One of the most significant enhancements to the Employment Insurance program in a decade

Our government is pleased to announce that this past December the Fairness for the Self-Employed Act received Royal Assent. This legislation extends Employment Insurance (EI) maternity, parental, sickness and compassionate care benefits, collectively referred to as special benefits, to the self-employed on a voluntary basis. Small business is an extremely important part of our economy and we recognize that within that sector lie a number of self-employed people.

“Our government believes that self-employed Canadians should not have to choose between their family and their business responsibilities. We feel that providing access to these benefits is the fair and right thing to do. It is good family policy, and it represents one of the most significant enhancements to the EI program in the last decade.”
--Greg Rickford, MP-Kenora

As of January 31, 2010, self-employed Canadians have been able to register for the Employment Insurance program. Those who choose to take advantage of these special benefits will be required to register at least one year prior to claiming them. However, as a transitional measure, those who register by April 1, 2010, will be able to make a claim as early as January 1, 2011.

The self-employed have previously had little or no income protection to cope with major life events, such as giving birth, caring for a newborn or newly adopted child, being sick or injured, or caring for a gravely-ill family member. Through this measure, we are now providing self-employed Canadians with greater peace of mind with respect to their future financial security.
 
Here are some examples of how people might use these new benefits.
 
Maternity and Parental Benefits
Mary is a self-employed bookkeeper in Sioux Lookout, she earns approximately $36,000 a year, or about $700 per week, before taxes. Mary is considering starting a family. If she opts in to the EI program on January 1, 2010, by January 1, 2011, she would be eligible to receive maternity benefits for up to 15 weeks and parental benefits for up to 35 weeks. Mary would receive 55% of her average insured weekly earnings or about $385 per week.
 
Sickness Benefits
Paul is a personal fitness trainer in Kenora who makes $39,500 per year, or about $760 per week. He enjoys his job because it allows him to remain physically active and participate in sports in both his professional life and free time, where he plays recreational hockey and soccer. Because his job is physically demanding, Paul does worry about the possibility that an injury might mean he would be unable to work for a period of time. Paul decided that the EI premiums are worth the income security, and as such opts into the EI program on January 30, 2010. If Paul were to injure himself the following year he would be eligible to receive $418 per week in sickness benefits for up to 15 weeks.

This measure is part of the Government’s commitment to make responsive and responsible choices to support Canadians through the Employment Insurance program.

For more information, visit www.servicecanada.gc.ca/self_employed_workers.