2025 Employment Insurance Premium Rates

Summary#

The Canada Employment Insurance Commission has set the Employment Insurance premium rate for the year 2025 at $1.64 per $100 of insurable earnings. For residents of Quebec covered by the Quebec Parental Insurance Plan, a reduction of $0.33 applies, making the Quebec rate $1.31 per $100.

What it does#

• Announces the national Employment Insurance premium rate for 2025: $1.64 per $100 of insurable earnings.
• Announces the Quebec premium reduction under the Employment Insurance Regulations: reduction rate $0.33, so the Quebec rate is $1.31 per $100 of insurable earnings.
• This is a rate-setting resolution from the Employment Insurance Act framework (published in the Canada Gazette on October 12, 2024).

Who's affected#

• Workers who have Employment Insurance deductions from their paycheques.
• Employers and payroll administrators who calculate and remit Employment Insurance premiums.
• Residents of Quebec covered under the Quebec Parental Insurance Plan, who will have the lower $1.31 per $100 rate.
• It is unclear from the notice whether other specific groups (for example, self-employed contributors who opt into EI) face different changes.

Why it matters#

• The rate determines how much is taken from paycheques for Employment Insurance and affects payroll costs for employers.
• A higher or lower rate changes take-home pay and business labour costs, which matters for household budgets and company planning for 2025.
• Quebec’s reduction means slightly lower EI deductions for Quebec residents covered by the parental plan compared with the national rate.