Many employers are looking for creative ways to support their
operations and their employees through interruptions brought on by
the spread of COVID-19. In doing so, it is important not to forget
about options already in place to assist businesses facing more
typical economic challenges. One such option is Supplemental
Unemployment Benefit (SUB) plans offered through the Employment
Insurance Act. A SUB Plan allows an employer to top up the EI
benefits received by employees when they are not working, without
either affecting their entitlement to EI benefits or having the
top-up be subject to all the normal deductions of employment
income.
SUB Plans
The purpose of a SUB plan is to provide supplemental payments to
EI benefits during a period of unemployment due to: temporary
stoppage of work; training; illness, injury or quarantine (as well,
SUB Plans can also be used for employees taking pregnancy and/or
parental leave). These payments are not deducted from
