The Canada Employment Insurance Commission (CEIC) announced on Sept. 14, that the EI premium rate for 2017 will be $1.63 per $100 of insurable earnings. This is the seven-year break even rate forecast by the Chief Actuary in the 2017 Actuarial Report on the Employment Insurance Premium Rate.
The EI premium rate for 2015 and 2016 was $1.88 per $100 of insurable earnings.
The release of the new EI premium rate for 2017 marks the beginning of the CEIC assuming responsibility for setting the annual EI premium rate.
In the future, the Commission will set the premium rate each year based on the seven-year break-even rate, which is a rate forecast to cover the projected costs of the EI program over a seven year period, including any cumulative surplus or deficit in the EI Operating Account.
The Maximum Insurable Earnings (MIE) for 2017 will increase to $51,300 from $50,800 in 2016. The MIE is indexed on an annual basis and represents the ceiling up to which EI premiums are collected and the maximum amount considered in applications for EI benefits.
The CEIC is a tripartite organization, representing the interests of workers, employers, and government. The Commissioner for Workers and the Commissioner for Employers are appointed by the Governor in Council for terms of up to five years. They are mandated to represent and reflect the views of their respective constituencies.
To learn more information about the CEIC, please visit http://www.esdc.gc.ca/eng/jobs/ei/commission/index.shtml.