When an employee leaves work, it is imperative for the employer to promptly provide an accurate Record of Employment (ROE). This document is crucial for accessing Employment Insurance (EI) entitlements under the Employment Insurance Act. It supplies Service Canada with the necessary details to determine the appropriate EI benefits and entitlements, including the amount and duration of any benefits. For employees who have been wrongfully dismissed, an accurate and timely ROE is essential to ensure proper access to EI benefits.

Timely Issuance of Records of Employment

According to the Employment Insurance Regulations, employers must issue an ROE within a specific timeframe, which varies based on whether it is issued on paper or electronically:

• Paper ROE: Must be provided within five calendar days of either the first day of an interruption of earnings or the day the employer becomes aware of an interruption of earnings.
• Electronic ROE: Must be provided within five calendar days after the end of the pay period during which the worker’s interruption of earnings occurs. If the pay period is monthly, it must be issued by the earlier of five calendar days after the pay period ends or 15 calendar days after the interruption of earnings begins.

Employers can submit ROEs to Service Canada electronically, ensuring compliance with the Employment Insurance Regulations.

Accurate Description of Earnings Interruption

An ROE must accurately describe the reason for an employee’s interruption in earnings. Service Canada uses specific codes for these reasons:

• Code A: Shortage of Work (Layoff)
• Code B: Strike or Lockout
• Code C: Return to School
• Code D: Illness or Injury
• Code E: Quit
• Code F: Maternity
• Code G: Retirement
• Code H: Work Sharing
• Code J: Apprentice Training
• Code M: Dismissal or Suspension
• Code N: Leave of Absence
• Code P: Parental
• Code Z: Compassionate Care/Family Caregiver
• Code K: Other (with a detailed explanation in Block 18 of the ROE)

An interruption of earnings occurs when an employee’s salary falls below 60% of their regular weekly earnings due to circumstances like illness, injury, pregnancy, or the need to care for a family member.

Consequences of Failing to Provide Accurate or Timely ROE

If an employer fails to provide an accurate or timely ROE, it can prevent workers from accessing their EI benefits. Courts have ruled that employees can recover aggravated and punitive damages from employers who neglect this obligation.

In the Ontario Superior Court case, Pohl v. Hudson’s Bay Company, the employer failed to provide an accurate and timely ROE, leading to an award of damages for breaching the implied obligation of good faith and fair dealing. The ROE inaccurately stated that the worker was laid off due to a shortage of work, and it was issued well beyond the required timeframe. The court awarded moral and punitive damages for this failure, highlighting the serious repercussions for workers pursuing their EI entitlements.

Employers must understand the importance of issuing accurate and timely ROEs to ensure compliance and avoid legal consequences. This practice not only benefits employees but also upholds the integrity of the employment and EI system. If you have been terminated, contact us today.