About the Act to Extend Employment Insurance Benefits to the Self-Employed:
The Act to Extend Employment Insurance Benefits to the Self-Employed allows self-employed Canadian residents to opt into the Employment Insurance Program to receive special benefits already available to salaried employees, including maternity, parental, sickness and compassionate care benefits.
Introduction of Bill to Extend Employment Insurance to the Self-Employed:
This Bill was introduced in the House of Commons on November 3, 2009.
Official Title:
An Act to amend the Employment Insurance Act and to make consequential amendments to other Acts (Fairness for the Self-Employed Act)
Minister Responsible:
Minister of Human Resources and Skills Development
Status of the Bill to Extend Employment Insurance Benefits to the Self-Employed:
The bill received Royal Assent on December 15, 2009.
Summary of the Act to Extend Employment Insurance Benefits to the Self-Employed:
The Act lets self-employed individuals opt into the Employment Insurance Program to receive special benefits, including maternity, parental, sickness and compassionate care benefits, already available to salaried employees.
The special benefits this Act extends to the self-employed are:
- maternity benefits (15 weeks maximum)
- parental/adoptive benefits (35 weeks maximum)
- sickness benefits (15 weeks maximum) - for inability to work due to sickness, injury or quarantine
- compassionate care benefits (6 weeks maximum) - for persons who must be away from work temporarily to provide care or support to a gravely ill family member with a significant risk of death.
The Act requires that self-employed Canadians opt into the program at least a year before claiming benefits. Premium payments start with the tax year in which they apply to the program. Self-employed individuals need to have earned a minimum of $6,000 in self-employed earnings over the previous calendar year.
The self-employed could opt out of the Employment Insurance program at the end of any tax year, as long as they have never claimed benefits. If they have claimed benefits, they would have to contribute on self-employed earnings for as long as they are self-employed.
The self-employed would pay the same Employment Insurance premium rate as salaried employees. They would not be required to pay the employer portion of premiums, since they do not have access to Employment Insurance regular benefits.
In Quebec, the self-employed would continue to receive maternity and parental benefits through the Government of Quebec Parental Insurance Program. This Act would allow them access to sickness and compassionate care benefits from the federal government through Employment Insurance.
Text of the Bill to Extend Employment Insurance Benefits to the Self-Employed (Royal Assent version)
