Regular EI beneficiaries increase for third consecutive month across Canada

Employment Insurance recipients in Canada rise 2.2% in July, led by increases in major provinces

Regular EI beneficiaries increase for third consecutive month across Canada

In July, Statistics Canada reported that 489,000 Canadians were receiving regular Employment Insurance (EI) benefits, an increase of 2.2 percent (or 11,000) compared to the previous month.  

This marks the third consecutive month of increases in EI beneficiaries. Before these rises, the number of people receiving regular EI benefits remained relatively stable since September 2023. 

Compared to July 2023, there were 44,000 more regular EI beneficiaries, reflecting a year-over-year increase of 10.0 percent. 

According to the Labour Force Survey, the unemployment rate rose 0.3 percentage points to 6.4 percent in the three months leading up to July 2024, as more individuals actively searched for work. Employment levels held steady, but the unemployment rate was 0.9 percentage points higher than a year earlier. 

Additionally, the number of unemployed individuals who had been laid off increased by 12.2 percent (+66,000), reaching a total of 604,000 (not seasonally adjusted). 

Variations in the number of EI beneficiaries typically reflect shifts in various groups, such as those starting or returning to work, those exhausting their benefits, and those no longer receiving benefits for other reasons.  

In July, the number of regular EI beneficiaries rose across most major demographic categories. Men aged 55 and older experienced a 3.1 percent (+2,500) increase, while core-aged men (ages 25 to 54) saw a 1.7 percent (+3,100) rise.  

However, the number of young men aged 15 to 24 receiving EI benefits remained mostly unchanged. 

Among women, the number of core-aged recipients increased by 3.1 percent (+3,700), and for women aged 55 and older, there was a 2.2 percent (+1,100) increase. Young women receiving regular EI benefits saw a smaller rise of 1.6 percent (+200) in the same month. 

On a year-over-year basis, all major demographic groups experienced an increase in the number of regular EI beneficiaries. Core-aged women saw the largest increase at 13.1 percent (+14,000), followed by men aged 55 and older, whose numbers grew by 10.1 percent (+7,600).  

Core-aged men recorded a 9.8 percent rise (+17,000), while the number of young women and young men receiving EI benefits increased by 7.4 percent (+900) and 4.7 percent (+1,500), respectively. 

Provincially, regular EI beneficiaries rose in seven provinces in July. New Brunswick posted the largest proportional increase, followed by Alberta, Saskatchewan, and Ontario.  

In New Brunswick, the number of EI beneficiaries grew by 23.7 percent (+5,700), with nearly one-third (32.2 percent) of this increase attributed to those last employed in trades, transport, and equipment-related occupations.  

Alberta saw a 4.8 percent (+2,400) increase, mainly among beneficiaries aged 55 and older (+5.5 percent) and core-aged recipients (+5.4 percent). On a year-over-year basis, Alberta had a 15.7 percent (+7,200) increase in regular EI beneficiaries. 

Saskatchewan recorded a 3.2 percent (+500) rise in July, the second increase in three months, largely due to core-aged recipients (+3.7 percent). Year-over-year, Saskatchewan saw a 9.7 percent (+1,300) rise in EI beneficiaries.  

In Ontario, regular EI recipients increased by 3.0 percent (+4,500), led by core-aged women, whose numbers jumped by 7.6 percent (+3,300). Ontario also accounted for 69.3 percent of the total increase in EI beneficiaries across Canada.  

Year-over-year, Ontario experienced a 24.2 percent (+31,000) rise in EI recipients. 

Conversely, Quebec was the only province to see a decrease in regular EI beneficiaries, with numbers dropping by 4.2 percent (-4,800) after two months of increases. 

Occupationally, most groups saw an increase in EI beneficiaries year-over-year, except for those in art, culture, recreation, and sport (-13.5 percent; -2,000) and natural resources, agriculture, and related production (-6.6 percent; -2,100).  

The largest proportional increase occurred in manufacturing and utilities occupations, where EI beneficiaries increased by 25.8 percent (+8,500).  

This rise was particularly notable among machine operators, assemblers, and inspectors in processing, manufacturing, and printing (+44.3 percent; +6,400), mainly in Ontario. There was also a 24.0 percent (+6,700) increase in EI recipients from natural and applied sciences occupations.