By TaxNorth Editorial Team
Losing your job can be stressful, especially when you are new to Canada. Canada's Employment Insurance (EI) program provides temporary financial support to eligible workers who lose their jobs.
Newcomers to Canada, including permanent residents, work permit holders, and international students, can collect Employment Insurance regular benefits if they meet the standard eligibility requirements. Your immigration status does not prevent you from receiving EI, as long as you are legally authorized to work in Canada and meet the applicable conditions. Whenever you work in an insurable job in Canada, your employer automatically deducts EI premiums from your paycheque. If your work permit expires and you are no longer authorized to work in Canada, you would generally no longer be eligible to collect EI regular benefits. EI is an insurance program, not social assistance.
To qualify for regular EI benefits, you generally need to have worked a specific number of insurable hours during your qualifying period. The required hours depend on the unemployment rate in your region at the time you apply — typically between 420 and 700 insurable hours. Hours from multiple jobs can be combined. Always verify current regional thresholds at canada.ca as they are updated regularly.
The basic benefit rate is 55 percent of your average insurable weekly earnings, up to the annual maximum insurable earnings amount. Benefit duration ranges from 14 to 45 weeks depending on your hours and regional unemployment rate. Always verify current maximum amounts at canada.ca as they are adjusted annually.
If you lose your job through no fault of your own, apply for EI through Service Canada as soon as possible — ideally within four weeks of your last day of work. You will need your Social Insurance Number and your Record of Employment from your employer. Even if you have not received your Record of Employment yet, start your application right away. Delaying can result in lost benefit weeks.
Can international students get EI? Yes, if they meet the insurable hours requirement and lose their job through no fault of their own. What happens if I quit my job? Voluntarily quitting without just cause generally disqualifies you from EI regular benefits. Do I pay taxes on EI payments? Yes — EI payments are taxable income and Service Canada will issue a T4E slip. Does collecting EI affect my permanent residency application? EI is an earned insurance benefit. Review current IRCC guidance for questions about how benefits may interact with your specific immigration application.
Questions about EI or how it affects your taxes? Ask TaxNorth — free answers in any language.
Ask TaxNorth free