Food Banks Canada says Canada’s employment insurance no longer serves the broader and shifting workforce as more people take up gig work or part-time jobs.
In its latest poverty report card, the organization says the labour market has shifted toward part-time, temporary and contract work, while EI only caters to a shrinking workforce that has stable, full-time work with a single employer.
Food Banks Canada chief executive Kirstin Beardsley says the outdated EI system is one of the greatest threats to Canada’s resiliency as unemployment remains elevated and households struggle to keep up with the high cost of living.
The report suggests EI eligibility is at the heart of the issue, which requires workers to accumulate a set number of insurable hours within a fixed period.
However, it says irregular hours, multiple jobs and contract work make qualifying for EI more difficult, even for those with consistent jobs.
That, in turn, excludes many workers who face greater income instability.
EI is a federal program that bridges the financial gap for workers who are between jobs, paying about 55 per cent of the average insurable weekly earnings. That means someone with an annual income of $68,900 would receive a maximum of $729 in EI per week.
