Move reflects concern over unemployment levels
The federal government is resizing an increase of employment insurance premiums scheduled to take effect on Jan. 1, 2012, reflecting mounting concern in Ottawa about rising unemployment. Under the government’s original plan, announced last fall by Finance Minister Jim Flaherty, EI payroll premiums would have risen by 10 cents per $100 of insurable earnings for employees and 14 cents for employers, the Globe and Mail reports. Today, though, Flaherty is expected to announce that the increase will be kept at the same level of the one that took effect on Jan. 1, 2011, or five cents for employees and seven cents for employers.