The federal government has officially released its annual update to Employment Insurance (EI) premium rates and maximums, effective January 1, 2026. These changes may impact both employers and employees across Canada.
At Norbram Group Insurance Benefits Inc., we believe it’s important to keep our clients informed about changes that could affect payroll planning, benefit coordination, and employee deductions.
What’s Changing in 2026?
The updated 2026 EI adjustments include:
- Revised EI premium rates
- Updated maximum insurable earnings
- Adjustments to employer contribution rates and annual maximums
These updates are part of the federal government’s regular review to ensure the long-term sustainability of the EI program.
Why This Matters to Employers
As a plan sponsor or business owner, these changes may affect your:
- Payroll contributions: Employers contribute 1.4 times the employee EI premium. Any rate changes will directly impact your total annual EI costs.
- Employee paycheques: Higher maximum insurable earnings can slightly reduce take-home pay for some employees.
- Benefits coordination: Some short-term disability (STD) or income replacement plans may be affected by the new EI thresholds.
Stay Informed and Prepared
We’re proactively sharing this information with our clients to ensure you have time to make any necessary adjustments before the changes take effect in January.
If you have any questions about how the 2026 EI adjustments may impact your business, payroll, or group benefits plan:
