Government of Canada Announces Rapid Response Supports for Workers and Employers

The Government of Canada’s newly announced Rapid Response Supports for Workers and Employers is a $3.5 billion package that will provide targeted support to workers and businesses impacted by U.S. tariffs.

The package was announced this week by the Honourable Patty Hajdu, Minister of Jobs and Families and Minister responsible for the Federal Economic Development Agency for Northern Ontario, alongside the Honourable François-Philippe Champagne, Minister of Finance and National Revenue, the Honourable Mélanie Joly, Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions, and the Honourable Evan Solomon, Minister of Artificial Intelligence and Digital Innovation and Minister responsible for the Federal Economic Development Agency for Southern Ontario.

Support for Workers

To ensure workers can access income support when they need it, the Government of Canada is:

  • Extending by one year the temporary Employment Insurance (EI) measure that waives the one-week waiting period.
  • Extending by one year the temporary EI measure that allows workers to receive benefits without first exhausting separation payments such as severance or vacation pay.
  • Extending by eight months the temporary EI measure that provides an additional 20 weeks of EI regular benefits for long-tenured workers.
  • Introducing a new one-year temporary measure that will allow workers who voluntarily left a previous job in recent months to access EI, provided their most recent job loss was through no fault of their own.

The package will also help workers transition into new opportunities by strengthening job-matching services through Job Bank, including highlighting opportunities associated with major projects, Build Canada Homes initiatives, and defence procurement investments.

Support for Employers

To help employers retain workers and navigate economic uncertainty, the Government of Canada will:

  • Establish a new Workforce Retention and Retraining Program, combining the existing EI Work-Sharing Program and Worker Retention Grant into a single, streamlined approach.
  • Continue and enhance Work-Sharing flexibilities to help businesses avoid layoffs and retain skilled employees.
  • Provide additional funding to employers to support training and administrative costs, with funding of up to $1,000 per participant.

These measures are intended to provide fast and flexible support to workers and employers, helping businesses retain talent while ensuring Canadians can access income supports, training, and new employment opportunities during a period of economic uncertainty.