Timely Issuance of ROE Canada: Record of Employment Must be Issued

When leaving work for any reason, an employer must provide workers with an accurate Record of Employment in a timely manner. The Record of Employment is a crucial document for accessing Employment Insurance entitlements under the Employment Insurance Act. The Record provides Service Canada with the information necessary to determine appropriate Employment Insurance benefits and entitlements, especially concerning the amount and duration of any benefits. For workers who have been wrongfully dismissed, it is especially important to have an accurate Record of Employment issued in a timely manner to ensure adequate access to any Employment Insurance benefits.

Pursuant to the Employment Insurance Regulations, Records of Employment must be issued for a worker within a specified timeframe, which varies based on whether the Record of Employment is issued on paper or electronically. If the Record of Employment is issued on paper, it 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.

If the Record of Employment is issued electronically, it must be provided to the worker within 5 calendar days after the end of the pay period during which the worker’s interruption of earnings occurs. However, if a worker’s pay period is monthly, then the electronic Record of Employment must be issued by the earlier of either:

• 5 calendar days after the end of the pay period in which the worker experiences an interruption in earnings; or
• 15 calendar days after the first day of an interruption of earnings.

Employers can submit the ROE to Service Canada electronically. Records of Employment must be issued in a timely manner, in accordance with the rules outlined by the Employment Insurance Regulations.

Record of Employment Must Accurately Describe the Reason for Interrupted Earnings for Service Canada

In addition to the timely issuance of the Record of Employment, the Record itself must accurately describe the reason for the interruption in earnings for employees receiving insurable earnings. Service Canada indicates codes used to describe the reason for the interruption in earnings. The codes are as follows:

• Code A: Shortage of Work (Layoff) – For use when the employee is laid off due to a shortage of or the end of a contract or season.
• Code B: Strike or Lockout – Used when an employee is on strike or has been locked out of the workplace.
• Code C: Return to School – Used when an employee leaves a job to return to school. However, Service Canada is phasing out this code and recommends replacing Code with Code E if returning to School or Code J if leaving to participate in a government-approved apprenticeship program. Code A can also be used if a student is hired on a summer term, co-op term, or other fixed term and they fulfill their term.
• Code D: Illness or Injury – Used when the employee is leaving work because of illness or injury.
• Code E: Quit – Used when the employee voluntarily leaves their work.
• Code F: Maternity – Used only when the employee is pregnant or has recently given birth.
• Code G: Retirement – Used when the employee leaves work because of mandatory retirement or through a workforce reduction approved by Service Canada.
• Code H: Work Sharing – Used when the employee is participating in the Service Canada Work-Sharing program.
• Code J: Apprentice Training – Used when the employee is leaving the workplace temporarily to participate in a government-approved apprenticeship training program.
• Code M: Dismissal or Suspension – Used when the employee has been dismissed or suspended from employment.
• Code N: Leave of Absence – Used when the employee takes a leave of absence.
• Code P: Parental – Used when the employee is leaving the workplace to temporarily take parental or adoption leave.
• Code Z: Compassionate Care/Family Caregiver – Used when the employee is leaving the workplace to temporarily claim compassionate care benefits or family caregiver benefits.
• Code K: Other – Used for reasons other than those listed above that need a deeper explanation which is to be provided in Block 18 within the Record of Employment.

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

Failure to Provide Accurate or Timely Record of Employment for Employment Insurance

If workers have been dismissed from employment and do not receive an accurate or timely Record of Employment, they may not be able to access their entitlements to EI benefits. Without an accurate ROE, workers may not be able to receive EI benefits. Consequently, Courts have held that workers can recover aggravated and punitive damages from employers who fail to provide an accurate and timely Record of Employment.

In a recent case at the Ontario Superior Court, Pohl v. Hudson’s Bay Company, the employer failed to provide an accurate and timely Record of Employment to the worker after he had been dismissed. The Court held that this, among other things, justified an award of damages for the breach of the implied obligation of good faith and fair dealing in the manner of dismissal. Rather than accurately reporting the reason for the worker’s interruption of earnings, the employer provided a Record of Employment stating the worker had been laid off for shortage of work. Additionally, the Record of Employment was provided well beyond the timeframe required. In addition to moral damages, the Court also awarded punitive damages for the very same failure to provide an accurate or timely Record of Employment. Given the consequences for the worker in pursuing their entitlements to Employment Insurance benefits, Courts take a serious approach when employers fail to provide an accurate and timely Record of Employment. The Canada Revenue Agency may also be involved in certain cases related to ROE issuance.