On September 13, 2018, the Canada Employment Insurance Commission (CEIC) announced that the 2019 EI premium rate will be $1.62 per $100 of insurable earnings – a decrease of 4 cents for employees compared to the 2018 rate, and a decrease of 5 cents to $2.27 for employers who pay 1.4 times the employee rate.
EI premium rates for residents of Quebec, who are separately covered under the Quebec Parental Insurance Plan (QPIP), will be reduced by $0.37 per $100 of insurable earnings, to a premium rate of $1.25 ($1.75 for employers).
Taking account of the rise in Maximum Insurable Earnings for 2019 to $53,100 (from $51,700), the maximum annual EI contribution for a worker will increase by $2.00 to $860.22 (up $2.80 for employers to $1204.31 per employee). In Quebec, the maximum annual contribution for a worker will decrease by $8.35 to $663.75 (down $11.69 for employers to $929.25 per employee).
The CEIC sets the premium rate each year based on the seven-year break-even rate, which is a rate forecast to balance the EI Operating Account over a seven-year horizon, including the elimination of any cumulative surplus or deficit.
Particulars of 2019 rate-setting may be found at these links:
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Since 1871, Canadian Manufacturers & Exporters has been helping manufacturers grow at home and thrive around the world. In 2016, CME released Industrie 2030 – a roadmap for doubling Canadian manufacturing activity by 2030. Our focus is to ensure the sector is dynamic, profitable, productive, innovative and growing. We aim to do this by strengthening the labour force, accelerating the adoption of advanced technology, supporting product commercialization, expanding marketplaces and, most importantly, ensuring a globally-competitive business environment. CME is a member-driven association that directly represents more than 2,500 leading companies who account for an estimated 82 per cent of manufacturing output and 90 per cent of Canada’s exports.
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