners
By supporting services and training that include employers in their design and curriculum, Virgin Mobile RE*Generation is seeking to shift the dial on helping at risk and homeless youth find and keep jobs that provide a stable, meaningful income. Virgin Mobile RE*Generation and SCP have collaborated to identify youth-serving agencies with innovative demand-driven approaches. Investments are being made in programs that provide at-risk and homeless youth with the in-demand skills employers are looking for in IT, digital print, food services and construction industries.
Staying on Track
SCP will continue to work with Virgin Mobile RE*Generation on program performance and evaluation – tracking outcomes, measuring impact and sharing lessons learned across partners. Our work together is a great example of a partner with size and scale drawing on our knowledge, expertise, connections, and commitment to find a better way.