“Fix EI Now!”
Outdated federal benefits are leaving precarious and underemployed workers behind, leading them to increasingly rely on food banks for survival, according to a new report from Food Banks Canada.
“The underlying system has not been fully modernized for decades,” the organization stated in its 2026 Poverty Report Cards, released on Monday, June 1. The labor market has shifted toward part-time, temporary, and contract work, while EI continues to cater to a shrinking workforce that has stable, full-time employment with a single employer.
The report highlights that EI’s eligibility requirements are at the core of this issue, noting the need for claimants to accumulate a specific number of insurable hours within a designated period. This requirement has become increasingly difficult to meet as the focus shifts toward gig work, multiple jobs, or contract work with irregular hours. As a result, it is becoming increasingly difficult for workers—even those with consistent jobs—to qualify for EI.
Kirstin Beardsley, the CEO of Food Banks Canada, remarked in a press statement that Canada’s Employment Insurance (EI) model is outdated and poses one of the greatest threats to the country’s resilience, especially as unemployment remains high and households struggle with the rising cost of living.
“EI was built at a time when full-time employment was the norm,” said Richard Matern, the director of research at Food Banks Canada. “However, we see an increasing number of people in part-time, casual, or precarious jobs who are having difficulty making ends meet.”
The harsh reality is that the current EI system cannot adequately support these workers.
Matern emphasized the urgent need for a revised EI program and suggested that the federal government should increase EI coverage rates from the current 55% of previous income to a higher percentage.
In response to the Food Bank report, Jobs Minister Patty Hajdu indicated that her department is reviewing the information to strengthen the social safety net.
Hajdu’s office referenced upcoming initiatives to support lower-income households, including a top-up to the GST benefit, now dubbed the Canada Groceries and Essentials Benefit. Payments equal to half the annual benefit will begin distribution to eligible recipients on Friday, while temporarily higher quarterly payments are set to start next month.
The Food Banks Canada report highlighted the groceries benefit program as offering “cautious optimism,” despite ongoing challenges related to food insecurity.
Hajdu’s office also mentioned recent reforms aimed at improving access to EI, although the statement focused on providing workers in industries affected by U.S. tariffs with greater flexibility.
“The Government of Canada will continue to listen to Canadians and be responsive to their needs as we navigate uncertainty,” read the Minister’s official statement.
*****