Employment Insurance Act - Amendments - Bill C-36

The following information is out of date.

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PAST AMENDMENTS TO THE EMPLOYMENT INSURANCE ACT

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BILL C-36 – Budget Implementation Act , 1998

[Assented to 18 June, 1998]

Published in the Canada Gazette Part III – Vol. 21, No 2, Chapter 21, on July 31, 1998.

An Act to implement certain provisions of the budget tabled in Parliament on February 24, 1998.

SHORT TITLE

This Act may be cited as the Budget Implementation Act, 1998.

The sections of Bill C-36 relating to the Employment Insurance Act are as follows:

PART 11

EMPLOYER'S PREMIUM REFUND

EMPLOYMENT INSURANCE (1996, c. 23)

104. Subsections 96(9) and (10) of the Employment Insurance Act are replaced by the following:

Employer's premium refund for 1999

(8.2) With respect to 1999, the Minister shall refund to the employer the amount determined by the following formula if that amount is more than $1:

(E2 - E1) x P1999

where

E1: is the total of all insurable earnings paid in 1998 by the employer, for which premiums were deductible, in respect of employees who were 18 years of age or older but younger than 25 at any time during 1998;

E2: is the total of all insurable earnings paid in 1999 by the employer, for which premiums were deductible, in respect of employees who were 18 years of age or older but younger than 25 at any time during 1999; and

P1999 is 1.4 times the premium rate for 1999.

Employer's premium refund for 2000

(8.3) With respect to 2000, the Minister shall refund to the employer the amount determined by the following formula if that amount is more than $1:

(E2 - E1) x P2000

where

E1: is the total of all insurable earnings paid in 1998 by the employer, for which premiums were deductible, in respect of employees who were 18 years of age or older but younger than 25 at any time during 1998;

E2: is the total of all insurable earnings paid in 2000 by the employer, for which premiums were deductible, in respect of employees who were 18 years of age or older but younger than 25 at any time during 2000; and P2000 is 1.4 times the premium rate for 2000.

Reduction or elimination of refund

(8.4) Where it is determined that an employer who has applied for or received a refund under subsection (8.2) or (8.3) has unduly terminated the employment of an employee or changed the conditions of employment of an employee in order to obtain or to increase the refund that would otherwise be payable to the employer, the Minister shall eliminate the refund, or reduce it by the sum the Minister considers appropriate in the circumstances.

Notice

(8.5) If the Minister eliminates or reduces a refund under subsection (8.4), the Minister shall notify the employer, as if the Minister were issuing a notice of assessment, that the employer is not entitled to the refund or that the refund has been reduced by the sum specified in the notice.

Reliance on decisions

(8.6) For the purpose of subsection (8.4), an employer shall be determined to have unduly terminated the employment of an employee or changed the conditions of employment of an employee in order to obtain or to increase the refund that would otherwise be payable to the employer if an order, decision or ruling of any competent body has so established.

Associated employers

(9) If at any time during a year for which a refund is sought two or more employers are associated, as defined by the regulations, they shall be considered a single employer for the purposes of subsections (6) to (8.4) and any refund shall be allocated to them in the prescribed manner.

Application for refund

(10) A refund under this section is payable only if an application is made in writing to the Minister within three years after the end of the year for which the premiums were deducted or required to be paid.

Coming into Force

This bill came into force when it received Royal Assent.