Compendium of Case Studies on e-government Theme: Interactive and Transactional Capacities
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1 UN Public Administration Division for Public Economics and Public Administration Compendium of Case Studies on e-government Theme: Interactive and Transactional Capacities Canada - Employment Insurance (EI) and the Record of Employment on the Web (ROE Web) PROJECT DESCRIPTION (background, main features and area of application) In keeping with the Government of Canada s Government on Line initiative, Employment Insurance is responding to the needs of Canadians for better, faster and more convenient services on the Internet. The EI Program has undertaken a number of service transformation projects to improve the quality, speed and accessibility of service by putting in place a suite of electronic client facing services and tools to automate claims processing in order to achieve the following: Receive high quality electronic information from clients and businesses over the Internet: Automate claims processing to the extent possible and process the remainder in a paperless environment using first available agent; Use electronic payments to the extent possible (Direct Deposit); Exchange program information/change key client data electronically (EI Information On- Line); Harmonize Call Centres; Reinvest in client service improvements. Citizens can access services through the channel of their choice (Internet, telephone, in-person or mail) with no wrong door, with the confidence that a high priority is placed on the privacy and security of personal information. Service excellence is achieved through the integration of automation, simplification and streamlining of processes. By taking this citizen-centric view to client service the EI program has taken advantage of the opportunities presented by advances in telephony and the Internet to provide services in an efficient and effective manner, focused on meeting the needs and expectations of citizens. These electronic services are supported by a knowledgeable in-person staff providing services to citizens with special needs or simply requiring additional assistance. In addition to ensuring that EI benefits are paid in a timely and accurate manner, Service Canada is continuing to work with employers, payroll service providers and payroll software vendors to provide for electronic filing of records of employment (ROE s) and payroll information. The Record of Employment (ROE) is a mandatory form which must be completed and provided to an employee upon a separation from employment. Service Canada s ROE Web application facilitates this government-to-business transaction over the Internet. Specifically, the ROE Web accepts secure, webbased transmissions of Record of Employment (ROE) data from employers. In order to do so, the ROE Web uses Government of Canada Secure Channel technology that provides authentication, encryption and digital signature on the transactions. The ROE Web provides many advantages to the employer community including the following: businesses do not have to mail paper copies of the ROE to Service Canada, employers can use the Service Canada database to file their ROEs and there is no need for businesses to order or store paper ROEs The ROE Web, thereby, assists Canadian employers in alleviating administrative and paper burden. The ROE Web is simple to operate requiring only Internet access and a GOC E-pass to get started. Employers that make use of this service are able to submit ROEs one at a time in real time or in a bulk (multiple ROE) format according to their preference. 1
2 OBJECTIVE By optimizing the use of technology the delivery of EI benefits is being transformed. The following Employment Insurance (EI) on-line services allow Canadians to apply for EI benefits, to view their personal information and claims and to submit their EI report and enable businesses to provide records of employment on-line. These services will improve the quality, consistency and speed of claims processing, reduce the compliance for businesses and improve the quality, integrity, efficiency and cost-effectiveness of benefits processing. Listed below are descriptions of projects related to EI on-line services: 1. Application for Employment Insurance Benefits In 2002 we introduced the capacity for citizens to apply for employment insurance via the Internet. Clients no longer have to mail in their paper applications or drop them off at our offices. They are able to complete the application wherever they have access to the Internet, in effect enabling them to apply 24/7. For clients who do not have easy access to the Internet, our local offices, of which there are 320 across Canada, provide access through Citizen Access Work Stations. Our staff are trained to provide assistance to those clients not familiar with completing forms in an electronic environment. The on line application includes an interactive fact finding system that performs a virtual interview about specific situations such as reasons for leaving a job, dismissal or training. This allows for complete information gathering at the outset which results in faster payments to clients. In , 1.85 million (85%) applications for benefits were received over the Internet, with 50% of those being received virtually from sites other than our offices. As of October 2005 about 90% of initial applications are completed on-line. In 2003, the Application for Employment Insurance Benefits on the Internet won the GTEC * Gold Medal for Innovative Service Delivery to Citizens and Businesses. * GTEC was launched in 1993, and originally stood for the 'Government Technology Exhibition', but is now known simply as GTEC Week. It is comprised of three components: 1) the GTEC Week Exhibition, a world-class showcase of IT products, services, and solutions featuring up to 400 exhibits and demos of solutions for e-government; 2) the Professional Development Forum, a three-day conference and premier learning opportunity that attracts senior speakers and delegates from around the world; and 3) the Distinction Awards Program and Gala, a celebration of innovation and leadership within the IT public sector. 2. Automatic Claims Processing Automated Claims Processing (ACP) evolved from the Government On-Line Appli-web (Application for Employment Insurance benefits on the Internet) and ROE Web initiatives and is a major component of the transformation agenda to improve the quality, speed and accessibility of service to Canadians. Information from these web services are pulled together and the EI entitlement is instantaneously calculated, resulting in more accurate and timely processing of benefits. Currently we are automatically calculating about 30% of our renewal claims that are filed over the Internet and we expect to begin automatically calculating initial claims in Internet Reporting Service Five years ago all bi-weekly client reports were filed using paper. We transformed reporting and now more than 22 million bi-weekly reports are filed through an automated telephone service. We have further transformed this process and with the successful launch in February 2004 of the Internet Declarations product, clients can now use the Internet to file their bi-weekly employment insurance declarations. 2
3 The response to the Internet Reporting Service has been significant and immediate. Over 30% of all biweekly reports are now received on-line and this number continues to climb. A voluntary exit survey appended to the Internet reporting application indicates that 97% of clients prefer Internet reporting over telephone reporting.. In 2004, the Internet Reporting Service won the GTEC Gold Medal for Innovative Service Delivery to Citizens and Businesses. 4. My EI Information In-line This is a new service that became available in August 2005 and gives clients the convenience and flexibility of accessing their EI information in one place via a secure Web site. It is a fast, easy, convenient and secure. Clients are able to check the status of their EI account, view and update personal information, such as changing their address. 5. ROE Web ROE Web consists of a number of components aimed at streamlining how businesses provide payroll information to Service Canada for the Employment Insurance program, It provides an effective Internet interface and secure exchange of data for employers to electronically submit Records of Employment. This initiative improves services to Canadian businesses and reduces operating costs associated with ROEs while improving the integrity of the Employment Insurance fund, and reducing administration costs. ROE Web is available to all employers. In 2004, ROE Web won the GTEC Gold Medal for Innovative Service Delivery to Citizens and Businesses. IMPACTS/RESULTS (including benefits and costs generated by the project) For Canadians: Ensuring the right client receives the right benefit at the right time. Employment Insurance is one of the largest, most important and effective federal programs. EI plays a key role in Canada s economy and social safety net. It provides a temporary source of income to people who have lost their job through no fault of their own, who can not work because of sickness, child birth, parenting or providing support to a dying or gravely ill person. The EI Program adjudicates approximately 2.8 million applications per year and processes in the area of 18 million bi-weekly reports from clients. Clients are now able to complete all of the actions necessary for EI benefits (apply for benefits, direct payments to their bank and account of choice, prepare bi-weekly reports and obtain program information) via the Internet. In we anticipate receiving over the Internet, 90% of initial applications for benefits, 40% biweekly reports, 50% of renewal applications will be automatically processed and 20% of clients will use MY EI Information on-line. The use of the Internet produced savings in telephony costs as clients no longer have to call the Call Centre to file bi-weekly reports or to receive general information about their claim. We achieved our objective of paperless processing by eliminating the printing of all applications received electronically. Furthermore, electronic tools have been developed for staff which enables them to increase the development of a complete electronic file, thereby reducing paper and storage costs. In addition, applications filed over the Internet go through the interactive fact finding system which allows for complete information gathering at the outset which results in faster payments to clients and enables staff to spend more time on complex and contentious EI applications, reviewing with clients why an application for benefits has been denied and other avenues of assistance that may be available. 3
4 Given the number of clients served by the EI Program, this will make a major contribution towards the Government On-Line goal of using information and communication technology to provide Canadians with enhanced access to improved citizen-centered, integrated services, anytime, anywhere and in the Official Language of their choice. For Canadian Businesses (Employers): a simpler, less burdensome and more accurate system for submitting earnings and payroll data to the Government of Canada. In 2005, ROE Web is available to all Canadian employers and currently has 25, 000 businesses registered. By the end of the fiscal year, it is anticipated that more than 1 Million ROEs will have been submitted electronically by the business sector. The reliability of the Government of Canada's Secure Channel is assisting in attracting and maintaining employers who use the ROE Web service. Completing a paper ROE can take a payroll professional as much as 20 minutes including printing depending on the complexity of issues surrounding the separation from employment. Using web technology as many as 1800 ROEs can be processed in a single transaction. As an example, one employer recently indicated that it finalized 900 ROEs in 30 minutes and in the past this process would have taken days to complete. As such, there are significant cost savings for employers based on the reduction of time required to complete a Record of Employment and the resultant decrease in paper usage. For Service Canada, it is anticipated that ROE-Web will result in a reduced error rate which will assist clients in receiving their benefit entitlements more accurately. In addition, information will be received in a more timely fashion and with the linkages of the electronic data to the claims calculation process, instances of fraud will be easier to detect. Finally, ROE-Web eliminates data entry and will assist in reducing error rates allowing for more efficient resource use. KEY ISSUES (issues encountered during the implementation stage) One of the challenges we faced with some of our implementations (i.e. Internet Reporting Service) was to ensure secure mainframe connectivity with our legacy systems to the new web services. In this case our systems partners found a solution that ensured fast, secure and reliable mainframe connectivity. In addition, as with anything new, especially using leading edge technology is having the unexpected happen upon implementation even though thorough testing was done. For this reason, implementations were carried out in select pilot offices and as issues were identified, work arounds were developed until such time as the fix could be made. It should be noted that there are several key success factors that are used regardless of the initiative being developed: Well-coordinated communications within the department with regional and local offices as well as with the public, clearly stating the purpose and existence of the initiative; Effective marketing and promotion of the new product or service offering with client groups or customers; Concerted effort by staff in multiple systems areas to ensure the effective design, testing, and implementation; Collaboration between systems staff and program staff at all stages throughout the project life-cycle; Technical expertise from both web-based and mainframe development groups and infrastructure staff; Availability of Internet access in all parts of Canada; 4
5 Acceptance by the Canadian public that the electronic transmission of their personal data is secure. In addition, success is ensured through focus testing, conducting threat and risk assessments, privacy impact assessments, and on-line surveys. TARGET GROUPS Canadians and businesses (employers) LESSONS LEARNED (including feedback) Some key lessons we have learned as we implemented these initiatives are: The development of a governance structure is required depending on the size/scope of the project to ensure the project stays within scope, budget and timelines. A project s success depends heavily on setting and delivering all of the expectations of the stakeholders and obtaining their concurrence on that achievement from the start. Objectives, expectations, expected outcomes must be clearly stated and achievable. They must be recorded, understood, monitored, reviewed and adjusted as required on a regular basis. Changes need to be communicated and accepted by all stakeholders. Testing is critical and enough time and resources must be dedicated to this task. Partnership development is a key ingredient of any multi-stakeholder project. Key roles and responsibilities along with a formal agreement are vital. WEBLINK CONTACT INFORMATION Sonja Adcock Director, Insurance Program Services Service Canada Sonja.adcock@servicecanada.gc.ca Jay Khosla Director, Employer Services Service Canada Jay.khosla@servicecanada.gc.ca 5
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