Canada’s employment insurance system is no longer meeting the needs of a rapidly changing workforce, according to a new report from Food Banks Canada.
In its latest poverty report card, the organization says the labour market has increasingly shifted toward gig, contract, temporary and part-time employment, while the Employment Insurance (EI) program continues to be structured around traditional full-time jobs with a single employer.
Kirstin Beardsley, chief executive of Food Banks Canada, said the outdated EI system represents one of the greatest threats to Canada’s resilience as unemployment remains elevated and many households continue to struggle with rising living costs.
The report points to EI eligibility requirements as a key barrier. Workers must accumulate a minimum number of insurable hours within a specified period to qualify for benefits. However, people juggling multiple jobs, irregular schedules or contract work often find it more difficult to meet those requirements, even when they are consistently employed.
As a result, many workers facing income instability are left without access to financial support when they lose work, the report argues.
Employment Insurance is designed to provide temporary income assistance to Canadians between jobs, replacing approximately 55 per cent of average insurable weekly earnings. Under current rules, a worker earning $68,900 annually could receive a maximum EI benefit of $729 per week.
Food Banks Canada is urging policymakers to modernize the program to better reflect the realities of today’s labour market and ensure more workers can access support during periods of unemployment.
