FTR Now
Federal Government Extends Temporary Employment Insurance Relief Measures in Response to Tariffs
Date: September 10, 2025
On September 5, 2025, the federal government announced “several new measures and investments to protect, build and transform Canadian industries most impacted by tariffs and trade disruptions.” The announcement extends the temporary Employment Insurance (EI) relief measures reported previously and introduces a new benefit providing up to 20 additional weeks of EI benefits for “long-tenured workers.”
Previously Introduced EI Relief Measures Extended to 2026
On April 10th temporary EI relief measures were introduced to support workers and employers dealing with adverse economic consequences related to the ongoing trade dispute with the United States, including:
- a suspension of allocation and repayment rules for separation-related payments
- the waiver of the one-week waiting period for all EI claims
- an artificial boost to regional unemployment rates
The effective period for the suspension of allocation and repayment rules for separation-related payments and waiver of the one-week waiting period for EI claims will now run from March 30, 2025 – April 11, 2026. While the artificial boost to regional unemployment rates was extended to October 11, 2025 by a prior federal Order-in-Council dated July 3, 2025, it remains unclear whether the artificial boost to regional unemployment rates will also be extended to April 11, 2026, or if the federal government intends to let this measure expire on October 11, 2025.
Up to 20 Extra Weeks of EI Benefits for Long-Tenured Workers
Effective October 12, 2025, certain “long-tenured workers” will now be eligible for up to 20 extra weeks of EI benefits, to a maximum of 65 weeks. These additional benefits will apply to eligible EI claims established between June 15, 2025, and April 11, 2026.
Specifics regarding the definition of “long-tenured workers” will likely be released in the coming weeks.
Other Measures
The September 5th announcement also includes details regarding:
- an investment of $450 million over the next three (3) years under Labour Market Development Agreements with provinces and territories to provide training programs for workers
- an investment of $382 million over five (5) years and a permanent investment of $56 million per year for the creation of a “Sectoral Workforce Investment Fund” and five new “Workforce Alliances” comprised of “government, employers, unions, and industry organizations,” with the aim of aligning training efforts with economic priorities and responding to labour shortages
- an investment of $50 million over five (5) years to modernize the federal Job Bank by integrating AI on the Job Bank platform, developing a mobile application, automatically enrolling EI claimants in job matching services, delivering feedback from former employers to job-seekers through the platform, and requiring disclosure of salary information for all job postings on the platform
An Update on Previously Announced EI Work-Sharing Special Measures
On July 10 the federal government stated that over 700 EI Work-Sharing Agreements related to the special measures introduced in March have been implemented as of June 28, 2025, covering approximately 27,000 workers and helping to avoid approximately 10,000 layoffs. Our FTR Now of March 11, 2025 provides further details regarding both employer and employee eligibility for these special measures.
Should you have questions with respect to the temporary EI relief measures, the EI Work-Sharing special measures or require further information, our Pensions, Benefits and Compensation practice group is available to assist you.
The article in this client update provides general information and should not be relied on as legal advice or opinion. This publication is copyrighted by Hicks Morley Hamilton Stewart Storie LLP and may not be photocopied or reproduced in any form, in whole or in part, without the express permission of Hicks Morley Hamilton Stewart Storie LLP. ©