Vol. 143, No. 6 — March 18, 2009

Registration

SOR/2009-87 March 5, 2009

EMPLOYMENT INSURANCE ACT

Regulations Amending the Employment Insurance (Fishing) Regulations

RESOLUTION

The Canada Employment Insurance Commission, pursuant to section 153 of the Employment Insurance Act (see footnote a), hereby makes the annexed Regulations Amending the Employment Insurance (Fishing) Regulations.

March 4, 2009

JANICE CHARETTE
Chairperson
Canada Employment Insurance Commission

PATRICIA BLACKSTAFFE
Commissioner (Workers)
Employment Insurance Commission

ANDRÉ PICHÉ
Commissioner (Employers)
Employment Insurance Commission

P.C. 2009-385 March 5, 2009

Her Excellency the Governor General in Council, on the recommendation of the Minister of Human Resources and Skills Development, pursuant to section 153 of the Employment Insurance Act (see footnote b), hereby approves the annexed Regulations Amending the Employment Insurance (Fishing) Regulations, made by the Canada Employment Insurance Commission.

REGULATIONS AMENDING THE EMPLOYMENT INSURANCE (FISHING) REGULATIONS

AMENDMENT

1. Paragraph 8(13)( b ) of the Employment Insurance (Fishing) Regulations (see footnote 1) is replaced by the following:

(b) the maximum weekly insurable earnings are the maximum yearly insurable earnings as calculated under section 4 of the Act divided by 52.

COMING INTO FORCE

2. These Regulations come into force on March 29, 2009.

REGULATORY IMPACT
ANALYSIS STATEMENT

(This statement is not part of the Regulations.)

Executive summary

Issue

A regulatory amendment to the Employment Insurance (Fishing) Regulations is needed to address a discrepancy between those Regulations, the Employment Insurance Act (EI Act), and current administrative practice.

While the EI (Fishing) Regulations set the Maximum Insurable Earnings (MIE) applicable to fishers at $750 per week ($39,000 per year), the MIE under the EI Act for all other EI benefits has grown annually since 2007 from $39,000 to $42,300 in 2009.

Among other purposes under the EI program, the MIE establishes the income level up to which EI premiums are paid by contributors, and determines the maximum weekly benefit paid to claimants. In addition, as EI premium rates are set according to the principle that premium revenue collected should be sufficient to cover the cost of EI benefits paid for the year, EI premium rates were set assuming that maximum fishing benefits would be paid at the benefit rates as calculated under section 4 of the EI Act for the years 2007 to 2009.

Objectives

The objective of the regulatory amendment is to correct the discrepancy by aligning the MIE provision contained in the EI (Fishing) Regulations with the MIE provision under the EI Act. It is intended that the Regulations be in force prior to the winter fishing benefit period beginning on the Sunday of the week of April 1, 2009.

Description

The regulatory amendment will make the EI (Fishing) Regulations consistent with the MIE stated in the EI Act; resulting in a single MIE and one maximum weekly benefit rate applicable to all claimants. The amendment will correct the wording of paragraph 8(13)(b) of the EI (Fishing) Regulations to provide that the maximum weekly insurable earnings are the maximum yearly insurable earnings as calculated under section 4 of the EI Act divided by 52.

Regulatory and non-regulatory options considered

The regulatory amendment is necessary to ensure that the proper regulatory authority to pay EI fishing benefits at the intended benefit rate is in force prior to the winter fishing benefit period beginning on the Sunday of the week of April 1, 2009.

Benefits and costs

The regulatory amendment will make the EI (Fishing) Regulations consistent with the MIE stated in the EI Act; resulting in a single MIE and one maximum weekly benefit rate applicable to all claimants as of March 29, 2009.

Thereafter, the regulatory amendment will ensure the proper regulatory authority exists to pay fishers according to the MIE contained in the EI Act.

Approximately 60 000 fishing claims have been processed at the maximum benefit rate since 2007, at an approximate cost of $2 million in 2007, $7 million in 2008, and $5 million for the period of January 1, 2009 to March 28, 2009. However, the regulatory amendment does not address the overpayment of EI fishing benefits for that period. Rather, options are being developed to ensure that affected fishers will not be asked to repay any of those overpaid benefits.

As EI premium rates are set according to the principle that premium revenue collected should be sufficient to cover the cost of EI benefits paid for the year, EI premium rates were set assuming that maximum fishing benefits would be paid at the benefit rates as calculated under section 4 of the EI Act for the years 2007 to 2009. As a result, the overpayment of EI fishing benefits for that period will have had no impact on Government accounts.

Consultation

As the regulatory amendment corrects a discrepancy in the EI (Fishing) Regulations, no consultations have been undertaken at this time. However, changes for seasonal industries were widely discussed in 1996 and again in 2000, prior to the introduction of the legislation that brought into force the current MIE provision under the EI Act. Interdepartmental consultations also took place at that time.

In addition, section 153 of the EI Act requires that the regulatory amendment be tabled in the House of Commons for review for ten sitting days after the day it is tabled.

Selected option and cooperation

The regulatory amendment will ensure the proper regulatory authority exists to pay fishers according to the MIE contained in the EI Act.

Implementation, enforcement and service standards

Existing implementation and enforcement mechanisms contained in the Department of Human Resources and Skills Development Canada’s adjudication and controls procedures will ensure that the regulatory amendment is implemented properly.

Performance measurement and evaluation

The Government of Canada will continue to monitor the effects of the EI program, which will be reported in the Employment Insurance Monitoring and Assessment Report, and tabled in Parliament.

Contact

Michael Duffy
Director
Legislative and Regulatory Policy Design
Employment Insurance Policy Directorate
Human Resources and Skills Development Canada
140 Promenade du Portage, 3rd Floor
Gatineau, Quebec
K1A 0J9
Telephone: 819-997-5034
Fax: 819-934-6631

Footnote a
 S.C. 1996, c. 23

Footnote b
 S.C. 1996, c. 23

Footnote 1
 SOR/96-445

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