Opting instead for an increase of $0.07 for every $100 of insurable income in 2011, Flaherty says the plan will help keep Canada’s economic recovery on track.
The Canadian Restaurant and Foodservices Association (CRFA) represented one of the loudest voices of opposition to the original notion of raising the premiums by the full allowable amount, and have declared at least a partial victory in the recent decision.
“The Minister has heard us, and we’re pleased he is taking steps to bring the runaway EI premium train under control,” says Garth Whyte, president and CEO of the CRFA. “In an industry like ours that invests in people, not machinery, payroll taxes are a huge issue. Today we’ve been told the EI hurricane threat has been downgraded from level 5 to level 2.”
In all, Canadian restaurants will still contribute about $10 million more in EI premiums for 2011 than they did in 2010, while employees will also see their rate jump by $0.05 for every $100 of insurable income.
