CFIB statement on the EI premium hike

TORONTO, Oct. 4, 2023 /CNW/ - The Canadian Federation of Independent Business (CFIB) is disappointed the federal government didn't take the opportunity to reject the planned Employment Insurance (EI) premium hike.

In the spring federal budget, Ottawa projected that EI rates would not need to increase into the future because of the strength of Canada's labour market. But while the labour market remains strong, the rate will now increase at cost of $1.4 billion to businesses and employees in 2024. The EI premium increase will affect all workers, while many will also see an increase in CPP premiums due to a hike in the maximum pensionable earnings calculation.

The EI premium hike will further drive up the cost of doing business for Canada's small businesses while shrinking the paycheques of Canadian workers.

CFIB is calling on Ottawa to introduce a lower rate or credit for small businesses to offset the rate increases for employers.

- Dan Kelly, President and CEO, CFIB

The Canadian Federation of Independent Business (CFIB) is Canada's largest association of small and medium-sized businesses with 97,000 members across every industry and region. CFIB is dedicated to increasing business owners' chances of success by driving policy change at all levels of government, providing expert advice and tools, and negotiating exclusive savings. Learn more at cfib.ca.

SOURCE Canadian Federation of Independent Business