From Employment and Social Development Canada
The Government of Canada has extended the Canada Emergency Response Benefit (CERB) until Sept. 27, before transitioning to Employment Insurance (EI).
A new trio of temporary and taxable recovery benefits is also being introduced to further support workers.
Hours credits to enhance access to benefits
Access to EI benefits is normally based on the number of insurable hours an individual has worked in the year prior to their application, or since their last claim. This is known as their qualifying period. However, to help individuals with a minimum of 120 hours of work, EI claimants will receive a one-time insurable hours credit of 300 insurable hours for claims for regular benefits (job loss) and 480 insurable hours for claims for special benefits (sickness, maternity/parental, compassionate care or family caregiver).
The hours credit will be available for new EI claims for one year, in recognition that labour market conditions remain uncertain and will take time to stabilize.
Nationwide minimum unemployment rate
For one year starting on Aug. 9, 2020, a minimum unemployment rate of 13.1 per cent is being used for all EI economic regions to lower the hours required to qualify for EI regular benefits.
Those in EI regions with an unemployment rate lower than 13.1 per cent will have their EI benefits calculated on the basis of the 13.1 per cent rate, while those in regions with a higher rate will have their benefits calculated using the actual higher rate.
This measure will set a uniform eligibility requirement for EI regular benefits at 420 hours of insurable employment (before the hours credit is applied), provide a minimum entitlement of 26 weeks of regular benefits, and set 14 as the number of best weeks of earnings used in the calculation of the weekly benefit rate.
Minimum benefit rate
To further support clients and in addition to the above measures that will increase access to the program, new EI claimants as of Sept. 27 will receive a minimum benefit rate of $400 per week (or $240 for extended parental benefits), if this is higher than what their benefits would otherwise be.
Three new benefits:
Canada Recovery Benefit
The new Canada Recovery Benefit would be effective from Sept. 27 for one year and would provide a benefit amount of $400 per week for up to 26 weeks to workers who are not eligible for EI, mainly the self-employed and including those working in the gig economy.
Canada Recovery Sickness Benefit
The new Canada Recovery Sickness Benefit would provide $500 per week, for up to two weeks, effective Sept. 27 for one year, for workers who are unable to work because they are sick or must self-isolate due to COVID-19.
Canada Recovery Caregiving Benefit
The new Canada Recovery Caregiver Benefit, would be effective from Sept. 27 for one year, and provide $500 per week, for up to 26 weeks per household to eligible Canadians who have are unable to work because they need to provide care to children or support to other dependents who had to stay home.
For more information, go online to www.canada.ca/coronavirus.
