Helping make ends meet? Understanding the impacts of BC’s annualized earnings exemption on people living with mental illness

CRWDP Reports

Over 50% of recipients of BC’s Persons with Disabilities (PWD) benefit have been diagnosed with a mental illness.1 Not all people with mental health-related problems desire to work, but many do, both as a means to increase their income and to support their recovery and wellbeing. People who rely on PWD benefits, which fail to provide an adequate standard of living for many, require additional income in order to have secure housing and enough money to cover other basic necessities. 

While mandatory employment obligations can be harmful, choice-driven employment with evidence-based supports can have significant benefits for people experiencing mental health-related problems. The way in which the Ministry of Social Development and Poverty Reduction treats employment and income obtained through employment can impact people’s ability, desire and opportunities to work. In January 2015, BC became the first province in Canada to allow people who are earning income and receiving disability income assistance to calculate their earnings on an annual basis, as opposed to a monthly basis. This initiative is called the Annualized Earnings Exemption (AEE)

The objectives of the study described in this report were: 

1. To understand the impact of the AEE and paid employment on the direct experiences of people in receipt of PWD benefits who choose to work.

2. To understand the rationale for and policy-making process used to implement the AEE.

3. To propose recommendations to better support the employment of people experiencing mental illness.

Citation

(2018). Helping make ends meet? Understanding the impacts of BC’s annualized earnings exemption on people living with mental illness [CRWDP Reports]. https://vraie-idea.ca/resources/crwdp-reports/helping-make-ends-meet-understanding-impacts-bcs-annualized-earnings
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