New Employment Insurance Board of Appeal promises faster, fairer decisions

Tripartite board will change how disputed terminations, leave decisions and records of employment scrutinized

New Employment Insurance Board of Appeal promises faster, fairer decisions

Employment and Social Development Canada (ESDC) will launch a new Employment Insurance (EI) Board of Appeal on April 1, 2026, in what the federal government describes as a significant reform of the EI recourse process.

The development signals changes to how disputed terminations, leave decisions and records of employment are scrutinised in Employment Insurance (EI) appeals.

The EI Board of Appeal (EI BOA) will assume responsibility for all first‑level EI appeals, except constitutional challenges, replacing the role currently played by the Social Security Tribunal (SST) General Division. The SST will continue to hear and decide appeals received before March 31, 2026, during a transition period in which both bodies operate in parallel, according to ESDC.

“The world of work is changing and bringing new challenges, and workers and businesses are part of the solution,” said Patty Hajdu, Minister of Jobs and Families and Minister responsible for the Federal Economic Development Agency for Northern Ontario. “With the launch of the EI BOA, appeal decisions are being put back into the hands of employers and workers who support our communities day in and day out. By making changes to the appeals process, we are meeting the expectations of those that need it most, while protecting the workforce and empowering industries to thrive.”

In 2023, Ottawa introduced a bill, Bill C-37, to amend the Department of Employment and Social Development Act to create an EI Board of Appeal. The current system has been criticized for burdening employers with administrative inefficiencies, and Bill C-37 proposed a tripartite EI Board of Appeal to simplify that process.

The EI program – funded by employer and worker contributions – provides temporary income support to workers who lose their jobs through no fault of their own or are unable to work due to specified circumstances such as illness, pregnancy or caregiving.

Scope of appeals and stakeholder support

ESDC said the EI BOA will hear appeals related to EI regular, sickness, maternity and parental, caregiving and fishing benefits, as well as benefits for the self‑employed. For HR leaders, these categories cover many disputed situations that follow terminations, complex leaves and questions about insurable hours.

The reform follows a 2017 third‑party review of the SST and national consultations. ESDC reported that stakeholders expressed “a strong desire to return to regionally based tripartite decision‑making panels for first‑level EI appeals, similar to what had previously existed under the EI Board of Referees.”

Labour and employer groups have endorsed the change. Bea Bruske, President of the Canadian Labour Congress, called the return to a tripartite appeals body “a leading and longstanding priority for Canada’s unions.” She said that “when EI claims are disputed, working people deserve a fair, timely hearing—one that is transparent and accessible in a format that meets their needs,” describing the EI Board of Appeal as “a necessary and long‑awaited step toward delivering that fairness.”

Candace Laing, President and CEO of the Canadian Chamber of Commerce, said the launch is “an important step toward a more responsive and balanced EI system.” She stated that the Chamber “welcomes the return to a tripartite model that brings employer and worker perspectives directly into decision‑making,” adding that this approach will help ensure appeals are “fair and impartial but also grounded in the economic realities facing businesses and communities across Canada.”

Tripartite, regional panels and faster decisions

The new Board will operate through regionally based, tripartite panels of three decision‑makers: a presiding member appointed by the Governor in Council, and one member each appointed from employer and worker communities. ESDC said this model is intended to ensure appeal decisions are made by individuals with ties to the same region as the claimant and that they reflect “the reality of local communities.”

The EI BOA will offer appellants a choice of hearing format and aims to deliver timelier, same‑day decisions, except in prescribed circumstances.

ESDC outlined a two‑tier structure for the new body. Full‑time members will include one Executive Head and four regional coordinators, all appointed by the Governor in Council. The Executive Head will oversee performance and management of regional coordinators, members and appeals, and report to the Canada Employment Insurance Commission. Regional coordinators will assist with management and may render certain decisions for efficient processing.

Part‑time members will form the tripartite panels that hear appeals and determine questions of law and fact. These panels will be composed of presiding members appointed by the Governor in Council and members appointed by the Commission from employer and worker communities. Only these tripartite panels will be authorised to hear appeals.

In addition, the government is eliminating the “leave to appeal” requirement for second‑level EI appeals to the SST Appeal Division. Currently, parties must obtain permission before their case can proceed. ESDC said removing this step will improve access to justice and make the appeal process more client‑centred.

 

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