July 10,2025
RED FM News Desk
Tariffs imposed by the United States and other trade partners on Canadian goods continue to negatively affect both workers and employers in Canada. In response, the federal government has implemented and now extended support measures to ensure timely and reliable access to Employment Insurance (EI) benefits—particularly for those in the most affected industries and regions.
On behalf of the federal government, the Honourable Patty Hajdu, Minister of Jobs and Families and Minister responsible for the Federal Economic Development Agency for Northern Ontario announced an extension to a key temporary EI measure. The adjustment to regional unemployment rates, which was set to expire on July 12, will now remain in effect until October 11, 2025.
This extended measure includes:
Lowering the number of insurable hours required to qualify for regular EI benefits to a maximum of 630 hours, and
Providing up to four additional weeks of benefit entitlement.
These actions are part of a broader strategy to assist Canadian workers facing economic uncertainty due to ongoing trade disputes. The government is also actively engaged in negotiations for a wider trade agreement with the U.S., aiming to secure the best possible outcome for Canadian businesses and workers.
In addition to this extension, on March 23, 2025, the government introduced several other temporary EI measures:
Increasing regional unemployment rates by one percentage point across all EI regions, with a cap of 13.1% and a floor of 7.1%.
Waiving the one-week waiting period for all types of EI claims (regular, special, fishing), allowing workers to receive benefits immediately.
Suspending the deduction of severance and other separation payments, so workers can start receiving EI without delay. Combined, these changes are expected to benefit more than 290,000 workers.
The government also introduced new flexibilities to the Work-Sharing Program in March 2025, enabling more businesses and employees to participate. The program allows eligible employees, in agreement with their employers, to work reduced hours during temporary downturns in business. EI benefits help top up lost income, allowing employers to retain skilled staff while avoiding layoffs.
As of June 28, 2025, Service Canada has signed over 700 Work-Sharing Agreements with employers affected by tariffs, supporting nearly 27,200 workers and helping prevent approximately 10,200 layoffs.