EI Sickness Benefits And Employer Obligations In Canada

When a Canadian employee cannot work due to illness, injury, or quarantine, they may be eligible for Employment Insurance (EI) sickness benefits.

As of December 2022, the maximum duration was extended from 15 to 26 weeks. For employers, EI sickness benefits interact with your short-term disability coverage, your obligations around job protection, and your responsibility to file accurate Records of Employment.

Understanding how these pieces fit together protects both you and your employee.

How EI Sickness Benefits Work

Available to employees who cannot work for medical reasons including illness, injury, or quarantine.
Duration – Up to 26 weeks (extended from 15 weeks in December 2022).
Benefit Rate – 55% of average insurable earnings, to a maximum of $729 per week (2026).
A medical certificate from a healthcare professional is required if Service Canada requests it.
The standard one week waiting period applies before benefits begin, though this can sometimes be waived if the employee receives employer-paid sick leave for that period.
The employee must have accumulated at least 600 insured hours in the qualifying period.

How This Coordinates With Employer Disability Coverage

Many employers provide short term disability (STD) coverage as part of their benefits package. EI sickness benefits and employer STD are designed to coordinate, not duplicate.

If an employer provides STD that meets or exceeds EI sickness benefit levels, the employee typically claims STD rather than EI.
Employers who offer a qualifying STD plan may be eligible for an EI premium reduction through Service Canada’s Premium Reduction Program, lowering the employer’s EI multiplier below the standard 1.4x.
Where STD ends (often after 15–26 weeks), long-term disability (LTD) or EI may continue, depending on timing and obligations.
Coordinating these correctly avoids gaps in the employee’s income and avoids the employer overpaying premiums.

Employer Obligations

Job Protection – Most provinces and territories provide job protected sick leave or medical leave. The employee’s position must be available when they are able to return, subject to provincial rules.
Record of Employment – When the employee’s earnings are interrupted due to illness, the employer must file an ROE with Service Canada documenting the interruption as the rules are intertwined. This is what enables the EI claim.
Benefit Continuation – In many provinces, group benefits (health, dental) must continue during a statutory medical leave.
Accommodation – Under human rights legislation, employers have a duty to accommodate employees with disabilities or medical conditions up to the point of undue hardship.
Provincial Paid Sick Leave – Some provinces (such as BC, which mandates 5 paid sick days per year) require employer paid sick leave separate from EI.

Provincial Paid Sick Leave

Several provinces and territories have introduced mandatory paid sick leave that operates separately from federal EI.

British Columbia requires employers to provide 5 paid sick days per year after 90 days of employment. Other provinces have their own provisions. These are employer paid and distinct from EI sickness benefits, which are federally funded.

We track and apply the correct provincial sick leave entitlements for each employee.

How We Handle It

We manage the employer side of medical absences including filing the ROE that enables the EI claim, coordinating any employer provided STD coverage, maintaining benefits during the leave, coordinating benefits continuation when reuired, tracking provincial paid sick leave entitlements, and managing the return to work process.

We can also assess whether your benefits structure qualifies for an EI premium reduction, potentially lowering your costs.

Need Help Managing Medical Leaves And EI?

Book a call.

We handle the employer obligations so your employee gets the support they need.