News briefs

EI surplus kills jobs: CME • EI small-week threshold raised • SARS has nurses considering quitting • No options at Microsoft

EI surplus kills jobs: CME

Ottawa
— Employers are owed a refund for overpaying Employment Insurance premiums, says Perrin Beatty, president of the Canadian Manufacturers and Exporters. It’s estimated the EI fund surplus has topped the $40 billion mark. “EI over-contributions are a regressive and profit-insensitive tax. They are job killers because they drive up the cost of employing workers, and they discourage innovation,” Beatty told the Employment Insurance Premium Rate Review process last month.

EI small-week threshold raised

Ottawa
— To encourage workers to accept more part-time work, the federal government is increasing the “small week” Employment Insurance threshold from $150 to $225. Workers will be able to accept part-time work without lowering the benefit rate on a future claim. When calculating EI benefits, all weeks of work in the 26 weeks preceding end of employment are taken into account. A combination of regular weeks and small weeks can lower the benefit rate. Consequently, workers may be reluctant to accept small weeks of work. Increasing the threshold to $225 gives more flexibility in calculating EI benefits without lowering the benefit rate.

SARS has nurses considering quitting

Toronto
— Some nurses are thinking about leaving the profession after two nurses in Ontario died from SARS, according to the head of Ontario’s nursing association. The nurses who were infected by SARS in particular are considering calling it quits, Barbara Wahl said, adding that it also has people questioning entering a nursing career.

No options at Microsoft

Redmond, Wash.
— Microsoft is dumping stock options for actual shares in the company. Employees will be given the chance to earn shares of Microsoft stock over time, rather than options that give employees the right to purchase stock at a set price. Microsoft will also start expensing all equity-based compensation, a move which could have a significant impact on the bottom line.

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