Chapter 2 - Impacts and effectiveness of Employment Insurance benefits (Part I of the Employment Insurance Act)

In this section

• 2.1.1 Employment Insurance claims, amount paid and level of benefits
• 2.1.2 Combined Employment Insurance claims
• 2.1.3 Benefits-to-contributions ratios

The Employment Insurance (EI) program provides temporary income support to partially replace employment income for eligible unemployed contributors to the program while they search for work or upgrade their skills, and for those who are absent from work due to specific life circumstances. For example:

• sickness
• pregnancy
• providing care to a newborn or newly adopted child
• providing care and support to a critically ill family member, or
• providing end-of-life care to a family member with significant risk of death

In this chapter, EI benefits refer to regular benefits, special benefits, fishing benefits and Work-Sharing benefits (consult table 1). Special benefits include maternity benefits, parental benefits, sickness benefits, family caregiver benefits for adults or children, and compassionate care benefits. All EI benefit types are paid at a benefit rate of 55% of average weekly insurable earnings up to the maximum weekly benefit rate, except for extended parental benefits, which are paid at 33%. Subsection 2.1.1 covers the number of new claims established in the fiscal year, total amount paid over the fiscal year and benefit levels of claims established. Subsection 2.1.2 examines combined (or mixed) benefit claims. Subsection 2.1.3 provides an analysis of the usage of EI benefits relative to EI contribution premiums.

2.1.1 Employment Insurance claims, amount paid and level of benefits

For the period beginning April 1, 2019, and ending March 31, 2020 (FY1920), the number of new EI claims increased by 2.7% (+50,150) to 1.87 million new claims (consult Chart 1). Total EI benefit payments increased by $817 million, or +4.9%, to $17.5 billion.

Text description of Chart 1

Fiscal year	FY0910	FY1011	FY1112	FY1213	FY1314	FY1415	FY1516	FY1617	FY1718	FY1819	FY1920
New claims established (millions) (left scale)	2.165	1.847	1.884	1.820	1.792	1.809	1.925	1.818	1.816	1.824	1.874
Amount paid (billions) (right scale)	$19.4	$17.3	$15.7	$15.2	$15.4	$15.8	$17.7	$18.5	$18.7	$16.7	$17.5

• Note: Includes all claims for which at least $1 of Employment Insurance benefits was paid.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

According to Statistics Canada, there were 740,000 beneficiaries receiving EI benefits on average each month in FY1920, representing an increase of 3.1% from 717,600 beneficiaries during the previous reporting period.^{Footnote 1}

The average weekly benefit rate increased by 3.2% from $465 in FY1819 to $480 in FY1920.^{Footnote 2}, ^{Footnote 3} The proportion of claimants receiving the maximum weekly benefit increased from 48.0% in FY1819 to 48.6% in FY1920.

Total amount paid in Employment Insurance benefits

The amount paid for all types of EI benefits combined reached $17.5 billion in FY1920, an increase of $817 million or +4.9%. This increase was largely attributable to the increase in the amount paid in EI regular benefits ($390.6 million or +3.7%). The share of EI benefits paid by benefit type remains relatively unchanged compared to the previous reporting period.

Text description of Chart 2

Benefit type	$ million	% share
Regular benefits	$11,064.4	63.2%
Work-Sharing benefits	$16.5	0.1%
Fishing benefits	$303.1	1.7%
Special benefits	$6,119.6	35.0%
Parental benefits	$2,921.7	16.7%
Sickness benefits	$1,888.8	10.8%
Maternity benefits	$1,208.1	6.9%
Compassionate care and Family caregiving benefits	$131.6	0.8%

• *The total amount paid reported in Chart 2 does not correspond to the total reported in table 2 and 3 because data on compassionate care benefits and family caregiver benefits can only be reported on a 100% sampling basis on an aggregate level.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a sample of 10% of the EI administrative data, except for Work-Sharing, family caregiver and compassionate care benefits (100%).

The amount paid in EI benefits increased in all but 4 provinces and territories: Newfoundland and Labrador (-3.0%), Prince Edward Island (-2.2%), Northwest Territories (-4.6%), and Nunavut (-4.3%) (consult table 3).

EI benefits received by both men and women increased from the previous fiscal year, with both experiencing similar growth (+5.0% and +4.8%, respectively). The amount paid in EI benefits also increased for each age group. Claimants aged 25 to 44 years old and those aged 55 years old and over saw particularly large increases (+5.7% and +7.2%, respectively).

2.1.2 Combined Employment Insurance claims

Under certain provisions of the EI program, a claimant may receive multiple types of benefits as part of a single claim, assuming that the claimant meets each benefit type’s eligibility requirements.^{Footnote 6} A “pure” claim is one in which an EI claimant receives a single benefit type, while a “combined” claim is one in which the claimant receives more than 1 benefit type. Pure claims represented 80.3% of all completed claims in FY1920 (consult table 4).

Women were more likely to claim more than 1 type of EI benefit (29.8%) than men (11.0%) mostly due to their high probability of claiming both maternity and parental benefits.

In fact, maternity benefits were the benefits most often combined with other types of benefits, usually parental benefits. However, a significant proportion also claimed sickness benefits with maternity benefits (16.9%), resulting in the claimant starting her leave before becoming eligible for maternity benefits (available 12 weeks prior to the child’s expected date of birth).^{Footnote 7} The combination of maternity, parental and sickness benefits was the most common among claims with 3 or more benefit types (26,400 claims representing 15.9% of completed claims for maternity benefits in FY1920).

Claims for parental benefits were combined at a slightly lower rate than maternity, as only 10.6% of men who claimed parental also received another benefit payment. Of those male claimants, 87.0% received regular benefits and 15.2% claimed sickness benefits. Among women, virtually all (99.5%) who combined parental benefits with other types of benefits combined them with maternity benefits.

Sickness benefits were the third most likely to be combined with other benefit types, mostly with regular benefits. Men combined their sickness benefits predominantly with regular benefits (96.2%), while sickness claims from women were most often combined with regular (71.0%), maternity (27.4%) and parental benefits (26.1%). Sickness also represented the greatest share of combined regular claims.

When combined, compassionate care benefits are most often shared with sickness benefits (67.3%) or regular benefits (46.8%). Men tended to combine compassionate care benefits with regular benefits (62.6%) more often than women (40.3%). Women were most likely to combine compassionate care benefits with sickness benefits (72.9%) compared to men (53.8%).

Almost a quarter of all work-sharing claims were combined with other benefit types (23.9%), predominantly regular benefits. This is attributable to the fact that both benefit types are typically used during a downturn in business activity, which increases the risk of layoffs (work-sharing benefits) and actual layoffs (regular benefits). Regular benefits are usually claimed following work-sharing benefits, reflecting a continued downturn in a participating firm’s activity that eventually leads to a downsizing of the firm’s labour force.

While fishers do have the possibility of sharing fishing benefits with other benefit types (under some restrictions), only 13.7% of fishing claims were combined claims. Of those claims, 87.9% were combined with sickness benefits. No fishing claims were shared with maternity, parental, compassionate care or Work-Sharing benefits during the reporting period.

2.1.3 Benefits-to-contributions ratios

The benefits-to-contributions ratio (B/C ratio) is a measure of EI benefits paid by the program as a share of the contributions paid. It provides an estimate of the use of the EI program by claimants compared to the premiums paid. This section examines 2 different ratios: the total benefits-contributions ratio (total B/C ratio) and the regular benefits-contributions ratio (regular B/C ratio) for 2018.^{Footnote 8} As EI contributions are not assigned to a specific benefit type, the regular B/C ratio accounts for reductions in EI contributions related to special benefits.^{Footnote 9}

This subsection presents adjusted ratios that are normalized, with Canada’s ratio set at 1.0. This provides a benchmark for examining the ratios based on certain sociodemographic characteristics. An adjusted ratio higher than 1.0 means that the underlying sub-population (such as province, territory, or industry) is a net beneficiary of the EI program, while those with an adjusted ratio lower than 1.0 are net contributors to the program relative to Canada as a whole.

Provinces^{Footnote 10} with high numbers of seasonal claimants generally exhibit adjusted total B/C ratios that are above the national average. In 2018, Newfoundland and Labrador, Prince Edward Island, Nova Scotia and New Brunswick received more in EI benefits than they contributed, when compared to the national average (consult chart 3), highlighting these provinces’ greater usage of regular benefits compared to other regions. On the other hand, Ontario, Manitoba and British Columbia received fewer EI benefits and regular benefits per dollar contributed in premiums than the national average.

Text description of Chart 3

Region	Adjusted total benefits-to-contributions ratio (left scale)	Adjusted regular benefits-to-contributions ratio (left scale)	Adjusted total benefits-to-contributions ratio for Canada (1.0) (left scale)	Unemployment rate (right scale)
Newfoundland and Labrador	4.50	6.01	1.0	13.8
Prince Edward Island	3.42	3.73	1.0	9.5
Nova Scotia	1.98	2.28	1.0	7.6
New Brunswick	2.48	2.91	1.0	8.0
Quebec	1.03	1.12	1.0	5.5
Ontario	0.77	0.67	1.0	5.6
Manitoba	0.99	0.94	1.0	6.0
Saskatchewan	1.17	1.20	1.0	6.2
Alberta	0.97	0.96	1.0	6.6
British Columbia	0.81	0.69	1.0	4.7
Yukon	0.82	0.98	1.0	3.0
Northwest Territories	0.93	1.02	1.0	7.4
Nunavut	0.89	0.79	1.0	14.1

• Sources: Canada Revenue Agency (CRA), T4 slips with employment income (for data on contributions); Employment and Social Development Canada (ESDC), Employment Insurance (EI) administrative data (for data on benefits); and Statistics Canada, Labour Force Survey, Tables 14-10-0287-01 and 14-10-0292-01 (for data on unemployment rates). CRA data are based on a 10% sample of T4 slips with employment income, and ESDC data are based on a 10% sample of EI administrative data.

In 2018, women continued to receive more in EI benefits than they contributed in premiums compared to male claimants, with adjusted total B/C ratios of 1.10 and 0.92 respectively (consult table 5). Women aged 25 to 44 in particular receive more in benefits than they contribute with an adjusted total B/C ratio of 1.52, compared to women aged 45 to 54 with the lowest ratio (0.66) among women. This is likely due to the fact that women aged 25 to 44 claim maternity and/or parental benefits – their adjusted regular B/C ratio is much lower at 0.66.

With respect to regular B/C ratios, the gender gap is reversed: men (ratio of 1.20) received more EI regular benefits than they contributed compared to women (ratio of 0.76). This is true for all age groups.

In 2018 claimants working in goods-producing industries were net beneficiaries of EI benefits with adjusted B/C ratios above the national average, while those in service-producing industries were, overall, net contributors (consult chart 4). The greater use of EI regular benefits by workers in goods-producing industries compared to those in service-producing industries may be related to the higher proportion of seasonal employment in these industries, particularly the construction and the agriculture, forestry, fishing and hunting industries. The difference between the adjusted B/C ratios of goods-producing industries compared to those of service-producing industries is smaller for the total B/C ratio. This may be explained in part by the fact that certain industries, such as the health care and social assistance industry and the educational services industry, have a large proportion of female workers who can claim maternity or parental benefits.

Text description of Chart 4

Industry	Adjusted total benefits-to-contributions ratio	Adjusted regular benefits-to-contributions ratio
Goods-producing industries	1.52	1.87
Agriculture, forestry, fishing and hunting	4.10	3.84
Mining and oil and gas extraction	1.11	1.47
Utilities	0.44	0.39
Construction	2.34	3.32
Manufacturing	0.80	0.88
Services-producing industries	0.84	0.73
Wholesale trade	0.70	0.74
Retail trade	0.82	0.74
Transportation and warehousing	0.84	0.92
Finance and insurance	0.57	0.32
Real estate and rental and leasing	0.93	0.97
Professional, scientific and technical services	0.74	0.72
Business, building and other support services*	1.13	1.27
Educational services	0.98	0.92
Health care and social assistance	0.83	0.35
Information, culture and recreation**	0.85	0.92
Accommodation and food services	1.12	1.11
Other services (except public administration)	0.99	0.99
Public administration	0.69	0.46
Canada	1.00	1.00

• * Includes management of companies and enterprises and administrative support, waste management and remediation services.
• ** Includes information and cultural industries and arts, entertainment and recreation services. Sources: Canada Revenue Agency (CRA), T4 slips with employment income (for data on contributions); Employment and Social Development Canada (ESDC), Employment Insurance (EI) administrative data (for data on benefits). CRA data are based on a 10% sample of T4 slips with employment income, and ESDC data are based on a 10% sample of EI administrative data.

In this section

• 2.2.1 Employment Insurance regular claims and benefits paid
• 2.2.2 Coverage, eligibility and access to Employment Insurance regular benefits for the unemployed population
• 2.2.3 Level of Employment Insurance regular benefits
• 2.2.4 Employment Insurance regular benefit entitlement
• 2.2.5 Employment Insurance regular benefits and seasonal claimants
• 2.2.6 Exhaustion of Employment Insurance regular benefits
• 2.2.7 Working while on claim

Employment Insurance (EI) regular benefits are designed to provide temporary income support to partially replace lost employment income for eligible claimants while they search for work or upgrade their skills.

In response to the economic and labour market disruptions due to the COVID-19 pandemic that started in March 2020, the Government of Canada introduced the Canada Emergency Response Benefit (CERB) on March 15, 2020 to provide income support for Canadians as part of Canada’s COVID-19 Economic Response Plan. The Canada Emergency Response Benefit (CERB) provided financial support to eligible employed and self-employed Canadians who stopped working and lost their income due to COVID-19. As a result, eligible claimants who would have otherwise applied for EI regular or sickness benefits applied for CERB as of March 15, 2020 instead. Consequently, the section on EI regular benefits in this year’s report excludes data related to CERB during the FY1920 reporting period (from March 15, 2020 to March 31, 2020). This ensures continuity in the reported data on EI regular benefits from year to year and enables to perform meaningful yearly comparisons in FY1920 with previous fiscal years. Eligible claimants who had applied for EI benefits and whose application had not been processed as of March 15, 2020 did not have to reapply for CERB and are included in the EI data estimates provided in this section. Furthermore, the results on amount of benefits paid out cover the full period from April 1, 2019 to March 31, 2020.

In order to qualify for EI regular benefits, unemployed individuals have to meet the following 3 eligibility criteria:

• the claimant must have had insurable employment and paid EI premiums during the qualifying period (defined as either the previous 52 weeks or since the establishment of their last claim, whichever is shorter)
• have a valid reason for job separation according to the Employment Insurance Act
• have worked a minimum number of insurable hours (ranging from 420 and 700 hours, depending on the regional unemployment rate where the claimant lived at the time of the claim) during the qualifying period

In addition to meeting these 3 eligibility criteria, claimants must also be available for and actively seeking suitable employment while claiming benefits.^{Footnote 11}

2.2.1 Employment Insurance regular claims and benefits paid

The number of EI regular claims established increased by 5.8% in the reporting fiscal year, increasing from 1.29 million claims established in FY1819 to 1.37 million claims established in FY1920. This marks an increase in the number of EI regular claims established after decreasing for the past 3 consecutive years (consult chart 5). The increase in the total number of EI regular claims established in FY1920 was mostly attributable to increases in Ontario (+30,300 claims), Quebec (+16,000 claims), British Columbia (+14,900 claims) and Alberta (+13,500 claim).

The total amount of EI regular benefits paid increased by 3.7% in the reporting fiscal year, increasing from $10.7 billion in FY1819 to $11.1 billion in FY1920. This marks an increase in the total amount paid in EI regular benefits after decreasing for the past 2 consecutive years (consult chart 5). The increase in the total amount of EI regular benefits paid in FY1920 is partly attributable to the pilot project that provided additional weeks of EI regular benefits to seasonal claimants in 13 EI economic regions^{Footnote 12}.

Text description of Chart 5

Fiscal year	FY1011	FY1112	FY1213	FY1314	FY1415	FY1516	FY1617	FY1718	FY1819	FY1920
Regular claims (millions) (left scale)	1.40	1.42	1.36	1.33	1.34	1.43	1.32	1.30	1.29	1.37
Amount paid ($ billions) (right scale)	$12.8	$11.1	$10.5	$10.4	$10.6	$12.1	$12.7	$12.6	$10.7	$11.1

• Note: Includes claims for which at least $1 of EI regular benefits was paid.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

The number of new claims established tends to be influenced by labour market conditions and overall economic cycles, as well as initiatives (such as EI pilot projects). During periods of economic growth and robust labour market conditions, fewer claims for EI regular benefits are established, while the opposite is true during periods of economic stagnation and unfavourable labour market conditions. This is evident in chart 5—over the last decade, the number of new claims established was the highest at 1.43 million in FY1516 following the economic slowdown due to the downturn in commodity prices. Similar increases in the number of new EI regular claims were observed following the recession in FY0809. As discussed in Chapter I, the Canadian economy experienced a slowdown in growth in FY1920 as GDP increased by 1.4% compared to the previous year. Meanwhile, for the period of April 1, 2019 to February 29, 2020,^{Footnote 13} the labour force increased by 1.9% and the unemployment rate declined by 0.2 percentage points from the previous fiscal year. Despite the overall favourable economic and labour market conditions observed for most of the fiscal year in FY1920, the increase in the number of EI regular claims was mostly in the last quarter of the year, attributable to the rising unemployment rates in February 2020.^{Footnote 14} In addition, a particularly high number of EI regular claims were also established in the first 2 weeks of March 2020 (that is, the period in March 2020 for which data on EI regular benefits is included in this report), likely reflecting the effect of the COVID-19 pandemic before CERB came into effect on March 15, 2020.^{Footnote 15}

On average, there were 459,900 beneficiaries receiving EI regular benefits each month in FY1920, up from 453,400 (+1.4%) in the previous fiscal year.^{Footnote 16} Because the number of beneficiaries is based on previously established claims, these 2 measures generally trend in the same direction, with the count of beneficiaries usually lagging behind the number of new claims established. To illustrate this, suppose there is an increase in the number of claims established for EI regular benefits after an economic shock. The number of beneficiaries will increase following the increase in claims. However, the count of beneficiaries can still remain elevated even after the volume of new claims have subsided once the labour market conditions improve, as payments continue to be made on previously established claims until benefits are exhausted or the claimants have found employment. In FY1920, the number of beneficiaries of EI regular benefits decreased from the previous year, despite the increase in the number of EI regular claims established during this period. The effect of the increase in the number of claims established will likely be reflected on the number of beneficiaries in the next reporting period.

Employment Insurance regular claims and amount paid by province or territory, gender and age

As illustrated in chart 6, the number of claims established for EI regular benefits increased in all provinces except for Newfoundland and Labrador (-5.5%) and Prince Edward Island (-4.4%) in FY1920 compared to the previous year. The number of EI regular claims established increased slightly in Yukon (+2.4%), while it decreased in the other 2 territories during this period. Among provinces and territories, the most significant relative changes in the number of EI regular claims in FY1920 were observed in Nunavut (-14.4%) and British Columbia (+12.4%).
The total amount paid in EI regular benefits increased in all provinces with the exception of Newfoundland and Labrador (-5.0%), Prince Edward Island (-3.0%) and Nova Scotia (-1.1%), and stayed relatively unchanged in Manitoba (-0.1%). Yukon and Nunavut both saw an increase in the total amount paid in EI regular benefits (+2.7% and 4.0%, respectively), while it decreased in the Northwest Territories (-8.7%) (consult chart 6). Similarly to previous years, Ontario and Quebec continued to account for more than half (58.1%) of total EI regular claims established, and just over half (50.9%) of the total amount paid in EI regular benefits in the reporting period.

Text description of Chart 6

Province/territory	% Change claims established	% Change amount paid
Newfoundland and Labrador	-5.5%	-5.0%
Prince Edward Island	-4.4%	-3.0%
Nova Scotia	0.5%	-1.1%
New Brunswick	0.6%	7.6%
Quebec	4.2%	1.7%
Ontario	8.3%	8.5%
Manitoba	0.7%	-0.1%
Saskatchewan	8.6%	3.3%
Alberta	10.6%	1.7%
British Columbia	12.4%	8.1%
Yukon	2.4%	2.7%
Northwestern Territories	-3.8%	-8.7%
Nunavut	-14.4%	4.0%

• Note: Includes claims for which at least $1 of EI regular benefits was paid.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

Table 6 outlines the number of EI regular claims established and the total amount paid by gender and age groups in FY1920 and the previous year (FY1819). The number of new claims established by both men and women increased during this period. Similar to previous years, men accounted for around 3 in every 5 (60.8%) EI regular claims in the reporting period. The total amount paid in EI regular benefits to men and women had similar relative increases in FY1920 from the previous year (+3.9% and +3.2%, respectively). In FY1920, men accounted for the nearly two-thirds (66.4%) of the total amount paid in EI regular benefits. This share has remained relatively stable in recent years as well.

Both the number of new EI regular claims established and the total amount paid increased in FY1920 compared to the previous year across all age groups. Younger claimants (aged below 25 years) had the highest increase (+8.0%) in the number of EI regular claims during this period. In terms of total amount paid in EI regular benefits, older claimants (aged over 54 years) had the highest increase (+6.0%) in FY1920 from FY1819. Similar to the previous years, claimants who were aged between 25 and 44 years continued to account for the largest shares of new regular claims (44.1%) and total amount paid (43.2%) in FY1920, while the smallest shares were for younger claimants aged less than 25 years (9.0% of claims and 8.5% of amount paid, respectively).

Table 6 – Employment Insurance regular claims and amount paid by gender and age, Canada, FY1819 to FY1920

Category	Number of claims FY1819	Number of claims FY1920	Number of claims Change (%)	Amount paid ($ million) FY1819	Amount paid ($ million) FY1920	Amount paid Change (%)
Men	791,220	830,770	+5.0%	$7,072.5	7,348.8	+3.9%
Women	501,490	536,310	+6.9%	$3,601.3	3,715.6	+3.2%
24 years old and under	113,780	122,860	+8.0%	$922.7	939.3	+1.8%
25 to 44 years old	568,800	603,290	+6.1%	$4,585.2	4,783.1	+4.3%
45 to 54 years old	278,900	286,640	+2.8%	$2,335.9	2,342.4	+0.3%
55 years old and over	331,230	354,290	+7.0%	$2,830.0	2,999.6	+6.0%
Canada	1,292,710	1,367,080	+5.8%	$10,673.8	11,064.4	+3.7%

• Note: Data may not add up to the total due to rounding. Percentage change is based on unrounded numbers. Includes claims for which at least $1 of EI regular benefits was paid.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

One notable trend that has been observed over the past few years is that, while the shares of new claims established by different age groups has been relatively stable, the share of new claims established by older claimants aged 55 years and over has increased slowly but steadily over the past several years. The trends observed for older claimants are likely attributable in part to Canada’s aging population and the labour force composition. Individuals in this age category accounted for 21.6% of the labour force in FY1920, up from 16.1% in FY0910, representing a 5.5 percentage points increase in the past decade.

Employment Insurance regular claims and amount paid by EI claimant category

Table 9 outlines the number of claims established for EI regular benefits and amount paid by EI claimant category in the reporting fiscal year and the previous year.^{Footnote 20} In FY1920, the number of EI regular claims by long-tenured workers saw the highest relative increase (+15.6%) from FY1819, while the total amount paid to them had a moderate increase (+2.1%) during this period. The increase in the number of claims established by occasional claimants (+5.4%) was proportional to the increase in the total amount paid in EI regular benefits to them (+4.4%). However, the number of EI claims established by frequent claimants decreased by 3.3% in FY1920 from the previous year, but the total amount paid in EI regular benefits to them increased by 3.6% in this period. This is likely due to the pilot project introduced in August 2018 that provided additional weeks of EI regular benefits to eligible seasonal claimants in 13 EI economic regions, a large portion of whom can also be considered as frequent claimants.^{Footnote 21}

In the reporting year, long-tenured workers and occasional claimants benefited proportionally less when their shares in the total number of claims and total amount paid are considered. Long-tenured workers accounted for 24.9% of all new regular claims established while they received 22.8% of the total amount paid. Occasional claimants accounted for 54.0% of all new regular claims established in FY1920 but received 51.9% of the total amount paid. Frequent claimants, on the other hand, benefited proportionally more, as they accounted for 21.0% of total new regular claims in FY1920 and received 25.3% of the total amount paid in EI regular benefits.

Table 9 – Employment Insurance regular claims and amount paid by EI claimant category, Canada, FY1819 to FY1920

Claimant category	Number of claims and % share of all EI regular claims FY1819	Number of claims and % share of all EI regular claims FY1920	Change (%) in number of claims	Amount paid  ($ million) and % share of total amount paid for EI regular benefits FY1819	Amount paid  ($ million) and % share of total amount paid for EI regular benefits FY1920	Change (%) in amount paid
Long-tenured workers	294,820 (22.8%)	340,900 (24.9%)	+15.6%	$2,467.4 (23.1%)	$2,518.1 (22.8%)	+2.1%
Occasional claimants	700,580 (54.2%)	738,600 (54.0%)	+5.4%	$5,505.2 (51.6%)	$5,746.6 (51.9%)	+4.4%
Frequent claimants	297,310 (23.0%)	287,580 (21.0%)	-3.3%	$2,701.2 (25.3%)	$2,799.7 (25.3%)	+3.6%
Canada	1,292,710 (100.0%)	1,367,080 (100.0%)	+5.8%	$10,673.8 (100.0%)	$11,064.4 (100.0%)	+3.7%

• Note: Data may not add up to the total due to rounding. Percentage change is based on unrounded numbers. Includes claims for which at least $1 of EI regular benefits was paid.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

Chart 7 and chart 8 illustrate the share of new EI regular claims established and the share of total amount paid by claimant categories in the past decade. During this period, the share of EI regular claims established by occasional claimants has ranged between 51.8% in FY1112 and 57.8% in FY1415. The share of claims established by long-tenured workers has experienced some variation in the last decade, while the share by frequent claimants has remained relatively unchanged.

Text description of Chart 7

Claimant category	FY1011	FY1112	FY1213	FY1314	FY1415	FY1516	FY1617	FY1718	FY1819	FY1920
Long-tenured workers	24.0%	25.6%	23.3%	21.5%	19.5%	26.6%	24.9%	23.9%	22.8%	21.0%
Occasional claimants	53.9%	51.8%	53.1%	55.1%	57.8%	51.9%	53.5%	53.8%	54.2%	54.0%
Frequent claimants	22.1%	22.6%	23.6%	23.4%	22.7%	21.5%	21.6%	22.3%	23.0%	24.9%

• Note: Includes claims for which at least $1 of EI regular benefits was paid.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

The share paid to occasional claimants has trended upward in the last decade. The share paid to long-tenured workers has trended downward over this time.

Text description of Chart 8

Claimant category	FY1011	FY1112	FY1213	FY1314	FY1415	FY1516	FY1617	FY1718	FY1819	FY1920
Long-tenured workers	34.6%	28.4%	26.0%	22.9%	20.2%	25.9%	29.1%	26.5%	23.1%	22.8%
Occasional claimants	44.5%	46.6%	47.4%	50.9%	54.1%	50.5%	49.1%	49.6%	51.6%	51.9%
Frequent claimants	20.9%	25.0%	26.6%	26.2%	25.7%	23.6%	21.9%	23.9%	25.3%	25.3%

• Note: Includes claims for which at least $1 of EI regular benefits was paid.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

Employment Insurance regular claims by hours of insurable employment and unemployment rate in the Employment Insurance economic region of establishment

The number of required hours depends on the unemployment rate in the EI economic region at the time of submitting the application for EI and is known as the Variable Entrance Requirement (VER). The higher the unemployment rate in a given region, the lower the number of hours needed to qualify for EI regular benefits (consult annex 2.2 for the full breakdown). A detailed discussion on the eligibility and access to EI regular benefits is provided in subsection 2.2.2.

Variable entrance requirement

In order to qualify for EI regular benefits, a worker must accumulate a minimum between 420 and 700 hours of insurable employment in the qualifying period, depending on the applicable regional rate of unemployment where the claimant resides. As outlined below, a higher regional unemployment rate corresponds to a lower required number of hours of insurable employment.

EI regional unemployment rate	Variable entrance requirement
6.0% and under	700 hours
6.1% to 7.0%	665 hours
7.1% to 8.0%	630 hours
8.1% to 9.0%	595 hours
9.1% to 10.0%	560 hours
10.1% to 11.0%	525 hours
11.1% to 12.0%	490 hours
12.1% to 13.0%	455 hours
More than 13.0%	420 hours

Table 10 outlines the distribution of EI regular claims by the number of hours of insurable employment that were used to qualify for EI regular benefits in the past 5 years. In FY1920, EI regular benefit claimants who accumulated 1,820 or more hours of insurable employment during their qualifying period accounted for the largest share of total EI regular benefits established. The number of claims in this category increased by 15.0% in FY1920 from the previous year, while its share in total EI regular claims established increased by 2.2 percentage points during this period. Claimants with less than 700 hours of insurable employment accounted for the lowest share (3.8%) of total EI regular claims established in FY1920. In the past 5 years, the shares of the categories in total EI regular claims established have remained relatively stable, as shown in table 10.

Table 10 – Number and share of Employment Insurance regular claims by hours of insurable employment, Canada, FY1516 to FY1920

Number of hours of insurable employment in the qualifying period	FY1516	FY1617	FY1718	FY1819	FY1920	Change (%) FY1819 to FY1920
Less than 700 hours	67,170 (4.7%)	76,340 (5.8%)	66,150 (5.1%)	60,150 (4.7%)	52,630 (3.8%)	-12.5%
700 to 979 hours	207,610 (14.5%)	216,650 (16.4%)	215,600 (16.6%)	212,640 (16.4%)	213,380 (15.6%)	+0.3%
980 to 1,259 hours	264,500 (18.5%)	242,610 (18.4%)	234,850 (18.1%)	239,650 (18.5%)	243,580 (17.8%)	+1.6%
1,260 to 1,539 hours	260,870 (18.2%)	239,030 (18.1%)	239,600 (18.4%)	243,490 (18.8%)	254,120 (18.6%)	+4.4%
1,540 to 1,819 hours	235,120 (16.4%)	207,440 (15.7%)	211,880 (16.3%)	213,480 (16.5%)	231,540 (16.9%)	+8.5%
1,820 hours and more	395,820 (27.7%)	339,060 (25.7%)	331,630 (25.5%)	323,300 (25.0%)	371,830 (27.2%)	+15.0%
Canada	1,431,090 (100.0%)	1,321,130 (100.0%)	1,299,710 (100.0%)	1,292,710 (100.0%)	1,367,080 (100.0%)	+5.8%

• Note: Data may not add up to the total due to rounding. Includes claims for which at least $1 of EI regular benefits was paid.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

Chart 9 shows the average number of hours of insurable employment per claimant receiving EI regular benefits in the past decade by gender. In the reporting period, claimants had accumulated 1,394 hours of insurable employment during their qualifying period, up from 1,371 hours in FY1819. Among claimants who receive EI regular benefits, the average number of hours of insurable employment accumulated by claims established by men are generally higher compared to those established by women. This can be attributable to the fact that a higher proportion of women work in part-time and/or temporary jobs than men, and so accumulate fewer hours of insurable employment on average. In FY1920, men had about 70 more hours of insurable employment than women. The difference between the average number of hours of insurable employment for men and women has stayed around 60 hours in the past decade.

Text description of Chart 9

Gender	FY1011	FY1112	FY1213	FY1314	FY1415	FY1516	FY1617	FY1718	FY1819	FY1920
Men	1,358	1,377	1,393	1,400	1,406	1,418	1,385	1,392	1,395	1,422
Women	1,309	1,315	1,328	1,338	1,342	1,353	1,328	1,333	1,332	1,352
Canada	1,338	1,352	1,367	1,376	1,381	1,393	1,363	1,369	1,371	1,394

• Note: Includes claims for which at least $1 of EI regular benefits was paid.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

The average number of hours of insurable employment per claim varies by province and territory as well. Generally, the number of hours of insurable employment per claim in the Atlantic provinces and the territories tend to be lower than other regions, due to the composition of regional labour markets. In FY1920, the lowest average hours of insurable employment per claim among all provinces and territories was observed in Newfoundland and Labrador (1,147 hours), followed by Northwest Territories (1,215 hours) and Nunavut (1,218 hours). The highest average hours of insurable employment per claim in FY1920 was observed in Ontario (1,457 hours), then Alberta (1,453 hours) and British Columbia (1,422 hours).

The average number of hours of insurable employment also varies between age groups. In FY1920, EI regular claimants who were aged between 25 and 44 years accumulated the highest average number of hours of insurable employment during their qualifying period (1,430 hours), followed closely by those who were 45 to 54 years old (1,422 hours). Older claimants (aged 55 years and over) accumulated the lowest average number of hours of insurable employment (1,329 hours) in FY1920, followed by younger claimants aged less than 25 years (1,340 hours). This may be explained by the over-representation of individuals from these 2 age groups in part-time and seasonal employment^{Footnote 22}, leading them to accumulate fewer hours of insurable employment on average compared to those in other age groups.

Table 11 outlines the number and distribution of EI regular claims established in the past 5 fiscal years, as well as the labour force and the unemployed population by regional unemployment rate in the reporting fiscal year. In FY1920, EI economic regions where the unemployment rate was between 0.1% and 6% accounted for around half (50.1%) of all EI regular claims established. The share of claims established in these regions has increased significantly in the past 5 years due to the steady decrease in the unemployment rate in the country during this time. These regions also accounted for more than half (52.2%) of the total unemployed population and 63.1% of the total labour force in FY1920. In contrast, the share of EI regular claims established in EI economic regions with high unemployment rates (for example, 14.1% and higher) has been decreasing in the past 5 years.

Table 11 – Number and share of Employment Insurance regular claims by regional unemployment rate*, Canada, FY1516 to FY1920

Unemployment rate	Employment Insurance regular claims established (in thousands) (% share of total claims) FY1516	Employment Insurance regular claims established (in thousands) (% share of total claims) FY1617	Employment Insurance regular claims established (in thousands) (% share of total claims) FY1718	Employment Insurance regular claims established (in thousands) (% share of total claims) FY1819	Employment Insurance regular claims established (in thousands) (% share of total claims) FY1920	Labour force (in thousands) (% share of labour force) FY1920	Number of unemployed (in thousands) (% share of unemployed) FY1920**
0.1% to 6%	218.0 (15.2%)	171.4 (13.0%)	384.2 (29.6%)	411.2 (31.8%)	685.1 (50.1%)	12,913.3 (63.1%)	666.7 (52.2%)
6.1% to 7%	363.7 (25.4%)	363.2 (27.5%)	425.6 (32.7%)	479.0 (37.1%)	284.2 (20.8%)	3,702.4 (18.1%)	238.2 (18.7%)
7.1% to 8%	279.0 (19.5%)	299.0 (22.6%)	134.8 (10.4%)	129.4 (10.0%)	134.7 (9.9%)	2,297.8 (11.2%)	172.7 (13.5%)
8.1% to 9%	216.3 (15.1%)	169.3 (12.8%)	110.9 (8.5%)	40.8 (3.2%)	35.0 (2.6%)	357.3 (1.7%)	29.7 (2.3%)
9.1% to 10%	75.7 (5.3%)	65.5 (5.0%)	31.7 (2.4%)	13.9 (1.1%)	9.6 (0.7%)	58.0 (0.3%)	5.5 (0.4%)
10.1% to 11%	50.4 (3.5%)	35.4 (2.7%)	8.0 (0.6%)	37.0 (2.9%)	28.7 (2.1%)	309.5 (1.5%)	32.7 (2.6%)
11.1% to 12%	16.7 (1.2%)	21.4 (1.6%)	60.1 (4.6%)	49.0 (3.8%)	34.8 (2.5%)	241.6 (1.2%)	27.6 (2.2%)
12.1% to 13%	43.9 (3.1%)	35.3 (2.7%)	13.4 (1.0%)	4.1 (0.3%)	23.8 (1.7%)	100.5 (0.5%)	12.3 (1.0%)
13.1% to 14%	16.9 (1.2%)	11.4 (0.9%)	28.2 (2.2%)	7.0 (0.5%)	47.4 (3.5%)	120.7 (0.6%)	16.3 (1.3%)
14.1% to 15%	23.7 (1.7%)	38.2 (2.9%)	24.0 (1.8%)	17.9 (1.4%)	9.0 (0.7%)	29.5 (0.1%)	4.3 (0.3%)
15.1% to 16%	32.0 (2.2%)	25.4 (1.9%)	10.3 (0.8%)	25.0 (1.9%)	14.5 (1.1%)	54.8 (0.3%)	8.7 (0.7%)
16% or higher	94.8 (6.6%)	85.8 (6.5%)	68.6 (5.3%)	78.6 (6.1%)	60.4 (4.4%)	281.0 (1.4%)	61.6 (4.8%)
Canada	1,431.1 (100.0%)	1,321.1 (100.0%)	1,299.7 (100.0%)	1,292.7 (100.0%)	1,367.1 (100.0%)	20,466.3 (100.0%)	1,276.2 (100.0%)

• Note: Data may not add up to the total due to rounding. Includes claims for which at least $1 of EI regular benefits was paid.
• * Unemployment rates used for the Employment Insurance program are a moving average of seasonally adjusted rates of unemployment produced by Statistics Canada, as per section 17 of the Employment Insurance Regulations.
• Sources: Employment and Social Development Canada, Employment Insurance (EI) administrative data and Statistics Canada, special tabulations from the Labour Force Survey. EI data are based on a 10% sample of EI administrative data.

Using multiple Records of Employment (ROEs) * to establish claims for EI regular benefits

The introduction of the EI system in 1996 recognized all hours of insurable employment starting from the first hour, shifting from the previous Unemployment Insurance (UI) system which was based on weeks worked that excluded weeks with less than 15 hours of work. This switch allowed workers to combine multiple ROEs to establish claims for EI benefits, recognizing the variety of work patterns and rising trends in non-standard forms of employment (including multiple jobholding).

A recent departmental study** examined the socio-demographic profiles of claimants for EI regular benefits who used multiple ROEs compared to those who used a single ROE to establish their claims. Over the period 2000 to 2018, the study found that on average 35.8% of yearly EI regular claims were established using multiple ROEs. Men, younger workers aged 15 to 24, unemployed workers from the construction sector and claimants who worked while on claim were more likely to establish claims for EI regular benefits with multiple ROEs. The incidence of claiming with multiple ROEs was higher in most of Eastern Canada (Newfoundland and Labrador, New Brunswick and Prince Edward Island), Quebec and Manitoba compared to other regions in the country. On average, claims associated with multiple ROEs received 16 weeks of EI regular benefits compared to 18 weeks for those associated with a single ROE.

The study also looked at claimants with multiple ROEs who had a single job and those with multiple jobs***. The majority (about 70%) of claims associated with multiple ROEs were from claimants who had multiple jobs, which were more likely to be held sequentially (56%) than concurrently (44%). The incidence rate of holding jobs concurrently was higher for women, younger workers aged 15 to 24, and workers in the government and social service sectors.

• * A Record of Employment is a form completed by the employer when an employee stops working. It contains information on employment history, and is the single most important document used by employees to apply for EI benefits.
• ** ESDC, Trends in the Use of Multiple Records of Employment to Establish Employment Insurance Claims (Ottawa: ESDC, Evaluation Directorate, 2021).
• *** Multiple jobholders in this context are those who work for more than one employer over their qualifying period for EI regular benefits.

2.2.2 Coverage, eligibility and access to Employment Insurance regular benefits for the unemployed population

As mentioned at the beginning of section 2.2, there are 3 eligibility criteria to qualify for EI regular benefits:

• the claimant must have had insurable employment and paid EI premiums during the qualifying period (defined as either the previous 52 weeks or since the establishment of their last claim, whichever is shorter)
• have a valid reason for job separation according to the Employment Insurance Act
• have worked a minimum number of hours of insurable employment (ranging from 420 and 700 hours, depending on the regional unemployment rate where the claimant lived at the time of the claim) during the qualifying period

This subsection provides an overview of the unemployed population in Canada in terms of these 3 eligibility criteria. All estimates on the unemployed population provided in this subsection are based on results from the Employment Insurance Coverage Survey (EICS),^{Footnote 26} published annually by Statistics Canada. The survey provides statistics on the contributors and non-contributors to the EI program among the unemployed population in the calendar year, as well as on the eligible recipients and those who did not qualify for EI regular benefits. The survey also provides information on the take-up of EI maternity and parental benefits in Canada (consult subsection 2.6.2).

Chart 10 illustrates the distribution of the unemployed population in Canada in 2019 in terms of their eligibility criteria for EI regular benefits. On average, there were 1,088,700 unemployed individuals per month in Canada in 2019. Of them, 419,100 (38.5%) individuals did not pay EI premiums during the year because they did not work in the previous 12 months or never worked, or because they were self-employed or unpaid family workers. The other 669,600 (61.5%) unemployed individuals had paid EI premiums in the 12 months prior to becoming unemployed in 2019, and thus were covered by the EI program.

Of the total unemployed population, 14.2% were ineligible for EI benefits as they had invalid reasons for job separation, although they had paid EI premiums. Of these individuals, some quit their jobs to go to school while others quit for other reasons. The number of unemployed individuals ineligible for EI regular benefits for quitting their jobs to go to school dropped by almost half (47.5%) from 2018 to 2019, likely due to the continued strong labour market performance in 2019.^{Footnote 27} The remaining 515,400 unemployed individuals (47.3% of total unemployed) had paid EI premiums and had a valid reason for job separation. However, some of them (8.3% of total unemployed) did not accumulate enough hours of insurable employment during their qualifying period. The rest (39.0% of total unemployed) had enough hours of insurable employment during their qualifying period and were eligible for EI regular benefits, as they had met all 3 eligibility criteria of the EI program.

While the majority of the unemployed population eligible for EI regular benefits with enough hours of insurable employment had received EI benefits at the time they were surveyed in 2019, some were not receiving them even though they were eligible (consult chart 10). This was due to 1 of the following reasons:

• their benefits were temporarily interrupted or they were waiting to receive benefits
• they did not claim or receive benefits for unknown reasons
• they had exhausted benefits in the past 12 months, or
• they were receiving non-regular EI benefits

Text description of Chart 10

(U) Total unemployed individuals: 1,088,700 (100%)	Description
(A) Unemployed individuals who did not pay EI premiums: 419,100 (38.5%)	A1 – Individuals who did not work in the previous 12 months or never worked: 353,500 (32.5%) A2 – Individuals who were self-employed or unpaid family workers: 65,600 (6.0%)
(B) EI premium-paying unemployed individuals with invalid reasons for job separation: 154,200 (14.2%)	B1 – Individuals with invalid reasons for job separation - other reasons: 107,400 (9.9%) B2 – Individuals with invalid reasons for job separation - quit to go to school: 46,800 (4.3%)
(C) Potentially eligible unemployed individuals but insufficient hours of insurable employment: 90,500 (8.3%)	C1 – Individuals who did not have sufficient hours of insurable employment: 90,500 (8.3%)
(D) Unemployed individuals eligible for EI regular benefits with enough hours of insurable employment: 424,900 (39.0%)	D1 – Individuals who received EI regular benefits: 295,000 (27.1%) D2 – Benefits temporarily interrupted or waiting to receive benefits: 45,500 (4.2%) D3 – Individuals who did not claim or receive benefits for unknown reasons: 36,900 (3.4%) D4 – Individuals who exhausted EI benefits in the past 12 months: 37,000 (3.4%) D5 – Individuals who received non-regular EI benefits: 10,500E (1.0%)

• Note: Data may not add up to the total due to rounding.
• * Estimates for the year are based on monthly averages.
• ^E Use with caution, as there are high levels of error in this estimate. Source: Statistics Canada, Employment Insurance Coverage Survey, 2019.

Chart 11 shows the distribution of the unemployed population in Canada over the past 10 years in terms of their eligibility for EI regular benefits. Generally, the share of unemployed individuals who meet all 3 eligibility criteria for EI regular benefits go up following economic or labour market disruptions; for example, the recession in FY0809 and the downturn in global commodity prices in 2015. On the other hand, during periods of strong economic and labour market conditions with low unemployment rates, a lower share of unemployed individuals are eligible for EI regular benefits as they need a higher number of hours of insurable employment to qualify. This explains the third consecutive yearly decrease in the share of unemployed individuals with enough hours of insurable employment (consult chart 11).

Text description of Chart 11

Category	2009	2010	2011	2012	2013	2014	2015	2016	2017	2018	2019
(A) Unemployed individuals who did not pay premiums	29.7%	35.3%	35.5%	38.3%	37.5%	39.0%	34.7%	34.7%	37.0%	36.1%	38.5%
(B) EI premium-paying unemployed individuals with an invalid reason for job separation	12.5%	11.8%	12.7%	13.7%	14.9%	14.9%	12.4%	11.9%	12.0%	15.8%	14.2%
(C) Potentially eligible unemployed individuals but with insufficient hours of insurable employment	8.0%	8.5%	11.2%	8.7%	6.7%	7.8%	9.1%	7.8%	8.0%	6.1%	8.3%
(D) Unemployed individuals eligible for EI regular benefits with enough hours of insurable employment	49.8%	44.4%	40.5%	39.3%	40.8%	38.3%	43.8%	45.6%	43.0%	42.1%	39.0%

• Source: Statistics Canada, Employment Insurance Coverage Survey, 2009 to 2019.

Coverage of Employment Insurance regular benefits

The coverage rate of EI regular benefits shows the proportion of unemployed individuals who contributed to the EI program by paying EI premiums in the preceding 52 weeks prior to becoming unemployed. Thus, the coverage rate is calculated by dividing the number of unemployed individuals who had insurable employment and paid EI premiums within the previous 52 weeks by the number of total unemployed individuals in Canada. In 2019, the coverage rate was 61.5%, down slightly from 63.9% observed in 2018.

Higher coverage rates of EI regular benefits are usually observed during economic downturns, as slowing economic activities lead to layoffs that increase the share of unemployed EI contributors among all unemployed individuals. The coverage rates in the past decade peaked in 2009, corresponding with the FY0809 recession and rose again during the downturn in commodity prices in 2015 and 2016. The coverage rate decreased by 2.4 percentage points to 61.5% in 2019 from the previous year—within the range observed between 2012 and 2014, just before the economic downturn in 2015 (consult chart 12).

Text description of Chart 12

Year	2009	2010	2011	2012	2013	2014	2015	2016	2017	2018	2019
Coverage rate	70.3%	64.7%	64.5%	61.7%	62.5%	61.0%	65.3%	65.3%	63.0%	63.9%	61.5%

• Source: Statistics Canada, Employment Insurance Coverage Survey, 2009 to 2019.

Table 13 outlines the coverage rates of EI regular benefits by province, gender, age and previous work pattern for the past 5 years. Despite a large decrease from the previous year, Prince Edward Island had the highest coverage rate among all provinces in 2019, same as in 2018. Similarly, Ontario continued to have the lowest coverage rate among all provinces in 2019. Historically, the Atlantic provinces have higher coverage rates than the rest of the country—this may be explained by the composition of unemployed individuals, such as the prevalence of the seasonal employment pattern in that region.^{Footnote 28}

The coverage rate for men decreased in 2019 from the previous year but continued to be higher than that for women, which remained relatively unchanged. The lower coverage rate for women can be explained by the fact that unemployed women are less likely to have recent insurable employment compared to unemployed men. The coverage rate of younger unemployed individuals and those aged 45 years and older remained relatively unchanged in 2019, while it dropped for those aged between 25 and 44 years.

When the unemployed population is categorized by their previous work pattern, it can be seen that a higher share of unemployed individuals with previous non-permanent jobs paid EI premiums in the previous 52 weeks than those who had permanent jobs. This can be explained by the high coverage rate of unemployed individuals who worked in non-permanent seasonal jobs. As these individuals work for few weeks or months on a cyclical pattern over a year, they are more likely to have paid EI premiums in the previous 52 weeks than those who were in permanent jobs and might be unemployed for more than a year. Among unemployed individuals who previously held permanent jobs, those who had part-time jobs had a higher coverage rate than those who had full-time jobs in 2019, contrary to the previous year. This can be explained by the increase in the share of unemployed individuals with previous permanent full-time jobs in 2019 who did not pay EI premiums—likely those who have been unemployed for more than a year—among the total unemployed with such previous work pattern, compared to the previous year. Over the same period, the share of unemployed with previous permanent part-time jobs who did not pay EI premiums decreased, resulting in a higher coverage rate for them^{Footnote 29}. Among unemployed individuals who previously were in non-permanent employment, those who had seasonal work continued to have a significantly higher coverage rate in 2019 compared to those who had non-seasonal non-standard work.

Table 13 – Employment Insurance regular benefits coverage rates for the unemployed population by province, gender, age and previous work pattern, Canada, 2015 to 2019

Category	2015	2016	2017	2018	2019	Change (% points) 2018 to 2019
Newfoundland and Labrador	87.2%	82.9%	87.4%	87.3%	77.7%	-9.6
Prince Edward Island	86.1%	90.5%	78.8%	91.0%	81.8%	-9.2
Nova Scotia	71.9%	76.2%	69.3%	73.0%	73.7%	+0.7
New Brunswick	81.9%	80.9%	80.8%	69.7%	76.1%	+6.4
Quebec	67.1%	65.6%	65.0%	67.0%	63.9%	-3.1
Ontario	57.0%	57.7%	57.9%	59.6%	57.9%	-1.7
Manitoba	67.2%	59.0%	60.9%	62.5%	59.5%	-3.0
Saskatchewan	77.3%	71.3%	72.5%	70.2%	58.0%	-12.2
Alberta	71.0%	70.0%	55.8%	61.7%	61.6%	-0.1
British Columbia	67.2%	69.9%	69.8%	61.7%	58.5%	-3.2
Men	69.3%	70.9%	66.8%	68.3%	62.8%	-5.5
Women	59.4%	56.8%	58.1%	58.1%	59.9%	+1.8
24 years old and under	54.4%	56.3%	50.9%	57.1%	57.9%	+0.8
25 to 44 years old	67.3%	65.5%	65.7%	64.4%	59.4%	-5.0
45 years old and over	70.4%	71.2%	67.1%	67.5%	65.6%	-1.9
Permanent	74.0%	72.0%	68.8%	72.1%	67.6%	-4.5
Full-time	76.8%	74.5%	70.6%	74.0%	66.1%	-7.9
Part-time	64.3%	59.6%	65.9%	67.1%	72.7%	+5.6
Non-permanent	78.5%	78.8%	77.6%	81.1%	79.4%	-1.7
Seasonal*	87.4%	85.5%	90.2%	86.9%	88.2%	+1.3
Other non-standard**	72.7%	74.5%	69.0%	77.2%	72.8%	-4.4
Canada***	65.3%	65.3%	63.0%	63.9%	61.5%	-2.4

• * Seasonal employment is temporary work that is expected to last only until the end of a ‘season’—the period for which services are in demand.
• ** Other non-standard refers to non-permanent paid jobs that were either temporary, term, contractual, casual or other non-permanent (but not seasonal) employment. This excludes unemployed individuals who were self-employed.
• *** The coverage rates of unemployed individuals for most of the work pattern categories are higher than the national average. This can be explained by the 0% coverage rate of unemployed individuals for whom a previous work pattern is not applicable because they never worked before. The national average is lower because these individuals are included.
• Source: Statistics Canada, Employment Insurance Coverage Survey, 2018 to 2019.

Eligibility for Employment Insurance regular benefits

As mentioned at the beginning of this subsection, applicants for EI regular benefits must meet 3 criteria to be considered eligible (they must have paid EI premiums, have a valid reason for job separation and have accumulated enough hours of insurable employment during their qualifying period). The eligibility rate is expressed as the share of unemployed individuals with sufficient hours of insurable employment among those who meet the other 2 eligibility criteria.

The eligibility rate for EI regular benefits decreased by 5.0 percentage points in 2019 from the previous year (consult chart 13). In the past decade, it has ranged between 78.4% in 2011 and 87.4% in 2018. The decrease in the eligibility rate can partly be explained by the historically low unemployment rates in 2019, which translated into a higher entry requirement for EI regular benefits. While the eligibility rate decreased for both previous employment patterns (permanent and non-permanent), the decrease was more significant for those who previously had non-permanent employment compared to those who had permanent employment. Notably, in the last decade, the variability in eligibility rates for those who had non-permanent employment was greater than it was for those who previously had permanent jobs.

The eligibility rates for EI regular benefits are sensitive to economic conditions and specific employment patterns during the qualifying period, such as the incidence of full-time versus part-time employment, permanent versus temporary employment etc. Because of this, significant variations are found when unemployed individuals are classified based on regional, demographic and previous employment characteristics.

Text description of Chart 13

Year	2009	2010	2011	2012	2013	2014	2015	2016	2017	2018	2019
All unemployed individuals	86.2%	83.9%	78.4%	81.9%	85.8%	83.1%	82.8%	85.4%	84.3%	87.4%	82.4%
Permanent employment	92.2%	92.4%	87.2%	89.9%	91.4%	87.7%	90.0%	92.8%	91.7%	92.8%	89.3%
Non-permanent employment	75.3%	72.3%	68.3%	72.2%	79.0%	77.7%	72.2%	75.7%	76.7%	80.1%	74.4%

• Source: Statistics Canada, Employment Insurance Coverage Survey, 2009 to 2019.

As outlined in table 14, unemployed individuals in Prince Edward Island had the highest eligibility rate among provinces in 2019, followed closely by New Brunswick and Nova Scotia, unchanged from 2018. On the other hand, following the significant decrease in the eligibility rate from the previous year, British Columbia had the lowest eligibility rate in 2019, followed by Ontario and Manitoba. On a year-over-year basis, 5 provinces had an increase in their eligibility rate in 2019, while the other 5 experienced a decrease. Notably, significant drops in Ontario and British Columbia mostly drove the decrease in the national eligibility rate in 2019 while changes in other provinces were insignificant. As mentioned, this can be explained by the low unemployment rates in these provinces in 2019,^{Footnote 30} as well as the concentration of part-time and non-permanent jobs.^{Footnote 31} Low unemployment rates translates into a higher required number of hours of insurable employment to qualify for EI regular benefits.^{Footnote 32} In particular, unemployed individuals who had part-time or non-standard employment were less likely to accumulate the required number of hours of insurable employment due to their work pattern, resulting in significant decreases in their eligibility rate (consult table 14).

Table 14 – Employment Insurance regular benefits eligibility rates by province, gender, age and previous work pattern, Canada, 2015 to 2019

Category	2015	2016	2017	2018	2019	Change (% points) 2018 to 2019
Newfoundland and Labrador	93.7%	95.9%	96.7%	93.8%	94.1%	+0.3
Prince Edward Island	92.7%	98.5%	94.3%	98.2%	97.0%	-1.2
Nova Scotia	82.3%	93.3%	86.0%	93.8%	95.2%	+1.4
New Brunswick	96.2%	94.6%	93.1%	94.0%	96.7%	+2.7
Quebec	81.5%	86.7%	85.1%	85.5%	87.8%	+2.3
Ontario	84.8%	81.3%	79.6%	88.7%	75.7%	-13.0
Manitoba	82.9%	75.3%	84.9%	83.1%	79.1%	-4.0
Saskatchewan	89.9%	78.9%	69.7%	86.6%	83.2%	-3.4
Alberta	78.6%	84.9%	85.2%	79.6%	84.1%	+4.5
British Columbia	75.2%	87.3%	90.0%	91.0%	73.6%	-17.4
Men	82.0%	87.2%	85.8%	88.3%	84.7%	-3.6
Women	84.3%	81.6%	82.1%	86.1%	79.5%	-6.6
24 years old and under	54.0%	50.8%	40.7%	60.5%	51.7%	-8.8
25 to 44 years old	82.1%	88.4%	89.4%	90.7%	82.1%	-8.6
45 years old and over	90.7%	94.0%	90.2%	90.5%	91.4%	+0.9
Permanent	90.0%	92.8%	91.7%	92.8%	89.3%	-3.5
Full-time	93.3%	95.3%	94.5%	93.6%	94.2%	+0.6
Part-time	65.8%	62.4%	69.3%	86.0%	64.7%	-21.3
Non-permanent	72.2%	75.7%	76.7%	80.1%	74.4%	-5.7
Seasonal*	82.6%	87.5%	86.7%	82.0%	83.5%	+1.5
Other non-standard**	64.0%	66.4%	66.8%	78.5%	64.5%	-14.0
Canada	82.8%	85.4%	84.3%	87.4%	82.4%	-5.0

• * Seasonal employment is temporary work that is expected to last only until the end of a ‘season’—the period for which services are in demand.
• ** Other non-standard refers to non-permanent paid jobs that were either temporary, term, contractual, casual or other non-permanent (but not seasonal) employment. This excludes unemployed individuals who were self-employed
• Source: Statistics Canada, Employment Insurance Coverage Survey, 2015 to 2019.

Regional unemployment rates and eligibility for EI regular benefits

As mentioned in subsection 2.2.1, the Variable Entrance Requirement (VER) ensures equitability among claimants from regions with different unemployment rates. The rationale behind VER is the fact that it is more difficult to find employment in regions with high unemployment rates and thus to accumulate hours of insurable employment, which is one of the three eligibility criteria for EI regular benefits. Variations in the proportion of unemployed individuals meeting the VER following a job separation are found in regions with different unemployment rates. A recent departmental study* used the Record of Employment (ROE)** data from 2001 to 2017 to estimate the proportion of job separators who met the required number of hours of insurable employment to qualify for EI regular benefits. Generally, the percentages of job separators who did not have enough accumulated hours of insurable employment were lower in regions with higher unemployment rates. Between 2001 and 2017, the percentage of job separators who did not meet the VER in their respective regions varied between 26.1% in 2009 to 32.1% in 2007. In 2017, around 31.3% of job separators in regions with low unemployment rates (6% or less) did not have enough accumulated hours of insurable employment to meet the VER, compared to 14.8% of job separators in high unemployment rate (13% or more) regions. The study also found that the probability to accumulate enough hours of insurable employment increased with regional unemployment rates—from 70.4% in regions with low unemployment rates (6% or less) to 85.2% in regions with high unemployment rates (13% or more).

• * ESDC, Record of Employment-based Measures of Employment Insurance Eligibility: Update 2001 to 2017. (Ottawa: ESDC, Evaluation Directorate, 2019)
• ** A Record of Employment is a form completed by the employer when an employee stops working. It contains information on employment history, and is the single most important document used by employees to apply for EI benefits.

Between 2018 and 2019, the decrease in the eligibility rate for unemployed women was more profound than it was for unemployed men. It also decreased substantially for individuals aged 15 to 24^{Footnote 33} and 25 to 44, while the rate was virtually unchanged for individuals aged 45 and over.

Variations in the eligibility criteria for EI regular benefits by age

Some variations in meeting the eligibility criteria to qualify for EI regular benefits can be observed when claimants’ age are considered. A recent departmental study* looked at the profiles of seniors compared to individuals in other age groups in terms of labour market participation and indicators related to the coverage, eligibility and levels of EI regular benefits received. The study looked at the reasons for job separation and the proportion of job separators who met the required number of hours of insurable employment to qualify for EI regular benefits in 2017, 2018 and 2019 by age group. The share of job separators who had enough hours of insurable employment to meet the Variable Entrance Requirement (VER) was the highest among older job separators (aged between 55 and 64 years) in these three years, followed closely by the core-aged job separators (aged between 25 and 54 years). Younger job separators (aged below 25 years) had the lowest share of people with enough hours of insurable employment to meet the VER, followed by seniors aged 70 years and over.

The study also looked at the reasons for job separation by analyzing Record of Employments (ROEs) issued to employees in different age groups in these three years. Notably, the share of ROEs issued for shortage of work increases with the age of employees—among younger employees, almost one in three ROEs (around 31% in these 3 years) was issued due to this reason, while among older senior employees aged 70 years and above, almost two in three ROEs (around 65% in these 3 years) were issued due to this reason.

The study also found that seniors had the lowest average number of hours of insurable employment and the lowest average weekly insured earnings compared to claimants in other age groups. This was mainly attributable to their preference to work in part-time and self-employment.

• * ESDC, Profile of Employment Insurance Coverage and Benefits of Seniors (Ottawa: ESDC, Employment Insurance Policy Directorate, 2021).

As mentioned, eligibility rates also vary across different employment characteristics. Intuitively, unemployed individuals who previously held full-time positions are more likely to have accumulated the required number of hours of insurable employment and have a higher eligibility rate than those who had part-time jobs. Similarly, unemployed individuals who previously had permanent jobs are more likely to meet the hours requirement than those who had temporary employment. This is evident in table 14 and chart 14 where unemployed individuals who previously had permanent employment are classified into full-time and part-time categories, and those who previously had non-permanent employment are classified into seasonal and non-seasonal categories.

In the past decade, the eligibility rates for EI regular benefits for the unemployed individuals who previously had permanent full-time employment showed little variation. The variation, on the other hand, for those with previous permanent part-time employment was much greater, ranging between 54.9% in 2011 and 86.0% in 2018. The drop in the eligibility rate in 2019 from the previous year for unemployed individuals in this group was also the highest (21.3 percentage points) recorded in the past 10 years. Similarly, among unemployed individuals who previously had non-permanent employment, the eligibility rates for those with previous seasonal employment showed comparatively less variation than the eligibility rates for those who had non-permanent non-seasonal employment. The sharp decline in the eligibility rate for those who previously had non-permanent non-seasonal jobs (14.0 percentage points), along with the decline for those with previous permanent part-time jobs mainly drove the decrease in the eligibility rate for Canada in 2019 from the previous year.

Text description of Chart 14

Year	2009	2010	2011	2012	2013	2014	2015	2016	2017	2018	2019
Permanent full-time	94.3%	94.5%	91.2%	94.6%	95.0%	90.1%	93.3%	95.3%	94.5%	93.6%	94.2%
Permanent part-time	68.8%	74.4%	54.9%	65.2%	71.4%	66.2%	65.8%	62.4%	69.3%	86.0%	64.7%
Non-permanent seasonal	81.4%	83.6%	81.2%	75.6%	85.1%	84.6%	82.6%	87.5%	86.7%	82.0%	83.5%
Non-permanent non-seasonal	70.5%	64.7%	60.0%	69.8%	74.5%	73.0%	64.0%	66.4%	66.8%	78.5%	64.5%

• Source: Statistics Canada, Employment Insurance Coverage Survey, 2009 to 2019.

Access to Employment Insurance regular benefits

Access to EI regular benefits is another way to measure how well the EI program is functioning to meet the needs of Canada’s unemployed in providing financial support following a job loss and helping them transition to new employment. For the purpose of the EI Monitoring and Assessment Report, access to EI regular benefits is measured by 2 ratios: the Beneficiary-to-Unemployed (B/U) ratio and the Beneficiary-to-Unemployed Contributor (B/UC) ratio.^{Footnote 34}

The Beneficiary-to-Unemployed (B/U) ratio

The Beneficiary-to-Unemployed (B/U) ratio is calculated by expressing the average number of EI regular beneficiaries reported in Statistics Canada’s monthly EI Statistics releases as a share of the overall unemployed population obtained from the EICS. As such, it includes a significant segment of the unemployed population who are ineligible for EI regular benefits (such as those who did not work in the previous year or never worked, who did not have a valid job separation, and those who were self-employed). Because of this, the B/U ratio is sensitive to changes in the composition of the unemployed population and the proportion of the unemployed individuals outside the scope of the EI program’s coverage.

The Beneficiary-to-Unemployed Contributor (B/UC) ratio

The Beneficiary-to-Unemployed Contributor (B/UC) ratio is calculated by expressing the average number of EI regular beneficiaries as a share of the corresponding unemployed population who contributed EI premiums in the previous 12 months. Because the B/UC ratio measures accessibility among unemployed workers for whom the EI regular benefits are designed to provide coverage, and excludes those who did not contribute EI premiums during their last employment period or did not have any labour force attachment, this ratio provides a better assessment of accessibility to EI regular benefits.

Chart 15 illustrates the B/U and B/UC ratios over the past 10 years. In 2019, the number of total unemployed (U), unemployed contributors (UC) and EI regular beneficiaries (B) decreased from the previous year. However, the decrease in the number of EI regular beneficiaries was lower than the decrease in the number of unemployed, and significantly lower than the unemployed contributors, which caused the B/U ratio to remain relatively unchanged (+0.3 percentage points) from the previous year, and the B/UC ratio to increase slightly (+2.9 percentage points). The continued strong labour market performance in 2019 resulted in the lowest unemployment rate observed in Canada since 1976,^{Footnote 35} which meant relatively fewer people were faced with job separation and needed support from the EI program, resulting in a lower number of beneficiaries (B). Similarly, the low unemployment rate denotes a reduction in the unemployed population (U) among the labour force. In addition, it is indicative of a tight labour market, which means there were fewer laid off unemployed contributors (UC) in 2019 compared to the previous year, resulting in the large drop in their number.

Text description of Chart 15

Year	2009	2010	2011	2012	2013	2014	2015	2016	2017	2018	2019
Beneficiary-to-Unemployed (B/U) Ratio	51.8%	48.9%	43.2%	40.6%	38.4%	38.6%	39.8%	41.8%	42.1%	39.3%	39.6%
Beneficiary-to-Unemployed Contributor (B/UC) Ratio	73.7%	75.6%	67.1%	65.8%	61.5%	63.4%	61.0%	64.0%	66.9%	61.5%	64.4%

• Sources: Statistics Canada, monthly Employment Insurance statistics release, Table 14-10-0010-01 (for data on EI regular beneficiaries (B)); and Statistics Canada, Employment Insurance Coverage Survey (for data on the number of unemployed (U) and the number of unemployed contributors (UC)).

2.2.3 Level of Employment Insurance regular benefits

Under the Variables Best Weeks provision, the weekly regular benefit rate payable to EI claimants is calculated as 55% of the average of their highest (best) weeks of insurable earnings over their qualifying period.^{Footnote 36} The maximum weekly benefit rate is based on the maximum insurable earnings (MIE).^{Footnote 37} The number of weeks used for calculating the weekly benefit rate ranges from 14 to 22 weeks, depending on the unemployment rate of the claimant’s EI economic region.

Furthermore, claimants with children (under the age of 18 years) and low annual family income may be eligible for the Family Supplement provision. This can increase their benefit rate from 55% up to a maximum of 80% of their weekly insurable earnings, subject to the maximum weekly benefit rate (consult subsection 2.1.1 for detailed discussion). The level of EI regular benefits discussed in this subsection includes Family Supplement top-ups paid to eligible claimants with EI regular benefits.

In FY1920, the average weekly benefit rate for EI regular benefits increased by 3.0% to $483, up from $469 observed in the previous fiscal year (+$14). This increase is attributable in part to the increase in the MIE.^{Footnote 38} As illustrated in chart 16, the average weekly regular benefit rate has been rising steadily on a year-over-year basis over the past 10 years.

Text description of Chart 16

Category	FY1011	FY1112	FY1213	FY1314	FY1415	FY1516	FY1617	FY1718	FY1819	FY1920
Average weekly benefit rate	$371	$384	$396	$419	$433	$446	$449	$457	$469	$483

• Note: Includes all claims for which at least $1 of EI regular benefits was paid.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

As shown in annex 2.5.3, the average weekly regular benefit rate increased in FY1920 in all provinces and territories compared to the previous fiscal year. The highest growth was observed in Nunavut (+9.6%), followed by Quebec (+3.5%). The average weekly regular benefit rate varied across provinces and territories—from the highest observed in Nunavut ($550) to the lowest observed in Prince Edward Island ($446). As in previous years, claims from the Atlantic provinces, Quebec and Manitoba continued to receive weekly regular benefit rates below the national average, while claims from Ontario, Saskatchewan, Alberta, British Columbia and the territories remained above the national average.

Consistent with past years, in FY1920, men had a higher average weekly regular benefit rate ($507, up from $493 in FY1819) than women ($444, up from $432 in FY1819), as shown in annex 2.5.3. Historically, this has also been the case. During the reporting period, the men and women’s average weekly regular benefits increased at the same rate of 2.8%. Over time, the gap between the average weekly benefit rates of men and women is gradually closing. For example, in FY1516, the average weekly benefit rate of women was 84.6% of men’s, while in FY1920 it reached 87.6%.

This overall gap in the average weekly benefit rate between men and women is observable for all categories of hours of insurable employment worked during the qualifying period and is more apparent at lower levels of labour market attachment (consult chart 17). However, this gap was the narrowest for claimants who had between 1400 and 1539 hours of insurable employment during their qualifying period.

Text description of Chart 17

Insurable hours worked	Men's average weekly benefit rate	Women's average weekly benefit rate
420 to 559	$391	$306
560 to 699	$433	$346
700 to 839	$434	$346
840 to 979	$461	$378
980 to 1119	$480	$402
1120 to 1259	$497	$426
1260 to 1399	$511	$454
1400 to 1539	$521	$486
1540 to 1679	$523	$477
1680 to 1819	$528	$486
1820 or more	$540	$503

• Note: Includes all claims for which at least $1 of EI regular benefits was paid.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

Table 15 outlines the average weekly regular benefit rates by age group for men and women in the current reporting period and the previous year. Claimants aged 25 to 44 years had the highest average weekly regular benefit rate ($495) in FY1920, up from $481 in the previous year (+$14 or +2.9%). However, the highest increase was observed for those who were aged 45 to 54 years (+$15 or +3.2%). When claimants are categorized by age group and gender, it can be seen that men aged 45 to 54 years had the highest average weekly regular benefit rate ($522) in FY1920, while for women the highest benefit rate was among those aged 25 to 44 years ($459). The difference in the average weekly regular benefit rate between men and women was the highest for claimants aged between 55 years old and over, and 45 and 54 years.

In FY1920, all claimant categories^{Footnote 39} experienced an increase in their average weekly benefit rate, with the largest increase observed for frequent claimants (+2.9%), followed by occasional claimants (+2.7%) – Consult table 16. The average weekly regular benefit rate was the highest for long-tenured workers ($515), while the lowest was for occasional claimants ($464).

As outlined in table 17, a little less than half (49.0%) of all claims established for EI regular benefits in FY1920 received the maximum weekly benefit rate. This is steady year-over-year. The share of claims receiving the maximum weekly benefit rate established by men (60.8%) was almost double the share of such claims established by women (30.8%), which is partly attributable to the fact that a higher proportion of women work in part-time jobs than men, leading to a lower average weekly insurable earnings for them^{Footnote 40}. By age group, the share of claims receiving the maximum weekly benefit rate was the highest for claimants aged between 25 and 44 years (53.6%), while the lowest was for those who were aged 24 years and under (33.2%). Long-tenured workers had the highest share of claims (63.7%) receiving the maximum weekly benefit rate in FY1920, followed by frequent claimants (51.9%). In addition to the 49.0% at the maximum weekly benefit rate, 8.3% of claims had a weekly benefit rate of $300 or less, 15.3% were between $301 and $400, 17.3% were between $401 and $500 and 10.1% were between $501 and the maximum weekly benefit rate ($562 in 2019 and $573 in 2020).

2.2.4 Employment Insurance regular benefit entitlement

Claimants who have successfully established an EI claim receive up to a set maximum number of weeks of EI regular benefits, known as their entitlement. This entitlement ranges between 14 and 45 weeks, and is determined by the number of hours of insurable employment accumulated during the qualifying period^{Footnote 41} and the effective unemployment rate in the claimant’s EI economic region at the time the claim is established (consult annex 2.2 for the entitlement table).^{Footnote 42}

This subsection presents detailed analysis on the duration of EI regular benefits, both maximum entitlement and actual weeks used. Statistics presented in this subsection are based on claims that were completed^{Footnote 43} during the fiscal year. Statistics for the reporting fiscal year are preliminary estimates and are subject to revision in the future.

Maximum and actual duration of Employment Insurance regular benefits

As mentioned, the maximum entitlement of EI regular benefits available to an EI claimant is between 14 and 45 weeks. Higher maximums are associated with greater hours of insurable employment accumulated during the qualifying period and higher regional unemployment rates. The EI program is designed to respond automatically to changes in economic conditions that affect local labour markets. In general, when a region’s unemployment rate rises, the entrance requirements are reduced and the maximum entitlement of benefits increases. Therefore, the number of weeks of EI benefits provided adjusts to the changing needs of unemployed individuals in different regions and communities with different labour market conditions.

The maximum entitlement is the maximum number of weeks during which benefits may be paid for a claim, whereas the actual duration of a claim is the number of weeks of benefits an EI claimant actually receives during a claim.^{Footnote 44} Average actual duration of EI regular claims is usually lower than the maximum entitlement, reflecting circumstances that can lead to reduced use of EI regular benefits over a claim’s benefit period (such as the claimant has found work and is no longer unemployed, has switched to EI special benefits or became unavailable to work^{Footnote 45}).

As illustrated in chart 18, the average maximum entitlement of completed EI regular claims decreased from 30.3 weeks in FY1819 to 29.7 weeks in FY1920 (-0.6 weeks or -1.9%). The average actual duration, on the other hand, decreased from 18.5 weeks in FY1819 to 18.0 weeks in FY1920 (-0.5 weeks or -2.6%). This decline in both durations is attributable, in part, to the continued improvement in labour market conditions from last year in several provinces and territories, with strong employment (+1.5%) and low unemployment rates until March 2020 when COVID-19 restrictions started slowing the employment growth.

Text description of Chart 18

Year	FY1011*	FY1112	FY1213	FY1314	FY1415	FY1516*	FY1617*	FY1718*	FY1819	FY1920
Average actual duration (left scale)	24.0	21.6	20.1	19.7	19.4	19.3	20.7	20.3	18.5r	18.0P
Average maximum duration (left scale)	41.7	35.4	33.0	32.1	31.6	32.1	33.7	32.6	30.3	29.7P
Unemployment rate (right scale)	7.9%	7.5%	7.2%	7.0%	6.9%	7.0%	6.9%	6.1%	5.8%	5.8%

• Note: Includes all claims completed during the fiscal year for which at least $1 of EI regular benefits was paid.
• * Coincides with the Employment Insurance temporary measures that increased the maximum number of weeks for which EI regular benefits could be paid.
• ^p Preliminary data.
• ^r Revised data.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data (for durations of EI regular benefits); and Statistics Canada, Labour Force Survey, Table 14-10-0017-01 (for data on unemployment rates). EI administrative data are based on a 10% sample.

The average maximum entitlement of EI regular claims completed in FY1920 varied significantly across provinces and territories, reflecting differences in regional labour market and labour force characteristics, as outlined in table 18. As in the previous year, EI regular claims established in Nunavut had the highest average maximum entitlement (39.2 weeks) in the reporting year, followed by Newfoundland and Labrador (38.6 weeks). These significantly higher maximum entitlements compared to the national average can be explained in part by the high unemployment rate observed in these jurisdictions (the unemployment rate was 13.6% in Nunavut and 12.3% in Newfoundland and Labrador in FY1920).^{Footnote 46} In comparison, EI regular claims established in Yukon had the lowest average maximum entitlement (26.6 weeks), followed by Quebec (28.1 weeks) and British Columbia (28.0 weeks), corresponding to the low unemployment rates generally observed in these jurisdictions (the unemployment rate in Yukon, British Columbia and Quebec was 3.6%, 5.0% and 5.3% in FY1920, respectively).^{Footnote 47}

The average maximum entitlement of EI regular claims was higher for men, and those between 45 and 54 years of age in FY1920. Long-tenured workers generally have higher maximum entitlements than occasional and frequent claimants, as they are more likely to accumulate hours of insurable employment well above the minimum requirements for EI regular benefits (consult table 18).

Table 18 – Average maximum entitlement and average actual durations of completed claims for Employment Insurance regular benefits by province or territory, gender, age and claimant category, Canada, FY1819 to FY1920

Category	Average maximum entitlement (weeks) - FY1819	Average maximum entitlement (weeks) - FY1920p	Change (%)	Average actual duration (weeks) - FY1819r	Average actual duration (weeks) - FY1920p	Change (%)
Newfoundland and Labrador	39.9	38.6	-3.2%	28.7	27.0	-5.8%
Prince Edward Island	33.8r	33.5	-0.8%	22.3	22.2	-0.6%
Nova Scotia	32.8	32.4	-1.1%	22.0	22.0	-0.1%
New Brunswick	30.8	32.5	+5.6%	20.5	21.2	+3.5%
Quebec	27.7	28.1	+1.5%	15.6	15.7	+0.7%
Ontario	28.6	28.4	-0.6%	16.9	16.9	-0.2%
Manitoba	30.4r	30.2	-0.8%	18.6	18.6	0.0%
Saskatchewan	35.5	32.6	-8.3%	22.8	20.3	-10.8%
Alberta	34.3	31.2	-9.1%	21.6	19.4	-10.2%
British Columbia	29.4	28.0	-4.9%	17.9	17.0	-5.2%
Yukon	27.3r	26.6	-2.7%	20.0	19.2	-3.9%
Northwest Territories	33.0	32.6	-1.1%	22.6	22.8	+1.1%
Nunavut	42.1	39.2	-6.9%	28.1	28.0	-0.4%
Men	30.9	30.4	-1.6%	18.8	18.4	-2.0%
Women	29.2	28.6	-2.2%	18.0	17.4	-3.5%
24 years old and under	29.3	28.6	-2.4%	16.6	16.1	-2.8%
25 to 44 years old	30.4	29.7	-2.2%	17.4	17.1	-1.9%
45 to 54 years old	30.9	30.4	-1.7%	19.0	18.4	-3.4%
55 years old and over	29.8	29.4	-1.4%	20.5	20.0	-2.6%
Long-tenured workers*	34.2	32.6	-4.7%	18.0	16.7	-7.1%
Occasional claimants*	29.2	28.6	-1.9%	17.8	17.4	-2.3%
Frequent claimants*	28.7	29.6	+3.1%	20.7	20.8	0.6%
Canada	30.3	29.7	-1.9%	18.5	18.0	-2.6%

• Note: Includes all claims completed during the fiscal year for which at least $1 of EI regular benefits was paid. Percentage change is based on unrounded numbers.
• * Consult annex 2.1 for definitions of EI claimant categories referenced in this table.
• ^P Preliminary data.
• ^r Revised data.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data. Statistics Canada, Labour Force Survey, Tables 14-10-0017-01 and 14-10-0292-01.

Similar to the average maximum entitlement, the average actual duration of EI regular benefits in provinces and territories are also affected by regional labour market conditions, leading to variations across provinces and territories (consult table 18). Claims established for EI regular benefits in regions with higher unemployment rates generally have a higher average actual duration than those established in regions with lower unemployment rates.

In FY1920, EI regular claims established in Nunavut closely followed by those established in Newfoundland and Labrador had the highest average actual duration (28.0 weeks and 27.0 weeks, respectively), which is partly attributable to the high unemployment rates observed in both the territory and province. In comparison, EI regular claims established in Quebec had the lowest average actual duration (15.7 weeks), corresponding to the low unemployment rate observed in this province in FY1920. Furthermore, the average actual duration of EI regular claims decreased in almost all provinces and territories in FY1920 compared to the previous year, with the exception of New Brunswick, Quebec, Manitoba and Northwest Territories where it slightly increased or remained the same. Claims established in Saskatchewan and Alberta had the largest decline on average (-2.5 weeks or -10.8% and -2.2 weeks or -10.2%, respectively), followed by EI regular claims established in Newfoundland and Labrador (-1.7 weeks or -5.8%) and British Columbia (-0.9 weeks or -5.2%).

The average actual duration of EI regular claims decreased in almost all industries in the reporting year compared to the previous year, with the exception of 5 industries. This decline was the most significant in Utilities (-2.0 weeks or -11.5%), followed by Finances and Insurance (-1.6 weeks or -5.2%). In contrast, the average actual duration of claims from Management of companies and Enterprises witnessed the highest increase (+1.5 weeks or +7.8%). Moreover, claims established by unemployed individuals from the Finance and insurance industry had the highest average actual duration (22.3 weeks) in FY1920, while those from the Educational services industry had the lowest average actual duration (11.1 weeks) due to the seasonal nature of this industry sector and the relatively short and well-defined “off-season” over the summer months.

2.2.5 Employment Insurance regular benefits and seasonal claimants

Seasonal claimants are EI claimants who had at least 3 regular or fishing claims in the 5 years preceding the reference year, with at least 2 of these claims having started during the same period of the year as the current claim.^{Footnote 51} The definition of seasonal claimants is not exclusive of the definitions for other EI claimant categories.^{Footnote 52}

As outlined in the definition, claims established by seasonal claimants can include both EI regular and fishing claims. In FY1920, a total of 442,500 claims were established by seasonal claimants, up from 425,000 claims in the previous fiscal year (+4.1%). Of those, 413,400 claims (93.4%) were for EI regular benefits and the remaining 29,100 claims (6.6%) were for EI fishing benefits.^{Footnote 53} The analysis presented in this subsection focuses on seasonal regular claims only.^{Footnote 54}

The number of EI seasonal regular claims increased for the third consecutive year in FY1920, after reaching a low of 380,700 claims established in FY1617 in the past 13 fiscal years. The share of seasonal regular claims of all regular claims remained relatively unchanged in FY1920 from the previous year, suggesting that the growth in the number of all regular claims established in the reporting fiscal year surpassed the growth in the number of seasonal claims (consult chart 19).

Text description of Chart 19

Year	FY0607	FY0708	FY0809	FY0910	FY1011	FY1112	FY1213	FY1314	FY1415	FY1516	FY1617	FY1718	FY1819	FY1920
New seasonal regular claims established (right scale)	408.5	395.2	412.7	417.4	381.8	412.2	419.9	422.4	419.7	425.7	380.7	381.1	395.3	413.4
Seasonal regular claims as a share of regular claims (left scale)	30.7%	30.5%	25.1%	25.8%	27.3%	29.0%	30.9%	31.9%	31.3%	29.7%	28.8%	29.3%	30.6%	30.2%

• Note: Includes claims for which at least $1 of EI regular benefits was paid.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

In FY1920, Quebec and Ontario accounted for over 6 in every 10 (61.2%) EI seasonal regular claims. Generally, the share of seasonal regular claims over total regular claims are higher in the Atlantic provinces and Quebec, compared to the Western provinces and the territories. This may be attributed to the composition of industries in these regions, which contains a large share of goods-producing industries, leading to a much higher proportion of seasonal employment in these industries relative to the rest of the country. This was observed in the reporting year as well (consult table 21).

Similar to previous years, almost two-thirds (61.9%) of all seasonal regular claims in FY1920 were established by men. The shares of seasonal regular claims as a proportion of all EI regular claims established were almost the same for men and women (30.8% and 29.4% respectively). Claimants aged between 25 and 44 years established the largest share of seasonal regular claims. Notably, the share of seasonal regular claims established by the younger claimants (aged 24 years and less) was particularly low (1.9%) in FY1920, unchanged from the previous year. This is because younger individuals are more likely to quit jobs and return to school, which is an invalid reason for job separation under the Employment Insurance Act and consequently they do not qualify to receive EI benefits.^{Footnote 55} For this reason, younger individuals are less likely to meet the condition to be defined as seasonal claimants by having 3 or more EI regular or fishing claims in the 5 years preceding the reference year, with at least 2 of these claims having started at the same time of year as the claim in the reference year.

As outlined in table 21, the services-producing industries accounted for the largest share of seasonal regular claims (54.1%) established in FY1920. However, seasonal claims as a share of total regular claims in the goods-producing industries (34.6%) was higher than the services-producing industries (27.9%). These shares are similar to the previous years.

Generally, the number of EI seasonal regular claims established throughout the year varies by quarter; for instance, nearly half (48.5%) of all seasonal regular claims established in FY1920 were established in the third quarter (October to December) of the fiscal year, while just over a quarter (27.8%) were established in the second quarter (July to September). The greater number of claims established in the third quarter of the fiscal year corresponds to the slowdown in many seasonal industries during that time of year. As illustrated in chart 20, the share of seasonal regular claims established in the third quarter was the highest in the territories, followed by Quebec and the Atlantic provinces. Notably, the share of seasonal regular claims established in the second quarter of the fiscal year was particularly higher in Ontario and Western provinces relative to the rest of the country.

Text description of Chart 20

Region	Q1 (April to June)	Q2 (July to September)	Q3 (October to December)	Q4 (January to March)
Atlantic provinces	18.5%	22.9%	40.7%	17.9%
Quebec	16.7%	23.4%	43.9%	16.0%
Ontario	16.5%	28.8%	34.0%	20.7%
Western provinces	18.7%	26.8%	34.5%	20.0%
Territories	23.9%	20.4%	37.8%	17.9%
Canada	17.5%	25.7%	38.1%	18.7%

• Note: Includes claims for which at least $1 of EI regular benefits was paid.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

When analyzed by gender, seasonal regular claims by men are more likely to be established in the third quarter, while those by women are more likely to be established in the second quarter of the fiscal year. By age group, seasonal regular claims by younger claimants (aged below 25 years) are least likely to be established in the first quarter of the year, but that probability increases with the age of claimants. By industry classification, seasonal regular claims are more likely to be established in the third quarter by claimants in the goods-producing industries, while claimants in the services-producing industries are more likely to establish claims in the second quarter of the fiscal year. This is likely due to the summer “off-season” in the Educational services industry, reflecting school closures during that period of the year (consult table 22).

Overlapping definitions of seasonal and frequent claimants

Frequent EI claimants are defined as those who have had 3 or more regular or fishing claims and have collected benefits for more than 60 weeks in total within the past 5 years. There is a significant overlap between frequent and seasonal claimants.^{Footnote 59}

Chart 21 illustrates the number of EI regular claims established by frequent and seasonal claimants since FY0910. During this period, in terms of EI regular claims, the number of seasonal claimants were much higher than the frequent claimants. This suggests that many seasonal regular claimants collect less than 60 weeks of EI regular benefits over the course of 5 fiscal years, while a large proportion of frequent claimants can also be considered seasonal. The number of seasonal claimants and those who can be considered as both seasonal and frequent increased in FY1920 compared to the previous year (+4.6% and +2.2%, respectively). However, the number of frequent claimants decreased slightly (-3.3%) during this period (consult chart 21). This suggests that the share of frequent claimants who can also be considered seasonal increased in FY1920 compared to the previous fiscal year. In FY1920, the number of claims (240,600) established by claimants who can be classified as both seasonal and frequent were almost 1.4 times the number of claims established by seasonal claimants that were non-frequent claimants (172,800) (consult chart 22).

Text description of Chart 21

Year	FY0910	FY1011	FY1112	FY1213	FY1314	FY1415	FY1516	FY1617	FY1718	FY1819	FY1920
Frequent claimants	300.4	309.2	321.0	319.6	309.8	304.7	307.8	285.7	290.1	297.3	287.6
Seasonal claimants	417.4	381.8	412.2	419.9	422.4	419.7	425.7	380.7	381.1	395.3	413.4
Seasonal and frequent claimants	251.8	259	265.6	266.1	257.9	253.7	258.6	228.9	227.5	235.4	240.6

• * Consult annex 2.1 for definitions of frequent and seasonal claimants referenced in this chart.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

Text description of Chart 22

Category	Frequent, non-seasonal	Frequent and seasonal	Non-frequent, seasonal
Level of claims	47,030	240,550	172,820
Share of total frequent and seasonal claims	10.2%	52.2%	37.5%

• Note: Includes claims for which at least $1 of EI regular benefits was paid.
• * Consult annex 2.1 for definitions of frequent and seasonal claimants referenced in this chart.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

Table 23 outlines the characteristics of the 2 non-overlapping populations by claimant type (that are, the frequent, non-seasonal claimants and the non-frequent, seasonal claimants) in terms of duration, proportion of regular benefits paid and exhaustion rate in FY1920. Frequent non-seasonal claimants were paid, on average, for a much longer duration, used a greater proportion of their regular weeks of entitlement and were more likely to exhaust their entitlement than non-frequent, seasonal claimants. However, once defined as frequent claimants, the differences in average duration, the proportion of regular weeks paid and the exhaustion rate between non-seasonal and seasonal claimants becomes less significant.

Table 23 – Characteristics of completed Employment Insurance regular claims by frequent and/or seasonal claimants, Canada, FY1920

Claimant type	Average duration of EI regular benefits (in weeks)P	Proportion of regular benefits paid (%)P	Exhaustion rate (%)P
Frequent, non-seasonal	21.9	74.6%	34.5%
Frequent and seasonal	20.6	73.5%	29.5%
Non-frequent, seasonal	10.9	40.6%	9.3%

• Note: Completed claims include those that are terminated and those that are dormant and remained inactive as of August the following fiscal year.
• * Consult annex 2.1 for definitions of frequent and seasonal claimants referenced in this chart.
• ^P Preliminary data.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data

2.2.6 Exhaustion of Employment Insurance regular benefits

As mentioned in subsection 2.2.4, entitlement for EI regular benefits depends on 2 factors—the regional unemployment rate where the applicants lived at the time of establishing the claim and the number of hours of insurable employment accumulated in the previous 52 weeks or since the establishment of their last claim, whichever is shorter. Generally, the entitlement for EI regular benefits ranges from 14 weeks to a maximum of 45 weeks.^{Footnote 60} Claimants have exhausted their entitlement to EI regular benefits when the number of weeks of benefits received (actual duration) equals the entitlement available over the course of the benefit period (the period during which an EI claimant can receive EI benefits). The incidence of exhaustion of regular benefit entitlement can inform analysis related to the adequacy of EI regular benefits provided to those looking for suitable employment following a job separation.

Since a claim must be completed^{Footnote 61} in order to determine whether the entitlement is exhausted or not, the analysis in this section focuses on EI regular claims completed during FY1920, regardless of their start date.

Entitlement exhaustion of Employment Insurance regular benefits

Of the total EI regular claims completed in the reporting fiscal year, 32.8% exhausted their entitlement for EI regular benefits, relatively unchanged from the previous year. The number of EI regular claims that exhausted their entitlement decreased in FY1920 for the third consecutive year, down by 6.0% from FY1819. This decline in the number of EI regular claims with entitlement exhaustion can be attributed to the continued strong economic conditions observed for most of FY1920, before the substantial slowdown in March 2020 due to the COVID-19 pandemic. The Canadian labour market experienced a strong employment growth and the unemployment rate reached the lowest level (5.7%)^{Footnote 62} in 2019—the lowest recorded since 1976—before starting to increase in March 2020.^{Footnote 63} Because of the strong demand in the labour market and low unemployment rates observed for past few years, unemployed individuals who received EI regular benefits following a job separation were able to find employment relatively quickly.^{Footnote 64} This is reflected by the downward trend observed for the entitlement exhaustion rate since FY1617 (consult chart 23).

Text description of Chart 23

Year	FY1011	FY1112	FY1213	FY1314	FY1415	FY1516	FY1617	FY1718	FY1819	FY1920
Entitlement exhausted claims (in thousands) (left scale)	417.8	460.0	455.2	458.1	456.0	425.8	486.1	484.0	442	415.4
Entitlement exhaustion rate (right scale)	26.0%	30.0%	31.8%	33.5%	33.3%	31.2%	34.9%	34.1%	33.0%	32.8%

• ^r Revised data.
• ^p Preliminary data.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

In FY1920, the entitlement exhaustion rate remained relatively unchanged in most provinces except for Newfoundland and Labrador, Nova Scotia and New Brunswick where it decreased, and Yukon and Nunavut where it increased. As seen in previous years, claims established by women tend to have a higher entitlement exhaustion rate compared to claims established by men. This may be due to the reason that women, on average, tend to qualify for fewer weeks of entitlement for EI regular benefits. A higher proportion of women work in part-time and/or temporary jobs than men, and thus accumulate fewer hours of insurable employment on average. However, this trend was reversed in FY1920, as the entitlement exhaustion rate of EI regular claims established by women was slightly less than that by men. This is likely due to the increasing share of women in full-time employment.^{Footnote 65}

By age group, the entitlement exhaustion rates for claims established by older claimants aged 55 years and over decreased slightly in FY1920 from the previous year, while it remained unchanged for other age groups. By EI claimant category, the entitlement exhaustion rates remained relatively unchanged for claims established by long-tenured workers and occasional claimants, but decreased for claims established by frequent claimants. This is partly due to the additional weeks of EI regular benefits provided to eligible seasonal claimants^{Footnote 66} in 13 EI economic regions under a pilot project^{Footnote 67} (no.21) and the significant overlap between frequent and seasonal claimants.^{Footnote 68}

Table 24 – Entitlement and benefit period exhaustion rates of Employment Insurance regular benefits by province or territory, gender, age and claimant category*, Canada, FY1819 to FY1920

Category	Entitlement exhaustion rate FY1819r	Entitlement exhaustion rate FY1920P	Entitlement exhaustion rate Change (% points) FY1819 to FY1920	Benefit period exhaustion rate FY1819	Benefit period exhaustion rate FY1920P	Benefit period exhaustion rate Change (% points) FY1819 to FY1920
Newfoundland and Labrador	36.2%	30.5%	-5.7	23.2%r	28.1%	+4.8
Prince Edward Island	32.3%	32.5%	+0.2	20.6%r	20.2%	-0.4
Nova Scotia	37.9%	35.9%	-2.0	21.3%r	21.5%	+0.2
New Brunswick	35.0%	31.2%	-3.8	21.4%r	23.1%	+1.7
Quebec	29.8%	29.0%	-0.8	20.5%r	22.0%	+1.5
Ontario	32.7%	33.7%	+1.1	16.3%r	17.5%	+1.2
Manitoba	33.1%	34.6%	+1.5	19.3%r	21.0%	+1.7
Saskatchewan	33.7%	34.9%	+1.2	16.4%r	20.9%	+4.5
Alberta	35.7%	37.9%	+2.1	12.9%r	17.0%	+4.1
British Columbia	34.9%	35.4%	+0.4	16.1%r	19.2%	+3.0
Yukon	44.4%	48.9%	+4.4	13.0%r	16.5%	+3.5
Northwest Territories	45.4%	48.2%	+2.8	16.1%r	10.4%	-5.7
Nunavut	37.3%	52.9%	+15.7	8.8%	12.9%	+4.1
Men	32.7%	33.0%	+0.3	19.1%r	21.2%	+2.1
Women	33.5%	32.6%	-0.8	16.8%r	18.7%	+1.9
24 years old and under	33.9%	34.1%	+0.2	16.1%r	18.3%	+2.3
25 to 44 years old	30.0%	30.7%	+0.8	18.0%r	20.0%	+2.1
45 to 54 years old	31.4%	30.8%	-0.7	19.7%r	21.4%	+1.7
55 years old and over	39.3%	37.6%	-1.7	18.0%r	20.1%	+2.1
Long-tenured workers	26.3%	27.5%	+1.2	18.2%r	20.1%	+1.9
Occasional claimants	35.5%	36.0%	+0.5	16.8%r	18.8%	+1.9
Frequent claimants	34.1%	30.5%	-3.6	21.5%r	23.7%	+2.2
Canada	33.0%	32.8%	-0.2	18.2%r	20.2%	+2.0

• Note: Change in the percentage points is based on unrounded numbers. Includes all completed claims for which at least $1 of EI regular benefits was paid.
• * Consult annex 2.1 for definitions of EI claimant categories referenced in this table.
• ^r Revised data
• ^P Preliminary data.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data

Impact of receiving EI regular benefits on post-claim employment income

A recent internal analysis examined the pre-claim and post-claim employment income levels of EI claimants who established a regular claim in 2014, to better understand the impact of receiving EI benefits on post-claim job outcomes. It was found that 36% of regular claimants who exhausted their entitlement had a lower employment income level after their claim than what they earned before, compared to 28% for those who did not exhaust their entitlement. This result holds true even when controlling for various factors that could affect post-claim employment income (such as gender, age, province and industry). Regular claimants who were female, older, long-tenured workers or with lower skills were also more likely to experience a drop in post-claim income (after controlling for various factors).

Entitlement exhaustion versus benefit period exhaustion

While claims may end when the number of weeks of benefits received equals the entitlement over the course of the benefit period, they may also end when their benefit period ends before all potential regular benefit weeks of entitlement have been paid.^{Footnote 69} When this occurs, unless the claimant has stopped filing EI biweekly reports,^{Footnote 70} the claim is considered to have exhausted its benefit period. Generally, the benefit period exhaustion rate is lower than the entitlement exhaustion rate. In FY1920, 20.2% of all completed EI regular claims exhausted their benefit period, up slightly from the previous year (consult table 24).

Example: Entitlement exhaustion versus benefit period exhaustion

David works as a full-time sales person at a car dealership in Saskatoon, Saskatchewan. Due to unfavourable economic conditions, car sales in Saskatoon has plummeted and he is laid off on September 6, 2019. Following the job separation, David applies for EI regular benefits. After carefully going through his application, Service Canada decides that David is eligible and entitled receive to 19 weeks of EI regular benefits based on his accumulated hours of insurable employment during the qualifying period and the regional unemployment rate. Service Canada establishes David’s benefit period (during which benefits may be collected) starting the week of September 22, 2019 for a length of 52 weeks. David starts receiving EI regular benefits in the week staring September 22, 2019.

Scenario: Entitlement exhaustion

David is unable to find suitable employment for the next 19 weeks since starting to receive EI regular benefits. As of February 1, 2020, he has received his full entitlement of 19 weeks of EI regular benefits. In this situation, David is said to have exhausted his regular benefit entitlement as the number of weeks of benefits received equals the entitlement available during the benefit period. This is illustrated below.

Scenario: Benefit period exhaustion

In this scenario, David starts receiving EI regular benefits in the week starting September 22, 2019 and continues for the next 15 weeks until January 4, 2020. At that point, David decides to switch to parental benefits, as he became a parent on December 30, 2019. David shared his parental benefits with his spouse and received benefits for the next 37 weeks until September 19, 2020. David also found new employment as of September 20, 2020. As David’s benefit period ended before he could collect all 19 weeks of EI regular benefits that he was entitled to, in this case David is said to have exhausted his benefit period. This is illustrated below.

The circumstances that result in benefit period exhaustion are generally different from those associated with entitlement exhaustion. Many variables influence benefit period exhaustion, including regular benefit entitlement, weeks worked while on claim (leading to deferred benefit weeks) and the use of special benefits (adding another type of entitlement to the claim).

Table 25 outlines different characteristics of completed EI regular claims by exhaustion type in the reporting year and the previous year. When completed EI regular claims are categorized by their seasonality status, it can be seen that seasonal claims have lower entitlement exhaustion rates than non-seasonal claims, but this is reversed when benefit period exhaustion is considered. This implies that seasonal claimants are less likely to collect EI regular benefits for the full duration of their entitlement than non-seasonal claimants are, most likely due to the predictability of their work pattern.^{Footnote 71} In FY1920, entitlement exhaustion rates increased slightly for claims in low unemployment regions (6.0% or less) from the previous year, but decreased in all other regions. However, the benefit period exhaustion rates increased across all regions in FY1920 from the previous year.

The share of completed EI regular claims that exhausted their entitlement or their benefit period remained relatively unchanged in FY1920 from the previous year. Notably, a much greater proportion of claims that exhausted the benefit period were associated with at least 1 week worked while on claim compared with claims that were completed by entitlement exhaustion. This is likely due to the Working While on Claim provision that allows to defer weeks of entitlement that can be used later in the benefit period. Claims that exhausted the benefit period through Working While on Claim had, on average, a greater number of weeks worked while on claim compared with claims that exhausted their entitlement (consult table 25).

Because a larger share of claims that exhaust their benefit period also worked while on claim, claimants who exhaust their benefit period are thus more likely to accumulate enough hours of insurable employment during their benefit period to meet the eligibility requirements to establish a new claim following the end of their claim. As a result, a much greater proportion of claimants who exhausted their benefit period requalified for a new claim within 4 weeks following the termination of their claim (71.2% in FY1920 compared with 8.8% of completed claims that exhausted their entitlement)—consult table 25.

In FY1920, the share of completed EI regular claims combined with EI special benefits that exhausted their benefit period (18.2%) was greater compared with mixed claims that exhausted their entitlement (11.5%). Claims that exhausted their benefit period also received fewer weeks of EI regular benefits (16.7 weeks) compared to claims that exhausted their entitlement (25.5 weeks). Completed EI regular claims that exhausted their benefit period used, on average, just over half (53.4% in FY1920) of their entitlement, down slightly from the previous year (consult table 25).

Table 24 – Entitlement and benefit period exhaustion rates of Employment Insurance regular benefits by province or territory, gender, age and claimant category*, Canada, FY1819 to FY1920

Category	Entitlement exhausted claims FY1819	Entitlement exhausted claims FY1920	Change FY1819 to FY1920	Benefit period exhausted claims FY1819	Benefit period exhausted claims FY1920	Change FY1819 to FY1920
Exhaustion rate – overall	33.0%	32.8%	-0.2 % points	18.2%	20.2%	+2.0 % points
Exhaustion rate – seasonal claims	23.6%	21.4%	-2.2 % points	24.6%	26.8%	+2.3 % points
Exhaustion rate – non-seasonal claims	36.8%	37.9%	+1.1 % points	15.6%	17.3%	+1.6 % points
Unemployment rate of 6.0% or less	32.2%	34.1%	+1.8 % points	17.7%	21.2%	+3.6 % points
Unemployment rate from 6.1% to 8.0%	36.0%	34.5%	-1.5 % points	21.1%	21.5%	+0.4 % points
Unemployment rate from 8.1% to 10.0%	33.0%	30.4%	-2.6 % points	19.1%	23.6%	+4.5 % points
Unemployment rate from 10.1% to 13.0%	33.8%	27.8%	-6.1 % points	23.1%	27.2%	+4.0 % points
Unemployment rate of 13.1% or above	33.0%	32.8%	-0.2 % points	18.2%	20.2%	+2.0 % points
Proportion of claims involving at least 1 week worked while on claim	33.8%	32.6%	-1.2 % points	70.6%	69.6%	-1.0 % points
Requalification rate for EI regular benefits*	10.0%	8.8%	-1.2 % points	69.9%	71.2%	+1.3 % points
Average weeks worked while on claim**	11.5	11.0	-0.5 weeks	14.9	13.6	-1.3 weeks
Average weeks of EI regular benefits paid	26.3	25.5	-0.8 weeks	17.8	16.7	-1.0 weeks
Share of mixed claims (EI regular and special benefits)	11.9%	11.5%	-0.4 % points	18.5%	18.2%	-0.3 % points
Average proportion of regular entitlement used	100.0%	100.0%	0.0 % points	55.4%	53.4%	-2.1 % points

• Note: Includes all completed claims for which at least $1 of EI regular benefits was paid.
• ^r Revised data
• ^P Preliminary data.
• * The requalification rate refers to the proportion of claimants who are able to requalify for a new claim within 4 weeks following the termination of their claim.
• ** Includes only claims with at least 1 week worked while on claim. Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

Entitlement exhaustion of Employment Insurance regular benefits: Seasonal and non-seasonal gappers

As mentioned, entitlement exhaustion rates are generally lower for seasonal claims than non-seasonal claims (consult table 25). This is most likely attributable to the fact that many seasonal workers are laid off temporarily and are likely to find work in the same industry and possibly with the same employer the following season.

Claimants who have exhausted their entitlement weeks may go through a period without income from either employment or EI benefits. These claimants, known as “gappers”, have not accumulated sufficient hours of insurable employment during their qualifying period for their entitlement to cover the entire duration of their unemployment spell. While this is more common for seasonal claimants due to their work pattern, it can affect non-seasonal claimants as well.

Starting with the FY1718 EI Monitoring and Assessment Report, the definition of gappers was broadened to better represent the levels of EI claimants experiencing periods with no income. To be considered a gapper, claimants must have established a regular claim during the reporting fiscal year, have completed their previous regular benefit claim during the reporting fiscal year or the previous fiscal year and must have experienced a period without employment income or EI income immediately following the exhaustion of the preceding claim. The period with no income must be 15 weeks or less. Of the 1.37 million regular claims established in FY1920, approximately 75,440 (5.5%) experienced a gap in income. Of them, around 4 in 10 (43.6%) claims were established by seasonal claimants. The notable decrease (-9.9%) in the number of gappers nationally in FY1920 from the previous year is largely due to the drop in the number of seasonal gappers (-13.7%). This is likely explained by the seasonal pilot project^{Footnote 72} introduced in August 2018 that provided additional weeks of EI regular benefits to eligible seasonal claimants in 13 EI economic regions, as receiving addition weeks of EI regular benefits through the pilot project reduces the length of the period without any income. Consequently, the number of seasonal gappers in these regions decreased significantly (-31.4%) from FY1819 to FY1920, whereas the number of gappers in EI economic regions outside the scope of this pilot project changed only slightly (-2.0%) during this period. The average length of the gap was 5.2 weeks for all gappers in the reporting year—this has remained relatively unchanged in the past 5 years (consult table 26).

Table 26 – Number of gappers by seasonality, Canada, FY1516 to FY1920

Claimant type	FY1516	FY1617	FY1718	FY1819	FY1920	Change (%) FY1819 to FY1920
Seasonal	35,020	30,720	33,020	38,100	32,880	-13.7%
Non-seasonal	40,470	36,580	41,820	45,650	42,560	-6.8%
Total	75,490	67,300	74,840	83,750	75,440	-9.9%

• Notes: Includes claims for which at least $1 of EI regular benefits was paid. Percentage change is based on unrounded numbers.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

Chart 24 illustrates the regional distribution of gappers in FY1920. Five of the 10 provinces and the territories were overrepresented among gappers compared to the overall national share of gappers (5.5%). This is mostly attributable to the composition of the local labour markets.

Text description of Chart 24

Province/territory	Gapper claims	Share of all regular claims
Newfoundland and Labrador	4,030	6.4%
Prince Edward Island	1,360	9.2%
Nova Scotia	5,340	8.6%
New Brunswick	5,010	7.3%
Quebec	21,660	5.4%
Ontario	18,190	4.6%
Manitoba	2,600	6.1%
Saskatchewan	2,260	5.5%
Alberta	7,470	5.3%
British Columbia	7,200	5.3%
Territories	320	8.1%
Canada	75,440	5.5%

• Note: Includes claims for which at least $1 of EI regular benefits was paid.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 10% sample of EI administrative data.

2.2.7 Working while on claim

The purpose of the Working While on Claim (WWC) provision of the Employment Insurance Act is to encourage claimants to accept available jobs while receiving EI benefits to enable them to earn additional income while on claim, maintain their skills and remain connected to the labour market. The provision, which existed under legislation or pilot projects,^{Footnote 73} determines how EI benefits will be adjusted to reflect earned employment income. It allows claimants to keep their total employment earnings and continue to receive a portion of their EI benefits. If benefits are reduced to zero, then the week of entitlement is deferred and can be used later during the benefit period.^{Footnote 74}

In FY1920, the effective WWC provision was the “50 cents on the dollar rule” that became a permanent part of the EI program as of August 12, 2018. Under this rule, claimants can keep 50 cents of their EI benefits for every dollar earned while on claim, up to a maximum of 90% of the average weekly insurable earnings used to calculate their weekly benefit rate, before benefits are deducted dollar-for-dollar.^{Footnote 75}

Some eligible claimants^{Footnote 76}may choose a temporary alternate earnings rule that allows them to earn $75 per week or 40% of their weekly benefits, whichever is greater, without their EI benefits being reduced; any amount earned above is deducted from their benefits dollar-for-dollar. This alternate earnings rule is in place for a 3-year transition period until August 14, 2021.

In FY1920, the WWC provision applied to EI claimants receiving regular, fishing, sickness, maternity, parental, compassionate care and family caregiver benefits for children or adults.^{Footnote 77}

This subsection focuses on claims and their beneficiaries who reported employment income from part-time or full-time work in at least 1 week while on claim, regardless of whether the EI benefits paid for those weeks were completed in full, partial or zero. To make the text easier to read, these claims and their beneficiaries are referred to in this subsection as having "at least 1 week worked while on claim" even if the week or weeks of work were partially completed (for example, 2 days of work).

It is important to note that the WWC provisions also apply to many other forms of income, such as pensions or severance pay, which are not included in the results presented.

In this section

• 2.3.1 Employment Insurance support for apprentices
• 2.3.2 Training with permission from Service Canada to keep receiving EI

Some EI program flexibilities allow unemployed EI claimants to train and get the skills they need to succeed in the workforce. Individuals who qualify for EI regular benefits may pursue training under different scenarios.

A claimant may be referred to training by a designated authority, such as a province, territory or Indigenous organization. Such training may be funded through provincial and territorial Labour Market Development Agreements (LMDA), or it may be self-funded by the claimant. In either of the circumstances, the provincial or territorial government must agree that the desired training is a reasonable part of the claimant’s return-to-work action plan. In such cases, claimants continue to receive EI benefits while they upgrade their skills. Consult Chapter 3 for more information on LMDA.

Alternatively, if claimants decide on their own to take training, they must declare their training, prove that they are still able and willing to work, and are continuing to look for a job to continue receiving EI benefits. They must be ready to make arrangements to work if they receive a job offer, and to adjust or cancel their training plan if necessary. Service Canada assesses these situations on a case-by-case basis, taking into account the individual circumstances of the claimant.

Finally, through Skills Boost, EI claimants who are long-tenured workers and wish to self-fund full-time training at an approved institution can request permission directly from Service Canada to continue receiving EI regular benefits during training that would otherwise restrict their ability to meet program requirements (that is, searching and being available for work). Skills Boost also introduced measures that took effect August 1, 2018, to provide enhanced Student Financial Assistance targeted to working or unemployed Canadians looking to return to school to upgrade their skills.

In FY1920, a total of 112,000 claims established received at least $1 of EI regular benefits while on training.

Subsection 2.3.1 examines support for apprentices and subsection 2.3.2 discusses the training permission provided by Service Canada.

2.3.1 Employment Insurance support for apprentices

For many skilled trades, apprenticeship is the path to gain the skills and experience that are necessary for certification and to participate fully in the labour market. In Canada, the apprenticeship system is an industry-driven learning system that combines on-the-job and technical training. Each province or territory is responsible for apprenticeship training within its jurisdiction. As a result, apprenticeship programs in Canada, including the duration and delivery method of technical training, vary across trades and across provinces and territories.

In Quebec for instance, apprentices generally complete all of their technical training at a college (CEGEP) or at a training institution before beginning on-the-job training. In the rest of Canada, apprentices start with on-the-job training followed by technical training through a variety of approaches. These include in-class learning, self-learning, distance learning, night classes or day release programs.

In most jurisdictions, to enter an apprenticeship program, a prospective apprentice must be at least 16 years old and have successfully completed Grade 12 or have an equivalent amount of work experience or related education. In addition, the potential apprentice must find a job with an employer who will sponsor and train him or her under the mentorship of a qualified person.

To help EI contributors continue their apprenticeship and become certified journeypersons or tradespeople, the EI program offers temporary income support to those who are unemployed and attending full-time school technical training (sometimes referred to as block-release training). To qualify, they must meet EI regular benefits eligibility requirements^{Footnote 79}, and their respective province, territory or Indigenous organization must have referred them to training under section 25 of the Employment Insurance Act for each block of full time technical training that is required as part of their apprenticeship. Employers may also offer their apprentices Supplemental Unemployment Benefit (SUB) plans to increase their weekly income during their periods of technical training, up to 95% of the apprentice’s normal weekly earnings.^{Footnote 80}

Apprentices can apply for EI benefits up to 7 days before their last day of work and they are only required to serve 1 waiting period for the full duration of their apprenticeship, even if it involves multiple blocks of full-time technical training, as long as they remain in the same apprenticeship program.

To help ensure that apprentices receive EI benefits without delay while they attend full-time technical training, their province, territory or Indigenous organization provides them with a special reference code issued for each block of full-time technical training. This code facilitates faster processing and payment of their EI benefits and helps speed up payment to apprentices.

Apprentices may be entitled to receive financial support under Part II of the Employment Insurance Act^{Footnote 81} which is delivered by the provinces and territories (under the Labour Market Development Agreements) and Indigenous organizations (under the Indigenous Skills and Employment Training Program). These EI benefits help cover accommodation, childcare, transportation and other costs incurred while attending technical training. Other financial support from the Government of Canada is also available through programs such as the Canada Apprentice Loan and various apprenticeship grants.

The following sections present detailed statistics on the number of EI claims from apprentices, their weekly level of benefits and the duration of their benefits. EI claims from apprentices are those referred under section 25 of the Employment Insurance Act and who received at least 1 dollar of EI regular benefits during a period of full-time apprenticeship training.

2.3.2 Training with permission from Service Canada to keep receiving EI

Under Skills Boost, claimants who are long-tenured workers^{Footnote 85} and wish to self-fund full-time training at an approved institution may request permission directly from Service Canada to continue receiving EI benefits during training that would otherwise restrict their ability to meet program requirements (that is, searching and being available for work). Service Canada does not provide services normally provided by the provinces and territories such as employment counselling, job search assistance, needs assessments and assistance with the development of return to work action plans.

In FY1920, Service Canada gave permission to (or “referred”) 896 claimants to continue receiving EI benefits in order to train under Skills Boost, representing 0.2% of all long-tenured worker EI claimants. In comparison, there were 900 referred claimants during the period of August 5, 2018 (start date) to March 31, 2019. Out of the 896 claims established during which claimants received permission from Service Canada to train in FY1920, 827 (92.0%) contained at least 1 week of training benefits and 665 (74.0%) included at least 1 week of EI regular benefits. The amount paid to claimants while on training was $7.4 million (or 63.8% of the total amount paid), while the amount paid in EI regular benefits reached $3.8 million (or 32.5% of the total amount of $11.6 million).

As in the previous year, the largest number of training referrals by Service Canada was in Quebec (27.6%), followed by Ontario (25.8%), and Alberta (21.9%). These 3 provinces also made up the bulk of EI regular claims with 28.4%, 24.7% and 21.2%, respectively. Total benefits paid to claimants while on training and EI regular benefits have followed a very similar distribution pattern to the one for claims. Quebec, Ontario, and Alberta accounted for 75.7% and 74.5% of the total amount paid for training and in EI regular benefits, respectively.

In contrast to the previous year, women accounted for just over half of referrals (52.0%). Claimants under 44 years old established 72.0% of all referrals. In terms of industry, claimants who worked in the Manufacturing industry accounted for the largest share of referrals (11.3%), followed by those from Construction (9.5%) and Retail trade (9.4%).
In FY1920, claimants who had been referred by Service Canada received benefits totalling $11.6 million, an increase of 0.9% from the previous year. Quebec (26.9%), Ontario (25.5%), Alberta (23.0%), and British Columbia (12.4%) accounted for 87.7% of the total amount paid in EI benefits of all types.

In terms of gender and age, the share of total benefits paid to men and women was almost evenly distributed in FY1920. Men accounted for 48.2% and women 51.8% of total benefits paid. The same was true for the distribution of amounts paid for while claimants were attending training (47.7% vs. 52.3%) and for EI regular benefits (50.9% vs. 49.1%). Claimants under 44 years old continued to account for the largest shares of total amount paid for all types of benefits (72.2%), for training benefits (73.3%) and EI regular benefits (70.5%) paid under Skills Boost.

From an industry perspective, claims associated with the Manufacturing industry continued to receive the largest share of total benefits paid for all types of benefits (12.5%), for training benefits (12.4%) and EI regular benefits (12.5%).

Claimants with a referral to training by Service Canada received, on average, a weekly benefit rate of $491 for all types of EI benefits, which was higher than the average weekly EI regular benefit rate paid ($483), but lower than that paid to long-tenured worker regular benefit claimants ($515). However, the average weekly benefit rate those claimants received while on training was $492 and $493 while they were looking for a job during their claim.

Using a breakdown by gender and age, the average weekly benefit rate received by claimants was higher for men ($506) than for women ($478) and for claimants over 45 years old ($487).

In FY1920, claimants with a referral to training by Service Canada received, on average, 19.5 weeks of EI benefits while on training and 12.5 weeks of EI benefits while looking for a job during their claim period.

Claimants from the Atlantic provinces received, on average, the highest number of EI weeks while taking training (24.6 weeks) followed by those from Saskatchewan (21.1 weeks). For EI regular benefits, claimants from Territories received, on average, the highest number of weeks (21.1 weeks), followed by those from Manitoba (14.2 weeks) and Alberta (13.5 weeks).

By gender, women received, on average, more weeks of EI benefits than men while attending full-time training (20.0 weeks vs. 18.1 weeks) and they received roughly the same number of weeks when they were looking for a job (12.4 weeks vs. 12.5 weeks).

Claimants aged between 25 and 44 years old received, on average, the highest number of benefits weeks (19.2 weeks) while on training, followed by those aged 45 years and over (18.8 weeks). In terms of EI regular benefits, claimants aged 55 and over received the most weeks of benefits (13.5 weeks), followed by those aged 45 to 54 years old (13.3 weeks).

In this section

• 2.4.1 Employment Insurance fishing claims and benefits paid
• 2.4.2 Seasonal component of Employment Insurance fishing benefits
• 2.4.3 Duration of Employment Insurance fishing benefits

Employment Insurance (EI) provides fishing benefits to qualifying, self-employed fishers who are actively seeking work. Unlike EI regular benefits, eligibility for EI fishing benefits is based on earnings, not hours of insurable employment. Fishers may be eligible to receive regular fishing benefits as well as sickness, maternity, parental, compassionate care and/or family caregiver benefits.

Under the Fishing Regulations, a “fisher” is defined as a self-employed person engaged in fishing activities and includes a person engaged, other than under a contract of service or for their own or another person’s sport:

• in making a catch
• in doing any work incidental to making or handling catch;^{Footnote 86} or
• in the construction of a fishing vessel for their own use or for the use of a crew of which the person is a member in making a catch

To qualify to EI fishing benefits, applicants must:

• meet the definition of a self-employed fisher
• have paid EI premium during their qualifying period
• not qualify for regular benefits
• have earned a minimum of between $2,500 and $4,200 from self-employment in fishing during their qualifying period (consult table 33)^{Footnote 87}

The weekly benefit rate is calculated by dividing the fisher’s total insurable earnings during the qualifying period by the divisor associated with the claimant’s regional unemployment rate (consult table 33). The result thus obtained is then multiplied by the basic rate of 55%, without exceeding the allowed maximum weekly benefit. Fishing benefits are subject to the same maximum insurable earnings threshold as other types of EI benefits (a maximum benefit of $562 per week in 2019 and $573 in 2020).

Any claimant who qualifies for EI fishing benefits may receive a maximum entitlement of 26 weeks of EI fishing benefits per claim within the fixed benefit period, with the possibilities of establishing 2 claims a year, 1 in the winter and 1 in the summer. The benefit period for a winter claim can start as early as the week of April 1 and must end no later than the week of December 15, whereas the benefit period for a summer claim can start as early as the week of October 1 and must end no later than the week of June 15.^{Footnote 88} These weeks of benefits may be received consecutively or intermittently, but are limited by the fixed start and end dates of the benefit period. In some cases, claimants can defer earnings from 1 season to the other.

For the purpose of this section, EI fishing claims refer to claims for which at least 1 dollar of EI fishing benefits were paid.

2.4.1 Employment Insurance fishing claims and benefits paid

In FY1920, the number of new EI fishing claims remained virtually unchanged after 5 consecutive years of increases, up by only 0.1% from FY1819.The total amount of EI fishing benefits paid increased by 1.8% in the reporting year to reach $303.1 million (consult chart 25). The number of new fishing claims and the total amount of EI fishing benefits paid represented 2.2% and 2.7% of all EI new claims and of the total amount paid for all EI benefit types, respectively.

Text description of Chart 25

Category	FY0910	FY1011	FY1112	FY1213	FY1314	FY1415	FY1516	FY1617	FY1718	FY1819	FY1920
Fishing claims (in thousands) (left scale)	29.3	28.5	29.5	28.3	27.2	27.6	28.3	28.9	30.1	30.4	30.4
Amount paid ($ millions) (right scale)	$245.1	$241.7	$259.2	$252.8	$247.9	$255.6	$272.3	$282.9	$300.2	$297.7	$303.1

• Note: Includes claims for which at least $1 of fishing benefits was paid.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data on claims are based on a 100% sample of EI administrative data, while data on amount paid are based on a 10% sample.

In FY1920, the majority of claimants who relied on EI fishing benefits resided in 6 provinces (Newfoundland and Labrador, Nova Scotia, New Brunswick, Prince Edward Island, British Columbia and Quebec).

As outlined in table 34, on a year-over-year basis, the number of new fishing claims established in FY1920 increased in Newfoundland and Labrador, Nova Scotia and New Brunswick, while it decreased in Prince Edward Island, Quebec and British Columbia. Atlantic Canada accounted for the largest share of all new EI fishing claims in FY1920, a proportion identical to the previous year. Within those provinces, Newfoundland and Labrador had the largest share of claims (42.9%), followed by Nova Scotia (18.9%), New Brunswick (10.7%), and Prince Edward Island (10.6%). Claimants in Atlantic Canada also received the largest share of EI fishing benefits (83.2%) paid in FY1920. Newfoundland and Labrador had the largest share (41.7%) of the total amount of EI fishing benefits paid, followed by Nova Scotia (19.5%), New Brunswick (12.0%) and Prince Edward Island (9.9%).

As in previous years, men still accounted for the largest shares of both new claims (79.7%) and the total amount paid in EI fishing benefits (80.1%) in FY1920 and remained relatively unchanged from the previous year. The shares of amount paid in EI fishing benefits to both men and women were proportional to their shares of claims established.

In FY1920, there was an increase in both the number of new claims and the total amount paid for younger (24 and under) and older (55 and over) claimants. In contrast, during the reporting year, core-aged claimants (25 to 54 years old) saw a decrease in both their new claims and benefits paid compared to the previous year (consult table 34). As in previous years, older claimants (55 years and older) account for the largest shares of both new claims (41.0%) and the total amount paid in fishing benefits (40.4%).

The average weekly fishing benefit rate increased from $514 in FY1819 to $528 in the reporting period (+2.7%). As in previous years, this rate was above the average weekly regular benefit rate in FY1920 ($483). The weekly fishing benefit rate increased in all provinces with a significant fishing industry in FY1920, except for British Columbia where it decreased slightly (-1.9%). The average weekly fishing benefit rate was the highest in Quebec ($551), while it was the lowest in British Columbia ($466). The average weekly fishing benefit rates in Atlantic Canada and Quebec were above the national average ($528). The average weekly fishing benefit rate for men ($531) was still higher than that for women ($515). Claimants who were aged between 45 and 54 years had the highest weekly fishing benefit rate ($536) (consult annex 2.10.3).

The proportion of fishing claims that received the maximum benefit rate remained relatively unchanged in FY1920 (74.4%) compared to the previous fiscal year (74.1%). This proportion is higher than the proportion of EI regular claims that received the maximum benefit rate for regular benefits in the reporting period (49.0%).^{Footnote 89} This is partly attributable to the fact that 61.4% of the total fishing claims in FY1920 were established in EI economic regions where the unemployment rates were higher than 13% (minimum divisor of 14) and required $14,296 in insurable earnings over their qualifying period to receive the maximum weekly benefit rate of $573. As illustrated in chart 26, a significant number of fishing claims established in the reporting year had insurable earnings at, or very close to, the amount required to obtain the maximum benefit rate.

Text description of Chart 26

Insurable earnings	New claims established (percentage share)
Less than $5,500	1.0%
$5,500 to $6,999	1.3%
$7,000 to $8,499	1.7%
$8,500 to $9,999	2.0%
$10,000 to $11,499	2.5%
$11,500 to $12,999	3.8%
$13,000 to $14,499	51.8%
$14,500 to $15,999	9.6%
$16,000 to $17,499	10.2%
$17,500 or more	16.2%

• Note: Includes claims for which at least $1 of EI fishing benefits was paid.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 100% sample of EI administrative data.

2.4.2 Seasonal component of Employment Insurance fishing benefits

EI fishing benefits are available for 2 fishing seasons per year (winter and summer), allowing eligible claimants to establish more than 1 claim in a year. The 30,400 new fishing claims established during the reporting period were established by 21,200 fishers—of them, 12,000 had established a single claim while the rest (9,200 fishers) had established 2 claims.

Table 35 outlines the number of fishers that established claims by season of establishment for the past 5 years. Overall, the number of fishers who established a fishing claim during the reporting period decreased by 1.3% from the previous year. The number of fishers who established a single claim also decreased during this period by 4.4%, while the number of fishers with 2 claims increased (+3.2%).

In FY1920, fishers who established a single claim received an average of $11,683 (+3.8% year-over-year) in EI fishing benefits. Those who had established 2 fishing claims received an average of $9,933 (+3.5%) for the first claim and an average of $10,666 (+26.7%) for the second claim, for a total average of $20,599 (+14.3%) received in EI fishing benefits in FY1920. These amounts have increased steadily over the past 5 years. In comparison, the average EI regular benefit paid to claimants in FY1920 was $8,076.

2.4.3 Duration of Employment Insurance fishing benefits

Regardless of the local labour market conditions in a claimant’s region of residence, the maximum entitlement of a claim established for EI fishing benefits is 26 weeks. In FY1920, the average duration of a fishing claim was 20.8 weeks, up from 19.7 weeks (+1.1 weeks or +5.6%) from the previous fiscal year.

Among the provinces with a significant fishing industry, claims established in British Columbia have historically had the highest average duration in fishing benefits and this reporting year was of no exception—the average duration in FY1920 was 23.3 weeks, same as the previous year. The average duration of EI fishing benefits in Atlantic Canada has historically been lower than the national average (20.2 weeks in the reporting year), but in FY1920, they ranged between 19.9 weeks in Prince Edward Island and 21.1 weeks in Newfoundland and Labrador. Claims established in Quebec had the lowest average duration at 18.7 weeks in FY1920 (consult annex 2.10.2).

The lower average duration of claims in Atlantic Provinces and Quebec may be attributable to the fact that a greater share of fishers in these regions establish 2 claims per year compared to those in other regions who mostly establish a single claim per year. For example, within the past 5 years, 46.6% fishers in the Atlantic Provinces and 67.5% fishers in Quebec had established 2 claims on average per year, whereas the share of fishers with 2 claims during this period was 1.9% in British Columbia and 10.0% in all other provinces and territories combined.

Table 36 outlines the average duration of fishing benefits by fishers. During the reporting period, fishers who established a single fishing claim received an average of 23.4 weeks, up to 1.7% from the previous fiscal year. Fishers who established 2 claims received an average of 18.6 weeks for their first claim and 19.8 weeks for their second claim, for a total average of 38.3 weeks for the whole year in FY1920, an increase of 10.7% or 3.7 weeks compared to FY1819.

In this section

• 2.5.1 Employment Insurance Work-Sharing agreements
• 2.5.2 Employment Insurance Work-Sharing claims and amount paid
• 2.5.3 Level and duration of Employment Insurance Work-Sharing benefits
• 2.5.4 Employment Insurance Work-Sharing agreements subject to early termination

Work-Sharing is an adjustment program designed to help employers and employees avoid layoffs when there is a temporary reduction in the normal level of business activity that is beyond the control of the employer. Layoffs are avoided by offering temporary EI income support to employees eligible for EI regular benefits willing to work a temporarily reduced work week while their employer recovers. The goal of the program is for all participating employees to return to normal working hours by the end of the Work-Sharing agreement. The employer and the employees must agree to participate in a work-sharing agreement and must apply together.

Typically, to be eligible for the Work-Sharing agreement, employers must:

• have been in business in Canada year-round for at least 2 years
• be a publicly-held company, private business or a not-for-profit organization
• experience temporary shortages of work and reductions in business activity that are beyond their control, and the shortage of work is not a cyclical or recurring slowdown^{Footnote 90}
• employ at least 2 EI-eligible employees in the work unit
• demonstrate a recent decrease of approximately 10% or more of their business activity, and
• submit and implement a recovery plan, which demonstrates how their business will return to normal levels upon the completion of the Work-Sharing agreement^{Footnote 91}

Employees participating in a Work-Sharing agreement must:

• be year-round permanent full-time or part-time employees who are required to carry out the everyday functions of normal business activity^{Footnote 92}
• be eligible to receive EI regular benefits, and
• agree to a reduction of their normal working hours and to share equally the available work among all members of their Work-Sharing unit over a specified period of time

Work-sharing agreements must include a reduction in work activity consisting of between 10% (one half day) and 60% (3 days) of the employees’ regular work schedule (that is, one-half to 3 days a week). In any given week, the work reduction can vary depending on available work, as long as the work reduction on average over the life of the agreement is between 10% and 60%. The proposed reduction in work hours should correspond with the number of anticipated temporary layoffs.

By participating in the Work-Sharing program, employers are able to retain skilled employees, avoiding the costs of recruiting and training new employees once business activities return to normal level. At the same time, participating workers can maintain their jobs and skills while supplementing their reduced wages with EI Work-Sharing benefits for the days they are not working. In addition, within a Work-Sharing period the employers are required to maintain all existing employee benefits.

During participation in a Work-Sharing agreement, employer initiated training activities, whether on-the-job training or off-site courses, may take place. Depending on the cause of the work shortage, the employer’s recovery plan may include plans to initiate training activities for members of the Work-Sharing unit.

Training costs can be funded by the employer or through other available supports such as provincial or territorial programming. The salary costs of employees taking part in training activities during normal scheduled working hours/days cannot be compensated through the Work-Sharing agreement. Training could also take place during the non-working days/hours for which the participating employees are in receipt of EI Work-Sharing benefits

The duration of an initial Work-Sharing agreement can be between 6 and 26 consecutive weeks. This duration can be extended for up to 12 additional weeks (up to 38 weeks total), if needed. In the case of an extension, employers must demonstrate that they are continuing to experience a reduction in business activity that in the absence of Work-Sharing would result in the layoff of 1 or more employees and that the period of the extension is needed to complete the return to normal working hours.

Under the standard Work-Sharing program, returning employers and workers are required to serve a mandatory cooling-off period between agreements equal to the number of weeks they participated in Work-Sharing (up to a maximum period of 38 weeks).

For the purpose of this section, EI Work-Sharing claims refers to any claims for which at least 1 dollar of Work-Sharing benefits was paid.

2.5.1 Employment Insurance Work-Sharing agreements

The number of Work-Sharing agreements established in a given fiscal year increases during periods of economic shocks and uncertainty, and decreases during periods of economic growth and stability. This countercyclical pattern can be observed by looking at the number of Work-Sharing agreements established in Canada over the past 10 years (consult chart 27).

For the first time since FY1516, the total number of Work-Sharing agreements increased by 134.2%, from 158 agreements established in FY1819 to 370 agreements in FY1920 (consult Chapter 1). Until late January, the average number of Work-Sharing agreements was consistent with that observed FY1718 and FY1819. The dramatic increase in Work-Sharing agreements toward the end of FY1920 could be explained by the global economy gradually slowing down as countries implemented national lockdowns to deal with the COVID-19 pandemic. The number of agreements increased in all provinces, with the largest increase reported in Saskatchewan (+300.0%), followed by British Columbia (+225.0%), and Ontario (+192.7%). In absolute terms, the number of agreements increased more in Ontario (+106 agreements), Alberta (+39 agreements), British Columbia and Saskatchewan (+18 agreements, respectively). The highest number of Work-Sharing agreements was established in Ontario (161 agreements), representing 43.5% of all agreements, followed by Quebec with 64 agreements (17.3% of all agreements). Of the 370 agreements established in FY1920, 20 (5.4%) accessed the temporary special measures (forest sector and steel/aluminium).

Text description of Chart 27

Year	FY0910	FY1011	FY1112	FY1213	FY1314	FY1415	FY1516	FY1617	FY1718	FY1819	FY1920
Total count of Work-Sharing agreements	7,717	1,379	1,198	830	649	411	917	862	198	158	370

• Source: Employment and Social Development Canada, Common System of Grants and Contributions.

Continuing with the trend observed in previous years, the goods-producing industries represented the majority (71.9%) of all Work-Sharing agreements established in FY1920 (consult table 37).

When assessed by firm size, small-sized enterprises (with fewer than 50 employees) comprised 67.6% of all Work-Sharing agreements in the fiscal year examined, down from 69.6% reported in the previous fiscal year. Combined, small and medium-sized enterprises (SMEs) with fewer than 500 employees accounted for 98.4% of all Work-Sharing agreements in FY1920 compared to 99.4% in the previous year. The number of Work-Sharing agreements involving large-sized enterprise (with 500 employees or more) increased in absolute value by 5 additional agreements from FY1819 to FY1920, with 6 new agreements. This distribution of Work-Sharing agreements by firm size is consistent with results from previous years since the 2008 recession; with a significant share of agreements being initiated to assist SMEs to recover from disruptions to their normal levels of business activities.

2.5.2 Employment Insurance Work-Sharing claims and amount paid

As with the number of Work-Sharing agreements, the total number of Work-Sharing claims established and the total amounts paid in Work-Sharing benefits increase during labour market contraction and economic uncertainties, and decrease during periods of economic expansion.

Chart 28 illustrates the number of Work-Sharing claims and benefits paid from FY1516 to FY1920.

In FY1920, the number of Work-Sharing claims established increased sharply, from 3,815 claims in FY1819 to 11,046 in FY1920 (+189.5%). This is the second increase since FY1718. It was in part attributable to the increase in the number of claims established by manufacturing firms (from 3,258 claims in FY1819 to 9,025 claims in FY1920).

Like the number of new claims, the total amount paid in Work-Sharing benefits increased greatly from $5.7 million in FY1819 to $16.5 million in FY1920, representing an increase of 186.8%.

Text description of Chart 28

Category	FY1516	FY1617	FY1718	FY1819	FY1920
New claims established (left scale)	20,521	11,936	3,708	3,815	11,046
Amount paid in benefits ($ millions) (right scale)	$39.6	$45.3	$12.5	$5.7	$16.5

• Note: Includes all claims for which at least $1 of Work-Sharing benefits was paid.
• * In previous EI monitoring and assessment reports, amounts paid for Work-Sharing benefits were based on a 10% sample of EI administrative data. Starting in FY1819, amounts paid are based on a 100% sample. Consequently, statistics reported for previous years have been revised.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 100% sample of EI administrative data.

2.5.3 Level and duration of Employment Insurance Work-Sharing benefits

The Work-Sharing program is designed to provide income support for workers in firms that experience temporary reductions in demand for reasons beyond their control. In view of this, the program provides partial income stabilization to offset reductions in hours that are agreed upon by the employees participating in the program. However, the program is not meant to provide full coverage of insurable hours or insurable earnings. As a result, the data reported on Work-Sharing claims are not directly comparable to other types of EI benefits. This is particularly true of the weekly benefit rates paid to claimants, which are meant to only cover 10% to 60% of a regular work week for affected employees in a work unit subject to a Work-Sharing agreement, depending on the agreed upon decrease in work levels. Because of this, the weekly benefit rates for Work-Sharing claimants are lower on average than for other types of EI benefits. Because the weekly Work-Sharing benefit rate is determined by employees’ wages and the degree of reductions in the hours worked (between 10% and 60%), significant variability is also observed across industries in the reported weekly benefit rates.

In FY1920, the average weekly Work-Sharing benefit rate increased by 14.9% to $139, up from the average weekly benefit rate of $121 in the previous fiscal year (consult table 39). It increased in all provinces, except British Columbia where it decreased by 15.0%. The highest average weekly benefit rate was observed in Newfoundland and Labrador ($255), followed by Alberta ($159), Saskatchewan ($152) and Manitoba ($149), while the lowest was in Prince Edward Island ($90). From a gender perspective, the average weekly Work-Sharing benefit rate for men and women increased sharply compared to the previous year, +10.9% and +26.3% respectively. Men received the highest weekly benefit rate ($143) compared to women ($125). Concerning the different age groups, the average weekly benefit rate for all age groups increased. Workers aged 45 to 54 years have the highest average rate ($140), followed by those aged between 25 and 44 years ($139) and those aged 55 years and over ($138).

The average weekly Work-Sharing benefit rate in goods-producing industries increased by 16.0% to $138 in FY1920. The average weekly Work-Sharing benefit rate increased to $143 from $133 in service-producing industries. Consult annex 2.21.3 for detailed information on average Work-Sharing weekly benefit rate by industry.

The average duration of Work-Sharing claims completed in FY1920 was 14.7 weeks, a slight decrease of 0.8 weeks from FY1819 (15.5 weeks). This represents the second decline in the average duration of Work-Sharing claims since FY1516 (consult chart 29).

Text description of Chart 29

Year	FY1415	FY1516	FY1617	FY1718	FY1819	FY1920
Average duration (weeks)	15.6	14.4	17.4	23.8	15.5	14.7

• Note: Includes all claims for which at least $1 of Work-Sharing benefits was paid.
• ^r Revised
• ^P Preliminary estimates.
• Source: Employment and Social Development Canada, Employment Insurance (EI) administrative data. Data are based on a 100% sample of EI administrative data.

2.5.4 Employment Insurance Work-Sharing agreements subject to early termination

In this section

• 2.6.1 Employment Insurance special benefit claims overview
• 2.6.2 Employment Insurance maternity and parental benefits
• 2.6.3 Employment Insurance sickness benefits
• 2.6.4 Employment Insurance compassionate care benefits
• 2.6.5 Employment Insurance family caregiver benefit for adults
• 2.6.6 Employment Insurance family caregiver benefit for children
• 2.6.7 Employment Insurance special benefits for self-employed persons

EI special benefits provide temporary income support to employees, self-employed persons participating in the program and fishers who are eligible and unable to work due to specific life circumstances. These include sickness; pregnancy or giving birth; and providing care to a newborn or newly adopted child, and providing care or support to a critically ill or injured person or someone needing end-of-life care

To qualify for EI special benefits, insured employees must have accumulated a minimum of 600 hours of insurable employment during their qualifying period, meet the eligibility criteria for the special benefits claimed, and have their normal weekly earnings reduced by more than 40%. Self-employed persons may qualify if they opted into the EI program and paid EI premiums at least 1 full year prior to claiming benefits, have self-employment income that meets the minimum self-employment eligibility threshold^{Footnote 96} in the calendar year preceding the claim, and meet other eligibility criteria specific to the special benefits being claimed.

Given the COVID-19 pandemic and the introduction of the Canada Emergency Response Benefit, no new claims for regular or sickness benefits were established between March 15, 2020, and September 26, 2020. However, claims for the other types of special benefits (maternity, parental, compassionate care, family caregiver benefits for adults or children) could be established. Therefore, the results on new claims established presented in the next subsections cover the period from April 1, 2019, to March 31, 2020, with the exception of the results for sickness benefits, which cover the period from April 1, 2019, to March 14, 2020. Furthermore, the results on amount of benefits paid out cover the full period from April 1, 2019 to March 31, 2020.

Subsection 2.6.1 provides a summary overview of special benefits in terms of the number of new claims established, amount paid and level of benefits. The following subsections examine the EI special benefits by type. Subsection 2.6.2 discusses maternity and parental benefits. Sickness benefits are introduced in subsection 2.6.3. Subsections 2.6.4, 2.6.5 and 2.6.6 examine compassionate care benefits, the family caregiver benefit for adults and the family caregiver benefit for children, respectively. Finally, subsection 2.6.7 looks at the use of special benefits by self-employed persons who have opted into the EI program. For the purpose of the following section, EI special benefit claims refer to EI claims for which at least 1 dollar of special benefits was paid.^{Footnote 97}

2.6.1 Employment Insurance special benefit claims overview

During FY1920, almost 619,300 new EI special benefit claims were established, representing a 2.1% increase over the previous year (consult table 40), and the ninth consecutive increase in the number of claims established. More than two-thirds of these special benefit claims included sickness benefits (68.0%), while 34.4% and 27.1% included parental and maternity benefits, respectively. Approximately 1.9% of all special benefit claims included family caregiver benefits for adults, 1.2% had compassionate care benefits, and 0.9% included family caregiver benefits for children.^{Footnote 98}

For FY1920, parental benefits experienced the largest increase in the number of new claims (+6.4%) over the previous fiscal year. This increase is due to a rise in claims established by men and can largely be explained by the additional weeks of benefits available to parents whose child was born or adopted on or after March 17, 2019, and who share parental benefits. Conversely, claims for maternity benefits, compassionate care benefits and family caregiver benefits for children decreased compared with FY1819.

The total amount paid out in special benefits increased by 6.1% over the previous fiscal year, totalling $6.2 billion for FY1920. Amounts paid have increased for all benefit types, with the exception of compassionate care benefits and family caregiver benefits for children.

As in previous years, almost two-thirds of special benefit claims (61.7%) were established by women. However, the share of claims established by men increased by 2.0 percentage points from 36.3% in FY1819 to 38.3% in FY1920. This is due in part to the higher proportion of parental claims established by men. Women continued to receive a large share of the amounts paid in special benefits (79.9%), particularly because they received the majority of parental benefits, and only women can receive maternity benefits.

By age, applicants under the age of 45 accounted for almost two-thirds (64.5%) of new special benefit claims and received the largest share of the total amount paid in special benefits (82.0%).

Excluding extended parental benefits, which are paid at a lower benefit rate than other types of special benefits (consult subsection 2.6.2), the average weekly benefit rate for special benefits in FY1920 increased by 4.0% to $468. The share of special benefit claims receiving the maximum weekly benefit rate was 45.2%, an increase of 2.3 percentage points from the previous fiscal year.

2.6.2 Employment Insurance maternity and parental benefits

EI maternity benefits are available to eligible persons who cannot work because they are pregnant or have recently given birth. EI maternity claimants need to provide Service Canada with a signed statement attesting to their pregnancy and their expected or actual date of delivery. Qualified claimants may receive up to 15 weeks of maternity benefits. Benefits can begin to be paid as early as 12 weeks prior to the expected date of birth and can end as late as 17 weeks after the child’s actual birth date.^{Footnote 99}

EI parental benefits are available to eligible parents who take a leave from work to care for a newborn or recently adopted child or children. Claimants must provide a signed certificate certifying the child’s date of birth or the date of the child’s placement in their home for an adoption. Parents must choose between standard parental benefits or extended parental benefits.^{Footnote 100}