Federal government extends temporary EI changes to help businesses amid U.S. trade tensions

July 10, 2025

REDFM Newsroom:

The federal government is extending temporary changes to the Employment Insurance (EI) program that were introduced in March to help Canadian businesses affected by the ongoing trade war with the United States.

Originally set to expire on Saturday, the changes will now remain in effect until October 11, according to the office of Jobs Minister Patty Hajdu.

The measures are designed to help employers retain workers during challenging economic conditions by allowing them to reduce employee hours without fully laying them off. Affected workers can receive EI benefits to partially replace lost wages while remaining attached to their jobs.

Key features of the temporary changes include lowering the hours threshold needed to qualify for regular EI benefits to 630 hours, making it easier for workers to access support. The extension also allows claimants to receive an additional four weeks of EI benefits.

The changes to EI first came into effect in April, following their announcement in early March as part of a broader $6.5-billion federal aid package intended to help Canadian businesses navigate the impacts of trade tensions with the U.S.

The government says the measures are intended to protect jobs, support workers and ensure businesses can keep skilled employees on their payrolls despite economic uncertainty.

Employers and workers are encouraged to visit the Government of Canada’s website or contact Service Canada to learn more about the extended EI measures and eligibility requirements.