Digest of Benefit Entitlement Principles Chapter 24 - Section 7

24.7.0 Interruption of earnings

The final entrance requirement necessary to establish a claim is the need for a self-employed person to have experienced an interruption of earnings. EI Regulation 14.01 defines an interruption of earnings as follows:

"An interruption of earnings of a self-employed person referred to in paragraph 152.07(1)(c) of the Act occurs at the beginning of the week in which the person declares having reduced the time devoted to their business activities by more than 40% of the normal level because the person ceases to work by reason of their illness, injury, quarantine, pregnancy, the need to care for a child or children referred to in subsection 152.05(1) of the Act, the need to provide care or support to a family member referred to in subsection 152.06(1) of the Act or the need to provide care or support to a critically ill family member referred to in subsection 152.061(1) of the Act."

[ September 2013 ]

24.7.1 Proof required

To satisfy the interruption of earnings requirement, a self-employed person's attestation is required when an application for benefits is filed, which certifies that they have experienced - relative to their normal hours – more than a 40 per cent reduction in their weekly self-employment activities.

However, that is only part of the attestation, for a self-employed person must also agree to advise the Commission if their participation in the business increases and they no longer meet this condition. This is because in order to continue to be entitled to special benefits a self-employed claimant must prove on an ongoing basis that they are unemployed. A week of unemployment for self-employed special benefits is defined in the same manner as an interruption of earnings; the claimant must attest that they will advise the Commission if their participation in the business increases such that they no longer have decreased the time devoted by more than 40% of the normal level ^{Footnote 1} .