Employment Insurance (EI) Pilot Project to increase the allowable earnings
Working while on EI
What you should know
Economic regions included in pilot project
How to take advantage of the pilot project
Workers and/or Residents outside Canada
What you should know
Under current Employment Insurance (EI) rules, you can work a certain amount while you are on claim without a deduction from your benefits. If you work part-time while receiving regular, parental, compassionate care or fishing benefits, you can earn $50 per week or 25% of your weekly benefits, whichever is higher.
Special measures have been taken for workers living in participating economic regions to accept all available employment while on claim without a reduction in their EI benefits. A 3-year pilot project increases the amount you can earn while working part-time and receiving EI benefits by allowing you to earn the greater of $75 or 40 % of weekly benefits.
This pilot project began December 11, 2005 and will run until December 6, 2008. Through this pilot project, the Government will evaluate the effects on pilot project participants and on the labour market.
Economic regions included in pilot project
The pilot project is being tested in 23 EI economic regions. Select the region where you live to see if your municipality is included.
How to take advantage of the pilot project
You can benefit from the pilot project if you meet the following conditions:
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you are filing a claim and are eligible to receive regular, fishing, parental or compassionate care benefits;
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you live in one of the 23 participating EI economic regions at the time your claim for benefits starts; and
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you are claiming benefits for any week starting between December 11, 2005 and December 6, 2008. See example...
Important reminder: There is no change concerning earnings made while claiming sickness and maternity benefits. They will continue to be deducted from benefits dollar for dollar.
Example: Allowable earnings under the pilot project and before.
You claim and are eligible to receive regular benefits. You reside in one of the participating EI economic regions. Your claim for benefits starts on December 11, 2005.
- Your benefit rate is $200
- You work part-time and earn $150 per week
- Your waiting period is served
Under the pilot project, your payable EI payment is $130 and is calculated as follows: $200 benefit rate + $80 allowable earnings (which is 40% of $ 200) = $280 - $150 what you earn = $130 is the amount of your EI payment.
Before the project pilot, your payable EI payment would have been $100 and would have been calculated as follows: $200 benefit rate + $50 allowable earnings (which is 25% of $200) = $250 - $150 what you earned = $100 would have been the amount of your EI payment.
Workers and/or Residents outside Canada
If you are residing in the United States and worked in Canada or if you crossed the Canada/United States border between your residence and workplace, the economic region used is the one of your last Canadian insurable employment. If that region is a participating region and you meet all the conditions, you could participate in the pilot project that allows you to earn $75 or 40% of your weekly benefits, whicherver is higher. Any monies earned above that amount will be deducted dollar for dollar from your benefits.
For more information on Employment Insurance and Workers and/or Residents outside Canada...