What is Employment Insurance (EI)?
The Employment Insurance (EI) program provides temporary income support to unemployed workers while they look for employment or to upgrade their skills. The EI program also provides special benefits to workers who take time off work due to specific life events:
- Caring for a newborn or newly adopted child
- Caring for a critically ill or injured person
- Caring for a family member who is seriously ill with a significant risk of death
Workers receive EI benefits only if they have paid premiums in the past year and meet qualifying and entitlement conditions. Self-employed workers may participate in EI and receive special benefits.
What is the Québec Parental Insurance Plan (QPIP)?
The Québec Parental Insurance Plan (QPIP) provides support to parents of a newborn or newly adopted child. The QPIP program is set up to pay benefits to all eligible workers, including salaried and/or self-employed workers, taking maternity leave, paternity leave, parental leave or adoption leave. It replaces the maternity, parental or adoption benefits previously provided under the federal Employment Insurance (EI) program.
2023 EI & QPIP Amounts
The following table outlines the 2023 contribution rates and maximums for EI and QPIP:
EI Premium Reduction Rates
An employer providing a Short-Term Disability (STD) plan may now qualify for a lower EI premium rate than the general rate of 1.4 times the employee’s premium rate. For more information on rate setting, please click here.
Reduced EI Premium Rates for 2023
Please note, these rates are only for employers who have qualifying short term disability plans. The following table outlines reductions in place for the 2023 tax year.
Reduced EI premium rates for 2023 (QPIP)
Please note, these rates are only for employers who have qualifying short term disability plans for employees in Québec. The following table outlines reductions in place for the 2023 tax year.
- For more information on reducing your EI premiums, see the Government of Canada’s EI Premium Reduction Guide
- See the CRA’s Benefits and Allowances Chart to see which taxable allowances and benefits you need to deduct EI from
- Questions about QPIP? Check out the CRA’s QPIP Q&A for employers
- For additional information on QPIP, go to Québec Parental Insurance Plan
Disclaimer: The information provided in this guide is for informational purposes only. It is not professional financial or legal advice nor is it intended to be a substitute therefore. Where there are discrepancies between the guide and information provided by the federal government, provincial government, or the Canadian Revenue Agency (CRA) or Revenu Québec, defer to the guidelines provided by the governing agencies.