Legislative Roundup

Changes in payroll laws and regulations from across Canada

 
FEDERAL

EI maximum insurable earnings going up in 2016

The maximum insurable earnings for employment insurance (EI) premiums will increase from $49,500 to $50,800 in 2016, the Canada Employment Insurance Commission (CEIC) recently announced.

The federal government previously said EI premium rates for employees outside of Quebec would remain at 1.88 per cent for 2016, while the rate for employers would stay at 2.632 per cent. For employees in Quebec, the employee EI premium rate will decrease from 1.54 per cent to 1.52 per cent, while the rate for employers will go down from 2.156 per cent to 2.128 per cent.

The maximum employee premium payment will be $955.04 in 2016 for employees outside of Quebec. The maximum employer premium per employee will be $1,337.06.

In Quebec, the maximum employee premium will be $772.16 and the maximum employer premium per employee will be $1,081.02.

Rates for EI premium reduction program proposed

Employers taking part in the federal government’s Employment Insurance (EI) Premium Reduction Program can likely expect to hear from the government shortly on what the applicable rate of reduction will be for 2016.

Employment and Social Development Canada (ESDC) recently posted the 2016 Actuarial Report on the Employment Insurance Premium Rate. The premium rate for employers not taking part in the Premium Reduction Program is 1.4 times the employee’s EI premium rate.

For 2016, the report suggests that ESDC use the following reduced premium rates:

• Category 1 plans: x 1.296 the employee premium (1.271 for Quebec employees)

• Category 2 plans: x 1.216 the employee premium (1.173 for Quebec employees)

• Category 3 plans: x 1.219 the employee premium (1.177 for Quebec employees)

• Category 4 plans: x 1.203 the employee premium (1.156 for Quebec employees)

The category refers to the group to which ESDC assigns an employer, based on the type of wage-loss replacement plan the employer has set up.


BRITISH COLUMBIA

Red tape reduction efforts

The first Wednesday in March every year will be Red Tape Reduction Day in British Columbia, the provincial government announced.

Designating a day helps to reinforce the government’s ongoing commitment to decrease the administrative burden for businesses and citizens, said Coralee Oakes, minister of small business and red tape.

"Red Tape Reduction Day is a strong incentive to keep red tape reduction a priority and lowers the risk that the number of regulations will slowly creep back over time. Since 2001, we have reduced regulatory requirements by 43 per cent," Oakes said.


ONTARIO

Labour Ministry consulting on gender wage gap

The province’s Labour Ministry says it will hold public consultations this fall on ways to close the wage gap between men and women in Ontario.

Statistics Canada data shows the gender wage gap in the province ranges from 12 to 31.5 per cent, with it most affecting Aboriginal and racialized women, as well as those with disabilities.

The provincial government set up a steering committee last spring to study the difference between male and female earnings. The Gender Wage Gap Steering Committee will host public consultations to examine issues such as how the wage gap affects working women and ways government, business and labour groups can address systemic barriers contributing to it.

"While women participate in all parts of the workforce, there are still barriers that prevent women from achieving their economic potential. That negatively affects Ontario’s prosperity," said Tracy MacCharles, the province’s minister of women’s issues.

"When we are all treated equitably, we all benefit. That’s why we are taking action today for a more equal and economically sound Ontario.

The deadline for comments is Jan. 15, 2016.

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