Changes to Employment Insurance are coming… here are five things you may need to know.
Employment Insurance is a regionally based system, taking into account local and regional employment-related factors.
Twelve of the hardest hit regions across Canada have been identified as facing significant challenges. Measures to the EI system have been applied to aid in the economic recovery of those regions.
1. Where unemployment rates have been rising, the government will add 5 weeks of eligibility to a max of 50 weeks. Long-tenured workers who have not dipped into unemployment in years will be eligible for an additional 20 weeks – to a max. of 70 weeks. Starts July 1 and is retroactive.
2. Cut waiting period from 2 weeks to one week. The government will speed up processing applications times and put money into government call centres to reduce the time that people spend on hold.
3. To qualify for EI, new entrants or re-entrants to the workforce (young workers or stay-at-home parents) were required to work 910 hours. The new system will reduce the required hours to work between 420-700 hours depending on labour conditions in their region.
4. The “Working While On Claim” Pilot Project will be extended. The government will continue to assess whether keeping more benefits will help claimants transition off employment insurance into a permanent jobs.
5. Employees who work for companies who are facing prospective layoffs due to difficult economic conditions can choose to work fewer hours and receive EI to a maximum of 38 weeks.
Read more about the proposed changes.
Read Employment E-News – May 2016 – It’s Time to Grow
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