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Employment Insurance (EI)

Employment Insurance (EI) provides temporary income support for unemployed Canadians who cannot work for reasons of sickness, childbirth, or parenting; or who are providing care or support to a family member who is gravely ill with a significant risk of death.

EI also provides temporary financial assistance for unemployed Canadians while they look for work or upgrade their skills.

Employers must deduct EI premiums from each dollar of their employees’ insurable earnings up to the yearly maximum. Most earnings in Canada are insurable. There is no age limit for deducting EI premiums.

Employers are also required to contribute at a rate 1.4 times the EI premium withheld for each employee (unless eligible for a reduced rate).

View the table of current EI earnings and rates below:

Employment Insurance
  2016 2017
Rate 1.88%

1.63%

Maximum Insurable Earnings $50,800.00

$51,300.00

Maximum Annual Premium $955.04

$836.19

Employment Insurance – Quebec Employees
  2016 2017
Rate 1.52%

1.27%

Maximum Insurable Earnings $ 50,800.00

$51,300.00

Maximum Annual Premium $ 772.16

$651.51

Quebec Parental Insurance Plan Premiums – QPIP
  2016 2017
Contribution Rate (Employees) 0.548%

0.548%

Maximum Insurable Earnings $71,500.00

$72,500.00

Maximum Employee Premium $391.82

$397.30

Employer Contribution Rate 0.767%
(1.4 x 0.548)

0.767%
(1.4 x 0.548)

Reduced EI Rates for Company Paid Portion
  2016 2017
  Reduced Rate Multiple Reduced Rate Multiple
Category 1 0.20 1.296

0.21

1.274

Category 2 0.35 1.216

0.36

1.178

Category 3 0.34 1.219

0.35

1.183

Category 4 0.37 1.203

0.39

1.163

Reduced EI Rates for Company Paid Portion – QPIP Contributors
  2016 2017
  Reduced Rate Multiple Reduced Rate Multiple
Category 1 0.20 1.271

0.21

1.238

Category 2 0.35 1.173

0.36

1.115

Category 3 0.34 1.177

0.35

1.121

Category 4 0.37 1.156

0.39

1.096

Summary Chart for Insurable Earnings & Hours - 2017
To determine whether or not earnings and hours are insurable, and, if they are insurable, to which pay period they should be allocated, please refer to Service Canada's ROE Guide, Annex 1.

The information on this web page is provided by Ceridian Canada Ltd. as a convenience to you. Ceridian does not warrant the accuracy or completeness of the information. Contents may be subject to change. Always check your circumstances with the proper authority for the most accurate and current information available.