For the past several years Service Canada has been revamping the employment insurance legislation.
The revamp began with the best 14 Week Pilot Project. This project was intended to assist those Canadians living in areas of the country with extremely high unemployment and an inconsistent job market. These folks were granted benefits based on the best 14 weeks of earned income in the prior 52 weeks.
It was announced last week that those collecting Employment Insurance benefits as of August 2012 will be allowed to earn more working income per week without impacting EI payments… The link below will take you directly to the legislation update.
|Previous method||New method|
|Weekly insurable earnings||$600||Weekly insurable earnings||$600|
|EI weekly benefit amount (55% of $600)||$330||EI weekly benefit amount (55% of $600)||$330|
|Gross earnings declared during a week while on EI benefits||$450||Gross earnings declared during a week while on EI benefits||$450|
(40% of the benefit amount: $330 x .40 = $132)
(50% of gross earnings: $450 x .50 = $225)
|Net EI benefit payment for that week
($330 + $132 – $450 = $12)
|$12||Net EI benefit payment for that week
($330 + $225 – $450 = $105)
|Combined earnings and EI benefits ($450 + $12 = $462)||$462||Combined earnings and EI benefits ($450 + $105 = $555)||$555|