EI measures extended for tariff-impacted workers

Summary#

These final regulations extend three temporary Employment Insurance (EI) measures under Pilot Project No. 24. The changes took effect on the day the rules were registered (March 30, 2026) and push the end date for the measures to October 10, 2026.

What it does#

• Extends the period during which the EI one‑week waiting period is waived. This means some claimants can be paid from the first week of a claim. The waiver now applies to benefit periods that begin between March 30, 2025 and October 10, 2026.
• Extends the temporary rule that stops employer separation payments (for example, severance) from delaying or reducing EI benefits. It applies to claims that start, or to allocations that would begin, between March 30, 2025 and October 10, 2026.
• Extends the extra‑weeks rule for long‑tenured workers so eligible claimants can get up to 20 additional weeks of regular EI benefits (raising some entitlements up to 65 weeks). That extra entitlement applies to claims established between June 15, 2025 and October 10, 2026.
• The regulations amend the Employment Insurance Regulations under authority in the Employment Insurance Act and came into force on registration (March 30, 2026).

Who's affected#

• Workers who claim EI: regular, special and fishing claimants may see benefits start earlier or last longer.
  • About 1.37 million regular claims (and 551,000 special claims) had already benefited from the waiting‑period waiver earlier in the pilot.
  • The government estimates about 43,500 long‑tenured workers could benefit from the extra weeks during the extension.
• People who receive separation payments (for example, severance) may get EI sooner than under the normal rules.
• Employers and employees pay into EI; the government estimates program costs will increase, which could slightly raise premiums paid by both:
  • An estimated rise of 0.6 cents per $100 of insurable earnings for employees and 0.84 cents per $100 for employers.
• The measures were introduced because of tariff‑related risks to trade‑exposed sectors. Workers in sectors such as automotive, steel, aluminum and softwood lumber are likely to be especially affected.
• The rules are implemented by Service Canada and managed within the EI program (the EI Operating Account bears the cost).

Why it matters#

• Faster access to money: waiving the one‑week wait helps people facing sudden income loss get support immediately instead of waiting a week.
• Separation pay no longer delays EI: people who get severance or similar payments can receive EI without that money being used to defer benefits.
• Extra time to find work or retrain: long‑tenured workers get up to 20 extra weeks, which can ease the transition back to employment or allow for training.
• Support during trade uncertainty: the extension is a response to ongoing tariff‑related risks. It keeps temporary protections in place while the tariffs and their job effects remain uncertain.
• Cost and trade‑offs: the government expects additional EI payouts over three years (present value $935.6 million) and total costs (present value $979.4 million), for a net present cost of about $43.8 million. That cost is expected to be spread through small increases in EI premiums.