Employment Insurance Regulations (SOR/96-332)

Regulations are current to 2013-05-26 and last amended on 2013-04-30. Previous Versions

 The national employment service shall be made available at no cost to all workers whether insured or not or whether they are claiming unemployment benefits or not, and to all employers, workers' organizations and interested public and private organizations providing employment assistance services to workers.

PART III

REDUCTION OF PREMIUM FOR EMPLOYERS WITH WAGE-LOSS PLANS

Interpretation

 The definition in this section applies to this Part.

“plan”

“plan” means a wage-loss plan that covers insured persons employed by an employer, and includes a Weekly Indemnity Plan, a Special Weekly Indemnity Plan, a Cumulative Paid Sick Leave Plan and an Enhanced Cumulative Paid Sick Leave Plan referred to in sections 63, 64, 65 and 66, respectively. (régime)

Application

 This Part applies where insured persons, who are employed by an employer and are covered by a plan that meets the requirements of section 63, 64, 65 or 66, benefit from a reduction of the employer's premium in an amount at least equal to five-twelfths of the reduction.

Reduction of Employer's Premium Rate

  •  (1) Subject to subsection (2), an employer's premium rate fixed under section 68 of the Act shall be reduced, in respect of insured persons employed by that employer who are covered by a plan that meets the requirements of section 63, 64, 65 or 66 and is a qualifying plan pursuant to subsection 67(3), by the percentage by which

    • (a) the experience cost ratio calculated under subsection (3) in respect of each category of insured persons covered by such a plan

    is less than

    • (b) the first payer cost ratio calculated under subsection (4) for all insured persons.

  • (2) An employer's premium rate fixed under section 68 of the Act shall not be reduced in respect of

    • (a) an insured person who is not covered under a plan;

    • (b) an insured person who is covered under a plan that does not meet the requirements of section 63, 64, 65 or 66; or

    • (c) an insured person whose eligibility to use days of paid sick leave is deferred under a plan that meets the requirements of section 65 or 66.

  • (3) For the purpose of determining the experience cost ratio for a year, the Commission shall, in respect of each category of insured persons covered by plans that meet the requirements of section 63, 64, 65 or 66, divide

    • (a) the average cost of benefits paid under section 12 and paragraph 18(b) of the Act to insured persons whose interruption of earnings was by reason of illness, injury or quarantine

    by

    • (b) the average amount of the yearly insurable earnings for the insured persons,

    with both averages being taken over the three years ending concurrently with the second year preceding the year for which the calculation is made.

  • (4) For the purpose of determining the first payer cost ratio for a year, the Commission shall, in respect of all insured persons, divide

    • (a) the average cost of benefits that would have been paid under section 12 and paragraph 18(b) of the Act to insured persons whose interruption of earnings was by reason of illness, injury or quarantine, as estimated by the Commission, if benefits payable under a group sickness or disability wage-loss indemnity plan or paid sick leave plan were disregarded for the purpose of determining benefits otherwise payable to persons under the Act,

    by

    • (b) the average of the yearly insurable earnings for the insured persons,

    with both averages being taken over the three years ending concurrently with the second year preceding the year for which the calculation is made.