Evaluation of the Cadet Recruitment Allowance (CRA) - Full Report

National Program Evaluation Service
Internal Audit, Evaluation and Review
Royal Canadian Mounted Police

March 3, 2017

Table of contents

1. 1. Executive summary
2. 2. Background and program description
   • 2.1 Purpose and scope of the evaluation
   • 2.2 Methodology and approach
   • 2.3 Limitations
3. 3. Findings
   • 3.1 Competitiveness
   • 3.2 Recruiting
   • 3.3 Applications
   • 3.4 Enrolments
   • 3.5 Financial barriers
   • 3.6 Payment and recovery
4. 4. Conclusion
5. 5. Management response and action plan
• 5.1 Management response
• 5.2 Management action plan
6. Appendices

Acronyms and definitions

CAPC

Corporate Accounting, Policy & Control

CHRO

Chief Human Resources Officer

CO

Commanding Officer

CRA

Cadet Recruitment Allowance

Depot

RCMP Cadet Training Academy

EPS

Edmonton Police Service

HRMIS

Human Resource Management Information System

HRP

Halifax Regional Police

NCS

National Compensation Services

NHQ

National Headquarters

NRP

National Recruiting Program

NRS

National Recruiting Strategy

NSP

National Staffing Program

OPP

Ontario Provincial Police

RCMP

Royal Canadian Mounted Police

RM

Regular Member

SPVM

Service de Police de la Ville de Montréal

TEAM

Total Expenditures and Asset Management System

TPS

Toronto Police Service

SQ

Sûreté du Québec

VPD

Vancouver Police Department

WPS

Winnipeg Police Service

1. Executive summary

The Cadet Recruitment Allowance (CRA) was launched in 2008 as a five-year pilot project. Its objective was to supplement the Royal Canadian Mounted Police's (RCMP) overall National Recruiting Strategy (NRS) by offering Cadets a $500 weekly allowance during the 6 months they were enrolled in the Cadet Training Program at the RCMP Cadet Training Academy ("Depot") in Regina, Saskatchewan. In 2013, an extension of the CRA was granted by Treasury Board until March 31, 2018. Between 2008-09 and 2014-15, the CRA was paid to an average of 1,147 Cadets each year at an average annual cost of $8.8 million.^{Footnote 1}

What we examined:

The evaluation objective was to provide senior management with a neutral, timely, and evidence-based assessment of the efficiency and effectiveness of the Program. Evaluators examined CRA-related documents, literature, and data; conducted surveys with Cadets and Regular Members (RM) who benefited from the allowance as well as some who went to Depot before the CRA was implemented; and conducted interviews and focus groups with Cadets, Recruiters, and RCMP personnel from various parts of Canada.

What we found and what was recommended:

• The RCMP needs to ensure it is a competitive employer in the Canadian policing universe, especially in Western Canada where the RCMP draws half of its' recruits, and where other police services' Cadets are often full-time, salaried employees.
• Since the introduction of the CRA in 2008-09, the RCMP has largely met its overall recruiting targets. From the perspective of age, ethnicity and gender, the profile of applicants has been relatively unchanged since implementation of the allowance.
• CRA recipients were divided over whether it influenced their decision to apply to the RCMP.
• The CRA plays a role in enabling successful applicants to attend Depot. Half of recruits who received the allowance indicated that they would not, or may not, have attended without it.
• Most Cadets left behind full-time jobs that paid more than they earned as Cadets.
• The CRA has decreased financial barriers to attending Depot and has reduced the financial stress level of Cadets, especially those over the age of 30, those with children, or those with financial obligations.
• RMs who went through Depot without the CRA were more likely to have taken on debt, depleted savings, or to have been receiving money from their families.
• The CRA has been paid in accordance with documented procedures and rules.
• There are consistent processes for identifying Cadets and Probationary Members who do not complete their commitments, and repayment orders are being issued in accordance with the CRA's intent.
• There are procedural inconsistencies and policy gaps related to the creation of accounts receivables for CRA repayment orders, the collection of interest in cases where the debt is not repaid immediately, and in the sending of derelict accounts for collection.

Recommendations have been developed to address the key observations identified in this evaluation as follows.

Recommendation #1:

• The RCMP should seek authority to continue offering the CRA, or some comparable form of financial support for Cadets.

Recommendation #2:

• A process should be developed to periodically revisit the amount of financial support offered to Cadets that gives due consideration to changes in the labour market, the needs of Cadets, and the RCMP's ability to pay.

Recommendation #3:

• The financial policies, processes, roles and responsibilities governing the repayment of the allowance should be strengthened, clarified and documented.

2. Background and program description

In the mid 2000's, difficult labour market conditions, an unusually high rate of retirements, and an increased demand for policing services were contributing to a shortage of officers for the RCMP and for other police forces across Canada. In its effort to attract and recruit new Members, the RCMP was competing with other law enforcement agencies for the same pool of qualified applicants, at a time when only 3% of 18 to 30-year-olds indicated a "strong interest" in pursuing a career in policing.

As a result, a National Recruiting Strategy (NRS) comprising an investment of $42 million was established for 2006-07 to 2007-08 in order to address the significant shortfall of personnel and the "unsustainable number of vacancies." The NRS was a two-year initiative that involved targeted advertising, the promotion of the RCMP at colleges, universities and career fairs by Regular Members working full-time as Proactive Recruiters, the introduction of lateral entries options for experienced officers from other police forces, as well as process changes that were credited with shortening application wait times. While these efforts did, to some extent reduce vacancy levels, the RCMP still fell short of their recruitment target in 2007-08.

To supplement the NRS, the RCMP launched the CRA in 2008 as a five-year pilot project. Its objective was to increase the number of recruits by offering Cadets a $500 weekly allowance while they completed the Cadet Training Program at the RCMP Cadet Training Academy ("Depot") in Regina, Saskatchewan. Cadets attend Depot tuition-free, and are provided with room and board, uniforms, and equipment, training, medical and dental insurance for themselves and their families (including prescription drugs), life insurance, and travel to and from Depot. By offering a weekly allowance in addition to these benefits, the RCMP hoped to reduce financial barriers for qualified applicants, and increase its competitiveness vis-à-vis other Canadian police forces, some of which were hiring Cadets as salaried employees.

The RCMP initially received spending authority to offer the CRA from 2008-09 to 2012-13; in 2013, this authority was renewed for the 2013-14 to 2017-18 fiscal years. While the CRA requires specific spending authority, it has always been paid for using funds reallocated from within the RCMP's existing budget. The cost of the allowance each year is proportional to the number of Cadets the RCMP recruits and trains. The targeted number of recruits is determined by the RM Demand Model, an annual exercise that considers provincial/territorial and municipal contract commitments, vacancies and attrition rates. Between 2008-09 and 2014-15 the number of recruits needed in any given year ranged from 579 to 1,933, the CRA was paid to an average of 1,147 Cadets each year for an average annual cost of $8.8 million. The total cost of the CRA during this period was $61.4 million in support of 8,029 Cadets (see Table 1).

(Source: Royal Canadian Mounted Police: Human Resources Sector. "Cadet Recruitment Allowance Review - 2013-14"; Royal Canadian Mounted Police: Human Resources Sector. "Cadet Recruitment Allowance Annual Report - Fiscal Year 2015-2016.)

In 2013, the authority for CRA payments was extended until March 31, 2018 with two significant changes. First, if a Cadet requires supplementary weeks of training, an additional $500 may be allotted for each additional week. Second, if a Cadet fails to complete the Cadet Training Program, or an RM fails to complete their two-year probationary period, and the circumstances are deemed to be within his/her control, the full value of any CRA paid may be recovered.

The management of the CRA involves a number of groups within the RCMP, each of whom plays a role in delivering or recovering the Allowance.^{Footnote 3}

• National Recruiting Program (NRP): The overarching National Recruiting Program, under authority of the Chief Human Resources Officer (CHRO), consists of a policy centre situated in Ottawa and a consolidated processing centre located in Regina, Saskatchewan. The NRP is responsible for coordinating the development, implementation, maintenance, and communication of CRA policies, as well as the preparation of reports to satisfy Treasury Board conditions for the allowance. The NRP collects CRA performance data from both Depot and the National Staffing Program (NSP).
• The National Staffing Program (NSP): NSP is also under authority of the CHRO, and develops, implements, monitors and communicates required procedures related to the recovery of the CRA from probationary members.
• National Compensation Services (NCS): NCS, under authority of the CHRO, is responsible for developing, monitoring and communicating compensation policy and procedural documentation governing the payment and recovery of the CRA. Pay Operations at Depot is responsible to inform cadets of their entitlement and obligations related to the CRA, ensure payment of CRA and, when directed by the Commanding Officer of Depot, to recover CRA from cadets. Pay Operations at NHQ initiates action to recover CRA from probationary RMs as directed by Divisional Commanding Officers (CO). The authority to waive the recovery of the CRA rests with the CO of Depot for cadets and with the CHRO for probationary members. Pay Operations (at both Depot and NHQ) also collects and reports performance-related data to the NRP.
• The Cadet Training Academy: The Cadet Training Academy is under the authority of the Commanding Officer of Depot and is responsible for ensuring that documentation (i.e., Depot handbook) referring to the payment and recovery of the CRA from cadets is accurately maintained, and that CRA payment and recovery procedures are accurate and in accordance with the policy.
• Corporate Accounting, Policy & Control (CAPC): CAPC is under the authority of the Chief Financial and Administrative Officer and is comprised of National Accounting Services and Corporate Accounting. CAPC is the group within the RCMP that has the authority to create accounts receivable and send delinquent CRA accounts to the Canada Revenue Agency for collection.

2.1 Purpose and scope of the evaluation

The objective of the evaluation was to assess the relevance and performance of the CRA in accordance with Treasury Board Policy on Evaluation (2009). This included the assessment of the allowance's impact on RCMP recruiting, the reduction of the financial barriers to becoming an RCMP Member, and its impact in enhancing diversity through the recruiting process.

The scope of the evaluation aligns with the CRA Performance Measurement Strategy implemented in 2013, and the RCMP's 2008 commitment to provide an evaluation of the impact the CRA has had since its inception in the context of the RCMP's over-arching Recruitment Strategy. Further, the evaluation is intended to provide a nuanced understanding of the extent to which the intended outcome of remaining a competitive employer in the policing universe has been achieved.^{Footnote 4}

The evaluation was national in scope and covered the period from 2008-09 to 2014-15. Research was guided by the approved CRA Logic Model (Appendix A). In accordance with the Treasury Board Policy on Results (2016) which superseded the 2009 Policy on Evaluation, a risk-based approach was employed in evaluating key components of the CRA.

2.2 Methodology and approach

The data collection and research were conducted under the 2009 Treasury Board Secretariat Policy on Evaluation, Directive on Evaluation Function, and Standard on Evaluation for the Government of Canada; while the report has been prepared in accordance with the requirements of the 2016 Policy on Results. Qualitative and quantitative information was used to develop findings and recommendations for improvement, and to help inform senior management decision-making. The following lines of evidence were used to assess the relevance, effectiveness, and efficiency of the CRA:

• Surveys: Two parallel surveys were conducted, one with Cadets at Depot the other with RMs. The surveys captured quantifiable responses to a number of key questions relevant to determining the CRA's relevance and effectiveness. Cadets completed a paper-based survey in class the week of February 15, 2015, while the RM survey was disseminated by email to 9,517 serving RMs who were sworn in between April 1, 2004 and January 31, 2016. The surveys were essentially the same; RMs were asked to reflect back on their experiences as Cadets, and Cadets were asked about their current experiences. A total of 438 surveys were completed by Cadets (response rate close to 100%), and 3,390 surveys were completed by RMs (response rate of 36%). Importantly, the survey was sent both to RMs who went to Depot prior to the CRA and to those who attended Depot after the CRA was implemented. This allowed comparative analysis of the differences between those who received the Allowance and those who did not.
• Focus groups: To better understand the nuances and context around the data collected in the surveys, two focus groups were conducted with Cadets at Depot in March 2015. The focus groups also gave Evaluators an opportunity to speak directly to Cadets to ensure that their issues and perspectives were acknowledged and considered.
• Document review: Internal documentation and secondary research was examined, including Departmental Performance Reports, Reports on Plans and Priorities, performance related reports, reviews, operational documentation, policies and media reports.
• Data analysis: Data from the Human Resource Management Information System (HRMIS), RM Applicant Status Reports, attrition data tracked by Depot Division, and financial data from the Total Expenditures and Asset Management System (TEAM) was analysed to inform the evaluation about the efficiency, effectiveness, and economy of the program. Where possible and appropriate, HRMIS numbers were cross referenced to data from alternate sources.
• Interviews: To garner perspective on the efficacy of the CRA, in-person and telephone interviews were conducted with four senior executives, four Depot personnel, and nine Proactive Recruiters from British Columbia, Alberta, Saskatchewan, Manitoba, Nunavut, Ontario, Québec, Nova Scotia, and Newfoundland and Labrador.

2.3 Limitations

The key limitations of this evaluation were the inability to access financial information about Cadets or applicants collected at various points in the recruitment and training processes, the inability to seek input directly from individuals who may have considered a career with the RCMP but ultimately chose not to apply or chose to pursue a policing career elsewhere, and the lack of a single responsibility centre charged with coordinating, compiling and analyzing CRA-related data in support of ongoing management or performance measurement. Responsibility for tracking CRA related data is distributed across a number of groups within the RCMP, and there is currently no one group responsible for compiling and reconciling key pieces on information.

3. Findings

3.1 Competitiveness

The 2015 report from the RCMP Pay Council (Fair Compensation for the RCMP) noted a range of challenges for the RCMP, including a declining brand, reduced interest in policing as a career and attrition from the Cadet Training Program, that were making it difficult for the RCMP to qualify enough new officers to fulfill its commitments.^{Footnote 5} The Council argued:

With declining interest in policing as a career …, the shrinking pool of qualified candidates in the Canadian labour market, the increased competition among other policing agencies and the RCMP's requirement for mobility, it has become increasingly difficult to attract the requisite number of applicants that would result in the appropriate number of graduating cadets.^{Footnote 6}

In 2007, just prior to the introduction of the CRA, the Brown Report (the Report of the Task Force on Governance and Cultural Change in the RCMP) struck a similar note, arguing that the RCMP was increasingly competing with police forces from across Canada for a finite and shrinking pool of qualified applicants.^{Footnote 7} In particular, the Task Force noted that at that time the RCMP did "not pay cadets during their training at the Depot," and that "most other police forces, the military and the private sector compensate new employees during their initial training." The Task force went on to recommend that in order "[t]o remain competitive, the RCMP should pay its cadets during their six month training at the Depot at a level that is competitive with other policing organizations."^{Footnote 8} The 2010 report of the RCMP Reform Implementation Council, charged with monitoring the RCMP's progress in addressing the recommendations of the Brown Report, noted that "the introduction of the Cadet Recruitment Allowance in 2008 was a major contributor to the success of the new recruiting system."^{Footnote 9}

Media articles over the last ten years that discussed RCMP recruiting have noted the organization's challenges in fielding enough RMs to meet its commitments. The issue is presented as a multi-faceted problem, driven primarily by what the articles describe as below-average pay, higher than expected attrition rates, and persistent understaffing.^{Footnote 10Footnote 11Footnote 12}

For compensation purposes, the RCMP compares itself to the 'Canadian Policing Universe' which includes a selection of municipal and provincial police forces, specifically the Vancouver Police Department (VPD), the Edmonton Police Service (EPS), the Winnipeg Police Service (WPS), the Ontario Provincial Police (OPP), the Toronto Police Service (TPS), the Service de Police de la Ville de Montréal (SPVM), the Sûreté du Québec (SQ), and the Halifax Regional Police (HRP).^{Footnote 13} Broadly speaking, within the RCMP's Police Competitor Universe there are four approaches to recruiting:

1. Post-employment training without tuition: Hire Cadets as salaried employees and pay for their training (i.e., Edmonton and Winnipeg);
2. Post-employment training with tuition: Hire Cadets as salaried employees but require them to attend the provincial police college at their own expense (e.g., Vancouver, Toronto and the OPP);
3. Pre-employment training without financial support: Require Cadets to complete Police College at their own expense prior to being hired or paid in any way (e.g. Montreal, Halifax and the Sûreté du Québec); and
4. Pre-employment training with financial support: Require Cadets to complete Police College at the force's expense prior to being hired, and provide them with an allowance (i.e., the RCMP).

In Ontario and Western Canada, Cadets are typically hired at the beginning of their training as salaried employees. In Quebec and Eastern Canada, Cadets are typically required to pay for their own training prior to being hired. In offering a $500 weekly allowance to Cadets, the RCMP's intention was to be competitive without being unnecessarily generous. When the allowance was introduced in 2008, the average weekly Cadet compensation, net of any tuition fees, among the comparator police forces that paid Cadets was $626: TPS ($497), VPD ($666), EPS ($903), OPP ($384), and the WPS ($679).^{Footnote 14} Similarly, the average weekly Cadet compensation net of tuition today among the police forces that compensate Cadets is $848 (see Table 2). While this comparison has limitations, in that it does not consider the relative value of benefits, the provision of room and board at Depot and some provincial policy academies, or the money that municipal Cadets pay from their salaries to provide their own food and lodging, it is nonetheless informative.

Source: Departmental Websites (see citations)
* Quebec police forces hire applicants after they complete the 15 week Programme de formation initiale en patrouille-gendarmerie at the École nationale de police du Québec at a cost of $7,505; admission to the ENPQ program is contingent on a promise of employment from a Quebec police force and completion of either a Diploma or a 30 week Attestation of Collegial Studies in police technology.

To meet contractual policing requirements, recruiting targets are allocated on a provincial basis. Between 2004-05 and 2014-15, 50% of Cadets enrolled at Depot were from Western Canada, 20% from Ontario, 19% from Eastern Canada, 10% from Quebec, and 1% were from Northern Canada. In Western Canada, where the RCMP draws half of all recruits, there are fewer applicants applying for each available opening. Across Canada, over the 2004-05 and 2014-15 period, the ratio of applicants to allotted spots at Depot is 9.9:1, in Western Canada this ratio is 7.5:1. As Table 3 outlines, ratios are higher in Ontario and Quebec (11.4:1 and 18.8:1 respectively), and lowest in Northern Canada where the ratio is 5.2:1 (while ratios are low, the impact of this is offset by the fact that the north was allotted less than 1% of the recruiting target in this period). Eastern Canada is close to the average at 9.5:1. Nationally, the ratio of applications to enrollments increased by 34% in the years following the introduction of the CRA; this increase was most notable in Western Canada where there was an above average change in British Columbia and Manitoba, and in Northern Canada where the change was greatest in the Northwest Territories and Nunavut.

(Source: RCMP - National Recruiting Program. Applicant data for FYs 2004-05 to 2015-16.
* There were 115,242 applications between 2004-05 and 2014-15. The region of origin was unknown in 657 (0.6%) of cases.)

Survey results indicated that RMs and Cadets from Ontario and Western Canada were more likely to be influenced by the CRA. Sixty-one percent of Cadets and RMs from Quebec (168/277) and 57% from Eastern Canada (218/385) indicated that they would have come to Depot even if an allowance had not been offered.^{Footnote 25} Meanwhile, only 49% of Cadets and RMs from Ontario (213/439), 44% from Western Canada (397/909), and 33% from Northern Canada (5/15) indicated that they would have attended Depot if the CRA had not been offered.

When asked how often potential recruits tell them that they do not want to join the RCMP because they can get a "better offer" from another police force, a majority of Proactive Recruiters (6/9) indicated that it does happen occasionally. In these instances, the reason given for not joining the RCMP was most often the need to be mobile (4/9) or the length of the application process (2/9). Respondents indicated that potential recruits often apply to a number of agencies and will typically accept the first offer they receive. While the level of RM pay was flagged as a problem (3/9) in Western Canada, the level of RCMP Cadet compensation was not mentioned, and the concept that RCMP Cadets are not employees was mentioned twice (2/9).

In order to be a competitive employer in the Canadian policing universe the evaluation concludes that the RCMP needs to compete with other police forces, especially in Western Canada where the RCMP draws half of its recruits, and where other police services' Cadets are often full-time, salaried employees. A majority of the interviewees (15/17) indicated that there was a need for the CRA to continue, and that the RCMP needed the allowance to be a competitive employer in the policing universe (12/14). There was also a consensus in the Cadet focus groups that the allowance, or something similar was needed if the RCMP was going to compete successfully with other police forces.

3.2 Recruiting

The CRA was introduced at a time when recruiting targets were not being met, and when the RCMP was working to make the force more representative in terms of gender and ethnic diversity, and to attract more mature applicants. As Table 4 outlines, between 2004-05 and 2014-15, the RCMP received 115,242 applications from 97,614 individuals (14,107 people applied more than once). On average, there were 10,477 applications per year. More important than the absolute number of applications is the applicant-allotment ratio which compares the number of applications received in any given year to the number of spots that the RCMP is trying to fill in the Cadet Training Program. While the overall ratio for the 2004-05 to 2014-15 period was 9.9:1, the ratios in the years leading up to the introduction of the CRA were much leaner, most notably in 2005-06 and 2006-07 when the ratios of applicants to training spots were 6.4:1 and 7.0:1 respectively. In the years immediately following the implementation of the CRA (2009-10 to 2012-13), the application-allotment ratios were above average, reaching 16.2:1 in 2012-13. In recent years (2013-14 and 2014-15) the application-allotment ratio has hovered more closely to the average.

Overall, 21% of applications were from women, 14% from visible minorities, and 6% from Indigenous people. While the percentage of applications from women and Indigenous people has been relatively stable over this period, there has been a notable increase in the percentage of applications from members of visible minority communities

Source: RCMP - National Recruiting Program. Applicant data for FYs 2004-05 to 2015-16.

The fluctuations in the application-allotment ratio are driven in part by the raw number of applications, and in part by fluctuations in the number of Cadets needed by the RCMP in any given year as determined through the RM Demand Model. Between 2008-09 and 2014-15, the RCMP has met its overall recruiting goals. In three of the four years (2004-05, 2006-07 and 2007-08) immediately prior to the introduction of the CRA however, the RCMP fell short of its recruiting goals by between 2% and 9%. Since then, the RCMP has met or exceeded its recruiting targets. In 2013-14 the RCMP significantly adjusted its targets mid-year from 336 Cadets to 960 Cadets and succeeded in enrolling 492 Cadets by the year's end, thus exceeding the initial target but falling short of the revised target (see Table 5).

Source: RCMP - National Recruiting Program. Cadet Allotments vs Enrollments 2004/05 to 2014/15.
* In 2013-14, the RCMP revised its recruiting target mid-year from 336 to 960 Cadets; 492 Cadets were recruited.

Since 2007-08, the RCMP has established formal benchmarks for the recruitment of women, visible minorities, and Indigenous people. Between 2004-05 and 2014-15, on average, the profile of Cadets was 22% women, 9% visible minorities, and 4% Indigenous people (see Table 6).

Source: RCMP - National Recruiting Program. Cadet Allotments vs Enrollments 2004/05 to 2014/15.

As Table 7 outlines, between 2004-05 and 2014-15, the profile of RCMP applicants by age was relatively unchanged. The average age of applicants during this period was 27, and 72% were under the age of 30.

Source: RCMP - National Recruiting Program. Applicant data for FYs 2004-05 to 2015-16.

Between 2004-05 and 2014-15, the level of education of applicants was also relatively unchanged.^{Footnote 30} The CRA was introduced in the context of the broader NRS, which included advertising, pro-active recruiting, and changes to the recruitment process to make it faster and more streamlined.^{Footnote 31} While it is impossible to disaggregate the impact of one from the other, since the introduction of the CRA and the NRS, while the RCMP struggled to meet its diversity benchmarks, it largely met its overall recruiting targets.

3.3 Applications

Surveys, interviews, and focus groups were used to explore the impact of the CRA on two stages of the recruiting process: (1) the initial decision to apply to the RCMP, and (2) the subsequent decision to enroll in the Cadet Training Program at Depot once a placement at Depot had been offered. To understand if the CRA played a role in increasing applications, survey participants were asked if the Allowance had influenced their decision to apply to join the RCMP (see Table 8).

Source: RCMP - National Program Evaluation Services. Survey of Regular Members and Survey of Cadets.

Fifty-eight percent (1,222/2,093) indicated that the CRA did not influence their decision, 36% (757/2,093) indicated that they were influenced by the CRA, and 5% (114/2,093) were unsure or did not answer. As Table 8 outlines, responses were similar across gender and ethnic categories, suggesting that the allowance had a similar impact on men and women and on visible minority, non-visible minority, and Indigenous people. Of the 757 respondents who indicated they were influenced by the CRA, 37% (620/1,676) were men and 33% (135/402) were women. Fifteen respondents did not indicate their gender. Similarly, responses were consistent across employment equity categories with 35% visible monitories (80/227), 36% (641/1,775) non-visible minorities, and 40% (36/91) Indigenous people indicating that they were influenced by the CRA. The CRA had a greater influence on Cadets who were 30 years of age or older. Thirty percent (397/1,345) of respondents who attended Depot when they were under the age of 30 indicated that the allowance had influenced their decision to apply, while 48% (356/735) of respondents who attended Depot when they were over the age of 30 indicated that the allowance had influenced them.^{Footnote 36}

During interviews, Proactive Recruiters were asked about the reasons potential recruits gave for not applying to the RCMP. Recruiters indicated that mobility (4/9) and family obligations (2/9) tended to dominate. Interestingly, the majority of recruiters (7/9) indicated that financial barriers were rarely if ever offered as a reason for not applying. When money was discussed, most Recruiters (5/9) indicated that financial conversations focused on the long-term salary of RMs rather than the short-term allowance paid to Cadets.

When deciding where to apply, potential recruits appear to be happy to receive the CRA, but are most likely motivated more by factors such as a tradition, the opportunity to live and work in different parts of the country, the range of career opportunities and the long-term salary, rather than the prospect of earning a $500 weekly allowance.

3.4 Enrolments

While the CRA is not the reason that most applicants apply to join the RCMP, it appears to enable successful applicants to leave their jobs and homes, and relocate to Regina for six months. Of the 2,093 Cadets and RMs surveyed who received the CRA, 49% (1,024/2,093) indicated that they would have attended Depot if the CRA had not been offered, 21% (441/2,093) indicated that they would not have attended, 30% (620/2,093) indicated that they were not sure, and eight respondents did not answer the question.^{Footnote 37}

Responses from women, visible minorities, and Indigenous people were not significantly different from the rest of the population, which suggests that from an employment equity perspective, the CRA is neutral. The Allowance has its greatest impact on Cadets over the age of 30 years, Cadets with children, and those with financial obligations including mortgages. Additional observations were noted in relation to the following survey respondent characteristics:

• Gender: About half (49%) of female respondents (197/402) and male respondents (821/1,676) indicated that they would have come to Depot without the allowance. Male respondents were slightly more likely to state definitely that they would not have come to Depot without the CRA; 22% (371/1,676) compared to 17% (68/402). Female respondents were more likely to indicate that they were unsure if they would have come; 34% (137/402) compared to 29% (479/1,676).^{Footnote 38}
• Ethnicity: Fifty percent (883/1,775) of non-visible minority respondents indicated that they would have come to Depot without the CRA; the proportion was slightly lower for Indigenous respondents (48% or 44/91) and visible minority respondents (43% or 97/227).^{Footnote 39}
• Level of education: There were no significant variations noted for respondents on the basis of education.^{Footnote 40}
• Age: Fifty-five percent (736/1345) of respondents who were under 30 years of age when they arrived at Depot indicated that they would have come without the CRA compared to 39% (284/735) of those who were over 30 years of age. Thirty percent (221/735) of respondents over 30 years of age indicated that they would not have come without the CRA, while the remaining 31% (228/735) indicated that they were unsure.^{Footnote 41}
• Marital status: Fifty-eight percent (565/969) of respondents who were single when they arrived at Depot indicated that they would have come without the CRA compared to 41% (441/1,072) of married or common-law respondents, and 38% (17/45) of respondents who were separated, divorced or widowed. Twenty seven percent (304/1,117) of respondents who received the CRA and were married, common-law, separated or divorced when they went to Depot indicated that they would not have come without it, and an additional 32% (353/1,117) indicated that they were unsure if they would have come without it.^{Footnote 42}
• Parenting status: While 49% (1,024/2,093) of all respondents indicated that they would have come to Depot without the CRA, the proportion was higher among respondents who had no children when they arrived at Depot; 54% (709/1320) compared to 36% (201/554). Thirty-three percent (183/554) of respondents who received the CRA and had children when they went to Depot indicated that they would not have come without it, and an additional 31% (169/554) indicated that they were unsure.^{Footnote 43}
• Mortgage holders: While 54% (791/1,468) of respondents who received the CRA and had no mortgage when they arrived at Depot indicated that they would have come without the allowance, only 37% (233/625) of those with a mortgage indicated likewise. Thirty percent (189/625) of respondents who received the CRA and had mortgages when they arrived at Depot indicated that they would not have come, and 32% (201/625) indicated that they are unsure what they would have done.^{Footnote 44}

In response to the question of whether or not they would have applied to the RCMP or accepted an offer to attend Depot if the CRA had not been offered, the majority of Cadets in the focus groups indicated that while the allowance was helpful, they may still have been able to come without the CRA. Only one said definitively that he could not have considered unpaid work or training. For a significant proportion of applicants, it is financially challenging to leave their job, their family and their home and relocate first to Regina for training and then to another part of Canada. While they expressed a willingness to try, half of the recruits who received the Allowance indicated that they would not, or may not, have gone to Depot without it.

Most surveyed Cadets left behind full-time jobs to come to Depot, and most earned less as Cadets than they did in the workforce. For instance, 73% (2,785/3,828) of survey respondents were working full-time before coming to Depot.^{Footnote 45} The transition from work to Depot was a financial challenge for some Cadets, with 90% (3,439/3,828) of survey respondents earning less at Depot than they did before enrolling.^{Footnote 46} Of those who received the CRA, only 14% (301/2,093) indicated that they were earning more or the same as they did prior to Depot, and of these individuals, 145 were coming from full-time employment and 156 were coming from school, unpaid work, or unemployment.^{Footnote 47}

Most Cadets do not view their time in the Cadet Training Program as a form of post-secondary education. Sixty-four percent (2,450/3,828) of respondents described Depot as on-the-job training compared to 23% who viewed their time at Depot as post­secondary education (898/3,828).^{Footnote 48} Twelve percent (475/3,828) described it as a mix of the two.^{Footnote 49} Cadets in both focus groups agreed that, from a Cadet compensation perspective, what the RCMP offered was different from municipal forces, but still competitive. As one Cadet pointed out, while municipal forces may hire their Cadets as full-time police officers, many require a 1-2 year Community College Police Foundations program. For a Cadet coming from a full-time job, spending six months at Depot, even without financial support, could be faster and less expensive than going back to college.^{Footnote 50}

3.5 Financial barriers

One of the objectives of the CRA was to reduce the financial barriers to participating in the Cadet Training Program at Depot. When asked if the CRA had contributed to their ability to attend Depot for six months, 86% (1,810/2,093) of survey respondents indicated that it had. This included 81% (355/438) of current Cadets and 88% (1455/1655) of RMs who had previously received the allowance.^{Footnote 51} An earlier survey administered to Cadets in 2013-14 asked this same question. At that time, 87% (397/456) of Cadets indicated that the allowance had helped them to afford attending Depot.^{Footnote 52}

To understand the extent to which attending Depot was financially stressful, as well as the impact that the CRA may have had in this regard, survey respondents were asked to rate their level of financial stress while at Depot on scale of 1 to 5. The same question was posed to RMs who attended Depot prior to the introduction of the allowance and to RMs and Cadets who received the allowance. Sixty-seven percent (1,164/1,735) of the RMs who did not receive the CRA rated their experience as stressful or very stressful financially as compared to 37% (608/1,655) of RMs who received the allowance, and 30% (130/433) of the Cadets who were receiving the allowance at the time of the survey.^{Footnote 53}

Depot and National Headquarters (NHQ) staff interviewed indicated that attending Depot continues to be financially stressful for some Cadets, most notably 'older Cadets' with financial obligations (5/6) and Cadets with families (4/6). Similar responses were provided when Depot staff were asked if $500 per week was adequate; all (5/5) indicated that the amount was likely more than sufficient for a young, single person without dependents or significant financial commitments, but likely not enough for someone with a family. Nevertheless, when Depot staff were asked about the reasons that Cadets resign, there was a consensus (5/5) that it was usually not for financial reasons.

Cadets in both focus groups spoke at length about the expenses they incurred at Depot. As one Cadet stated, "there is a misconception that we have enough [from the CRA] to cover expenses; no one really does." The Cadets described non-discretionary expenses including laundry, dry cleaning, polishing supplies, 'troop fund', graduation, athletic shoes, upfront payment of reimbursable medical expenses and any non-reimbursable medical expenses not covered by the insurance provider. Cadets also described a series of discretionary expenses such as food if their training schedule does not align with the Mess hours, the bronzing of spurs, trips home for holidays, time off-base, and the cost of bringing family to graduation.

Furthermore, Cadets agreed that for younger, single Cadets, and for those without children, the $500 was most likely adequate, especially for those with a financially supportive family that was able to provide them with additional funds when needed or cover any expenses at home. For those with families to support, Cadets indicated that the $500 was helpful, but not enough to cover their expenses.

Before the CRA was offered, Cadets were advised to have $4,500 available to sustain themselves financially during their time at Depot.^{Footnote 54} In order to understand how Cadets afforded to attend Depot without the Allowance, and to gain insight into what Cadets might do if the CRA were not offered, Evaluators explored three questions (See Table 9): (1) were RMs who went to Depot without the allowance more or less likely to deplete their savings than those who received the Allowance? (2) Were RMs who did not receive the CRA more or less likely to go into debt during their time at Depot? and, (3) during their time at Depot, were Cadets providing financial support to their families (i.e., sending money home) or receiving financial support from a spouse or parent?

Source: RCMP - National Program Evaluation Services. Survey of Regular Members and Survey of Cadets

As Table 9 outlines, RMs who did not receive the CRA were almost twice as likely to have depleted their savings while they were at Depot. Seventy-two percent (1,241/1,735) of RM survey respondents who did not receive the CRA indicated that they depleted their savings while at Depot, compared to 37% (620/1,655) of RMs who received the CRA. Thirty-four percent (149/433) of Cadets receiving the allowance at the time of the survey indicated that they had, or expected to, deplete their savings while at Depot.^{Footnote 58} Similarly, 65% (1,133/1,735) of RMs surveyed who did not receive the CRA indicated that they took on new debt while at Depot, compared to 32% (535/1,655) of RMs who received the CRA. Twenty-eight percent (120/433) of Cadets receiving the allowance at the time of the survey indicated that they had, or expected to, take on new debt while at Depot.

Table 9 further details that survey respondents were also asked to indicate if, during their time at Depot, they sent money home or received money from home. Of RMs who did not receive the CRA, 39% (684/1,735) received money from a spouse or a parent while 12% (213/1,735) sent money to a spouse or a parent. The percentages are reversed for those who received the CRA; among these RMs, 44% (728/1,655) sent money home, while 10% (161/1,655) received money from a spouse or a parent. Among Cadets receiving the allowance at the time of the survey, 42% (183/433) were sending money home, while 10% (43/433) were receiving money.

While the CRA affects Cadets' financial situation during the time they are at Depot, it may also have longer-term impacts. During the focus groups, Cadets indicated that they expected their first posting to be financially difficult, especially for those assigned to Northern Alberta or the Lower Mainland of British Columbia. Although they would receive assistance with relocation, Cadets indicated they expected it could take four to six weeks to get their first pay cheque as an RM, and in that time they would need to rent or purchase a home, 'set-up' house, and in some cases purchase a vehicle. In this regard, enabling Cadets to complete Depot without having to take on debt, deplete savings, or put undue financial stress on their families, may leave them with more resources to establish themselves once they reach their initial posting.

3.6 Payment and recovery

The procedures and rules for payment and recovery of the CRA are documented in Section 2.8.3 of the RCMP National Compensation Manual. The Manual states that "the CRA will be paid to a cadet in the Cadet Training Program at 'Depot' Division in exchange for full commitment and dedication to the Cadet Training Program; and a minimum period of engagement corresponding to the probationary period, upon graduation."^{Footnote 59}

Since 2008-09, the CRA has been paid to an average of 1,147 recipients per year.^{Footnote 60} Processing and payment of the allowance is administered by Depot Pay Operations. Cadets are briefed on the CRA in their first week at Depot. During the focus groups, Cadets indicated that the process was not difficult, and that any issues were easily addressed by staff. The CRA is paid by direct deposit every two weeks, the gross amount is $1000 ($500 per week). Minus withholding for taxes, Canada Pension Plan, and Employment Insurance, the net amount in 2016 was normally about $834.^{Footnote 61} During focus groups, some Cadets expressed displeasure at having to wait 4-6 weeks for their first CRA payment, and at not being advised in advance that payments would be less than the full $500 due to deductions.

Through a process called 'back-trooping,' Cadets who do not pass key assessments can be reassigned to a troop at an earlier stage in the training process to relearn the skills. Back-trooping extends the time that a Cadet spends at Depot. Since 2013-14, the CO has had the authority to continue to pay the allowance to Cadets who are back-trooped, and to Cadets who leave the training program and return at a later date to try again, and who therefore spend more than 24 weeks at Depot. In 2013-14 and 2014-15, there were 44 cases in which a Cadet attended Depot for more than 24 weeks and received more than $12,000 of CRA. The total additional CRA cost in these 44 cases was $194,200, with the average amount paid in excess of $12,000 being $5,394.^{Footnote 62}

Effective April 1, 2014, the RCMP implemented a mechanism to recover the full amount of the CRA paid to a Cadet who voluntarily resigned during the Cadet Training Program or during the two-year probationary period following hire. Forty four percent (188/426) of RMs who received the allowance after the repayment provisions were implemented and 45% (194/433) of current Cadets indicated that the requirement to repay the CRA impacted their decision to finish Depot and/or complete their probationary period.^{Footnote 63} Among survey respondents, women (49%; 80/164) were slightly more likely than men (44%; 301/686) to indicate that the requirement to repay the CRA had impacted their decision.^{Footnote 64} The responses from visible minority or Indigenous respondents did not significantly differ from non-visible minorities; 45% (317/712) of non-visible minority Cadets and RMs indicated that there was an impact compared to 45% (53/118) of visible minorities and 41% (12/29) Indigenous respondents respectively.^{Footnote 65}

CRA recoveries from Cadets

The CRA recovery guidelines are articulated in the Cadet Training Agreement signed by incoming Cadets, and elaborated upon in Section 2.8.3.3 of the RCMP National Compensation Manual. While the language has evolved in accordance with the changes to the Royal Canadian Mounted Police Act, the substance is the same as it was in 2014.^{Footnote 66} For Cadets, the training agreement states that the RCMP will recover the entire amount of CRA paid while enrolled in the Cadet Training Program if the Cadet's training ceases for any of the following reasons:

1. resignation;
2. abandonment of the Cadet Training Program; or
3. an appointment based on a fraudulent statement.^{Footnote 67}

Section 2.8.3.3.1.1.3 of the RCMP National Compensation Manual reiterates the conditions of the Cadet Training Agreement but adds the provision that "upon review of the individual circumstances of a case and written recommendation of "Depot's" Training Officer, if it is determined that the circumstances were not within the control of the Cadet, the CO of "Depot" may waive recovery."^{Footnote 68} During interviews, Depot executives indicated that in cases of termination as a result of egregious core value violations or criminal conduct, they felt that they should be able to pursue recovery, but that they currently lack the authority to do so.

The requirement for Cadets to repay the allowance took effect on April 1, 2013 and applied to Cadets starting Depot after that date. Cadets who have been ordered to repay the Allowance are informed through a standard first-contact letter sent by Depot Pay Operations. A standard follow-up letter was sent in instances where a former Cadet was not taking appropriate or timely action to repay.^{Footnote 69} In 2013-14, there were 36 Cadet terminations and 33 resignations, 10 of which resulted in repayment orders. In 2014-15, there were 66 terminations, and 52 resignations, 24 of which resulted in repayment orders. The average amount that a Cadet was asked to repay was $3,078, and the largest order was for $8,707. The total amount that the RCMP sought to recover in these 34 cases was $104,656.^{Footnote 70}

CRA recoveries from Probationary Members

For Probationary Members, the training agreement states that the RCMP will recover the entire amount of the CRA paid while enrolled as a Cadet in the Cadet Training Program, if employment as an RM ceases during the two-year probationary period for any of the following reasons:

1. resignation;
2. abandonment of post;
3. absence from duty because of arrest or imprisonment;
4. dismissal for code of conduct contravention; or
5. discharge or demotion for unsatisfactory performance.^{Footnote 71}

Section 2.8.3.3.1.2.5 of the RCMP National Compensation Manual reiterates the conditions of the Cadet Training Agreement, and adds the proviso that "upon review of the individual circumstances of a case and written recommendation from the divisional CO, if it is determined that the circumstances were not within the control of the probationary member, the Chief Human Resources Officer (CHRO) may waive recovery."^{Footnote 72}

The first recovery orders for Probationary Members were issued in 2014-15. While ten Probationary Members who had received the allowance resigned during their probationary period in 2013-14, none were subject to the repayment requirements.^{Footnote 73} In 2014-15, 16 CRA recipients resigned during their probationary period, eight were not subject to recovery, seven were ordered to repay, and repayment was waived for one. All seven recovery orders were for $12,000, with a total value of $84,000.^{Footnote 74} Standard first-contact and follow-up letters were sent by NHQ Pay Operations to inform Probationary Members that they were required to repay the allowance they received as a Cadet.^{Footnote 75}

The authority to recover the CRA is rooted in section 155 (3) of the Financial Administration Act which states that "[t]he Receiver General may recover any over-payment made out of the Consolidated Revenue Fund on account of salary, wages, pay or pay and allowances out of any sum of money that may be due or payable by Her Majesty in right of Canada to the person to whom the over-payment was made."^{Footnote 76} Section 155.1 (1) goes on to state that "interest is payable to Her Majesty … as a result of an overpayment or an erroneous payment."^{Footnote 77} Section 2.5 of the RCMP National Compensation Manual offers broad guidance on the issue of recoveries, and references the RCMP's delegated authority to authorize the recovery of debts "over an extended period," but it does not give specific guidance on how a recovery should proceed.^{Footnote 78}

In interviews, staff indicated that they did not always know how to handle cases where adequate repayment attempts had not been made. As a result, over the life of the program different pay offices have handled cases differently in two specific respects:

• Accounts receivables and the accrual of interest: The creation of Customer Numbers and Accounts Receivables (AR) in the financial system is significant because it typically triggers the accrual of interest on an outstanding balance. When the RCMP first started to recover the CRA in 2013-14, the practice was not to create an AR as long as the former Cadet or RM had agreed to, and was abiding by, a repayment schedule, thus allowing the debt to be repaid interest free over a period of months or years.
• Referral to collections: Staff expressed uncertainty around when and how outstanding accounts should be sent to the Canada Revenue Agency for collections, and who is responsible for monitoring an account once an AR has been created or after it has been referred to the Canada Revenue Agency.

Of the 34 cases resulting in recovery which were related to former Cadets, 30 cases representing $87,653 (84% of the total) were either repaid immediately or repaid in full in accordance with a repayment agreement. In these cases AR numbers were not created and no interest was charged. In 4 of 34 cases, the amount was not repaid in full, an AR number was created and interest was accrued. At the time of the evaluation, there was a backlog in the referral of outstanding accounts to the Canada Revenue Agency for collections and none of the outstanding Cadet files had thus far been sent.^{Footnote 79}

Of the seven cases related to former Probationary Members, one was paid in full and no AR number was created. In the remaining six cases, there had been partial recovery and an AR number was created, but interest has only been charged on one case. In the remaining cases, the interest status of the AR was coded as 'INTB' or interest blocked, which means that no interest would accrue. The total amount recovered from former Probationary Members was $20,744 or 25% of the total.^{Footnote 80} At the time of the evaluation, one file had been sent to the Canada Revenue Agency for collection.^{Footnote 81}

4. Conclusion

The RCMP needs to offer a compensation package which is competitive with other Canadian police forces. This is especially true in Western Canada where other police forces' Cadets are typically salaried employees with pensions and comprehensive benefits. The CRA is an enabler rather than an attractor. While the allowance makes it possible for recruits who are unable or unwilling to forgo an income for six months to attend Depot, few are enticed to apply to the RCMP by the prospect of $500 per week. Half of the RMs and current Cadets who received the CRA indicated that they would not, or may not, have gone to Depot without it. Most Cadets come to Depot from a job that paid more than $500/week, and most view Depot as on-the-job training rather than as a post-secondary institution.

The CRA has helped reduce financial barriers to attending Depot and has contributed to lower levels of financial stress levels among Cadets, thus allowing them to be more fully committed to the Cadet Training Program. The CRA may also play a longer-term role in reducing the debt level of new RCMP Officers. As a tool for attracting women, visible minorities and Indigenous people, the CRA is neutral. There were no significant differences between the proportions of men and women who indicated that they would have come to Depot without the allowance, or between visible minority, non-visible minority, or Indigenous Cadets. The CRA has its greatest impact in enabling Cadets over the age of 30 years, Cadets with children, and Cadets with financial obligations to attend Depot.

The simplicity of the CRA is one of its strengths; all Cadets receive the allowance, and everyone gets the same amount. The allowance is administered at Depot, and very few issues were raised around its payment. Cadets and RMs who are required to repay are being informed of their debt through a standardized process, the repayments are tracked, and in most cases, especially for Cadets, the monies are being recovered. However, the groups responsible for administering the recoveries, creating the accounts receivables, and sending unpaid accounts for collection are still working to clarify their roles and responsibilities.

In order to remain competitive and to address the challenges identified with regard to the recovery of the CRA, it is recommended that the following actions be taken:

Recommendation #1:

• The RCMP should seek authority to continue offering the CRA, or some comparable form of financial support for Cadets.

Recommendation #2:

• A process should be developed to periodically revisit the amount of financial support offered to Cadets that gives due consideration to changes in the labour market, the needs of Cadets, and the RCMP's ability to pay.

Recommendation #3:

• The financial policies, processes, roles and responsibilities governing the repayment of the allowance should be strengthened, clarified and documented.

5. Management response and action plan

5.1 Management response

The review and recommendations are supported by the Chief Human Resources Officer (CHRO); the Management Action Plan is detailed in the following table.

5.2 Management Action Plan

Appendices

Appendix A: CRA Logic Model

Date modified:

2017-10-26