In this paper we estimate the impact of an extension of maximum EI sickness benefits beyond 15 weeks using Statistics Canada’s Social Policy Simulation Database and Model (SPSD/M). The model allows us to estimate how many people might use the additional benefit each year and what the net annual cost would be if the maximum sick leave were extended. The paper opens with a brief history of EI sick leave and a snapshot of annual usage patterns and costs. Results of the modelling exercise are then presented with a discussion of potential implications. The paper concludes that an extension of EI sick leave to as much as 30 weeks offers meaningful benefits at a reasonable cost.
The costs and benefits of an extension to the maximum duration of employment insurance sickness benefits
July 12, 2018