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Part I - Plan Requirements
Items 1 to 9 are mandatory (with the exception of item 4) and must appear in the plan description.
A sample SUB plan is found in Part II. Each item below corresponds to the same number in the sample plan.
1. Identification of employees covered
The plan must identify the group(s) of employees covered e.g. all employees, hourly paid employees, employees at a certain plant or location, union group(s), etc. It may also identify an employee position e.g. accountant, administrator, lawyer, etc. Any employee may be covered; however, do not identify individuals by name. When employees of affiliated companies are covered, the names of these companies must be included.
2. Types of unemployment
The plan must indicate that it covers unemployment caused by one or a combination of the following:
Temporary stoppage of work
SUB plans are intended for periods of unemployment caused by a temporary stoppage of work. Termination of employment caused by a re-organization or a shutdown of a plant or operation is not considered temporary unemployment. SUB payments may not form part of a separation package, be used to bridge to retirement, nor form any part of a work sharing agreement or short-week benefits.
Recall rights do not necessarily constitute a reason for determining a lay-off to be temporary. The employer should be able to estimate the date of the employee’s return to work.
EI benefits paid for temporary lay-off are regular benefits and are paid to claimants who are available for, able to and looking for work. Claimants must continue to meet all EI requirements even though they are on temporary stoppage of work.
Training
Employees must be in receipt of Employment Insurance.
Illness, injury or quarantine
The employee must be in receipt of EI sickness benefits.
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