Work Sharing Program - WSP

Work Sharing is a voluntary, Employment Insurance (EI) Part I funded program designed to avert temporary layoffs by providing Employment Insurance Income Benefits to eligible clients who willingly agree to work a temporarily reduced work week. Work Sharing enables employers to retain workers and avoid layoffs during temporary work slowdowns and employees are able to maintain their skills.

Eligibility Criteria

• To qualify for a Work Sharing Agreement, an employer must:
  • demonstrate, through the development of a recovery plan, that a return to normal hours of employment within a maximum of 26 weeks is a reasonable expectation;
  • be in business, year round, for at least two years;
  • show that the need for reduced output is temporary, unavoidable and not seasonal in nature;
  • have voluntary agreement from the employees; and
  • reduce the work week by up to three days and not less than one day.
• Employees must:
  • be deemed qualified EI claimants;
  • mutually agree with the employer's strategy to share available work over a reduced work week in order to avert layoffs.

Note: Part-time employees may participate in Work Sharing but seasonal employees are not eligible.

Eligible Area

All Canadian provinces and territories.

Eligible Activities

All activities are eligible. A clause in the program's guidelines allows for easier access in certain special situations. The Minister of HRSDC has already applied this clause in cases of natural disasters (ice storm, fires, etc.) and outbreak of diseases (SARS, E-coli bacteria, etc.).

Summary

How does it work for employers?

The employer is responsible for setting up a schedule of work hours and notifying HRSDC officials of any changes in the amount of time worked and the number of employees on Work Sharing.

How does it work for employees?

The employees are eligible to receive EI benefits for the days they are not working to a maximum of $413 per week.

There is no EI waiting period to be served under work sharing benefits.

Work Sharing Agreements do not affect workers' rights to regular EI benefits if they happen to be laid off after the agreement ends.

Duration

The shortage of work must be expected to last for a minimum of 6 weeks to a maximum of 26 weeks.

Extensions, beyond the maximum of 26 weeks, may be considered in extenuating circumstances for up to a maximum of 38 weeks.

Who can apply?

Work Sharing is a voluntary program which requires management and workers to agree in participating in Work Sharing. They must apply together.

How to apply?

Employers may call their Service Canada Centre or visit the Web site for details on how to apply and to obtain an application form for work sharing agreement.

Quebec Contact(s):
Service Canada Centres
For a complete list of all Service Canada Centres please visit the Web site or check the government listings in your telephone directory.
Web site: http://www1.servicecanada.gc.ca/en/gateways/where_you_live/regions/qc.shtml

National Contact(s):
See regional contact(s).