EI – Information for employers

Budget 2017

Important changes to Employment Insurance (EI) benefits and corresponding leave provisions under Part III (Labour Standards) of the Canada Labour Code were proposed in Budget 2017. You should be aware of these changes, as they may have an impact on you as an employer or worker. They may also have an impact on employers’ supplementary benefits (“top-ups”) to EI maternity, parental, and caregiving benefits. The changes are part of the 2017 Budget Implementation Act, which received Royal Assent on June 22, 2017.

All of the proposed changes to EI benefits and the Canada Labour Code are expected to come into effect on the same day, later in the 2017 to 2018 fiscal year. Adjustments to the Employment Insurance Regulations will be required and will also come into effect on the same day. (The precise date is to be fixed by Order in Council.)

We strongly encourage you to review the terms of any collective bargaining agreements, employment contracts and benefit plans you hold or administer, to assess any implications the changes may have for your organization and members.

For more information, please visit Expanding Employment Insurance Benefits to Offer More Flexibility for Families.

Budget 2016

Effective January 1, 2017, the EI waiting period has been reduced from two weeks to one week. As a result of this change, consequential amendments to the EI Regulations as they relate to employer supplementary benefit plans and the Premium Reduction Program (PRP) were made.

If you are an employer participating in the EI Premium Reduction Program and/or providing supplemental payments to your employees, the changes may have an impact on you. To find out if you may be impacted, please visit:

• EI Premium Reduction Program – For employers
• Employers supplementing EI benefit during a period of temporary stoppage of work, training or illness
• Employers supplementing maternity, parental, compassionate care or parents of critically ill children benefits

On this page

This page includes information for employers about:

• preparing records of employment,
• deducting and remitting employment insurance (EI) premiums,
• obtaining an EI premium reduction,
• supplementing EI benefits and
• participating in voluntary verification programs.

It also provides external resources.

Responsibilities

Service Canada works closely with employers to ensure that the EI program is administered fairly and efficiently.

• EI - Employer responsibilities
• Protecting the EI program
• SIN - For employers

Preparing Records of Employment

The Record of Employment (ROE) is the electronic/paper form completed by employers for their employees who receive insurable earnings and who experience an interruption of earnings when they stop working. The ROE is the single most important document in the Employment Insurance (EI) program. Each year, more than 1 million Canadian employers fill out more than 9 million ROE forms for their employees.

• ROE - Information for Employers
• Quebec Parental Insurance Plan
• ROE Web
• ROE for Teachers
• User requirements for ROE Web
• Variable Best Weeks for Employers
• ROE Web Online Registration Video
• ROE Web Benefits Video
• Step by Step Tutorial on Completing an ROE (Paper and Web)

Deducting and remitting EI Premiums

Employers have to deduct EI premiums from each dollar of insurable earnings of their employees up to a yearly maximum. They must also contribute 1.4 times the amount of EI premiums that they deduct from their employee’s remuneration.

• Calculating deductions for Employment Insurance
• EI Premium Rate Setting Report (Chief Actuary Report)
• EI premium rates

Obtaining an EI Premium Reduction

EI premium reductions are granted through the EI Premium Reduction Program. Employers who provide their employees with a short-term disability plan that meets certain requirement may be entitled to pay their EI premiums at a rate that is lower than the standard employer rate (which is 1.4 times the employees’ EI premiums).

• EI Premium Reduction Program – For employers

Supplementing EI Benefits

Employers can provide supplemental payments to increase their employees’ revenue while they are receiving EI benefits. Supplemental payments are not deducted from the employee’s EI benefits when certain requirements are met.

• Employers supplementing EI benefit during a period of temporary stoppage of work, training or illness
• Employers supplementing maternity, parental, compassionate care or parents of critically ill children benefits

Managing your workforce

There are times when, as an employer, you may face challenges related to managing your work force, including restructuring your business to remain competitive. We can help you navigate these challenges through the following programs and services.

• Work-Sharing Program
• Work Force Reduction
• Scheduled and mobile outreach services

Useful links

A collection of useful information for employers.

• Report on Hiring
• Automated Earnings Reporting System
• Employer Contact Centre
• Data Gateway
• Reconsideration of an EI Decision

External resources

• Canada Revenue Agency’s Business Resources
• Canada Business

Guides and help

• Employer Guide — Automated Earnings Reporting System (AERS)
• Guide for the Supplemental Unemployment Benefit (SUB) program
• How to complete the Record of Employment (ROE) form
• Supplement to the guide “How to complete the Record of Employment (ROE) form” for all school boards
• The EI Premium Reduction Program – A guide for employers offering short-term disability plans to their employees

Related services and info

• EI Contact Information
• Record of Employment on the Web
• Report on Hirings Program User Guide – File (BH1202)
• Weekly Pay-Periods Worksheet