Changes to EI benefits threaten hundreds of automotive workers

Temporary changes made to the employment insurance (EI) program during the COVID-19 pandemic are about to expire later this month, threatening access to jobless benefits for nearly 300 automotive workers at Syncreon Automotive in Windsor, Ont.

The employees already expect to be out of work permanently in the fall, after it was revealed the plant would close on Oct. 30 when Stellantis ended its contract.

Rob Kennedy, a worker at Syncreon Automotive and vice-president of Unifor Local 195, says that since the onset of the pandemic, he and others at the plant have relied on EI extensively because of repeated closures due to a chip shortage and supply chain issues.

“It's just one after another for these poor workers,” Kennedy says. “And it's not something that we asked for.”

Under the temporary measures, workers qualify for EI based on a national requirement of having 420 insurable employment hours, whereas workers would normally need between 420 and 700 hours depending on the regional unemployment rate. Additionally, under the temporary measures monies paid on separation from a job, such as severance, are not deducted from benefits.

However, on Sept. 25 the program will revert to its original framework according to Kennedy.

Kennedy fears many might be ineligible for EI due to the expiration of the measures that eased access to benefits.

“We didn't ask for COVID. We didn't ask for the chip shortage. We didn't ask for the part shortage. Nothing's changed but yet the government right now is thinking that we can revert everything back to being normal,” he says.

Kennedy noted the union is meeting with Government of Canada officials, imploring local representatives to do more, worried many may become homeless along with their families.

“We're asking point blank, help these workers. There's no reason to change the temporary measures right now,” Kennedy says. “They need to extend them.”

He continues, “EI is employee’s money and employer money. It's not the government's money. Our average age is roughly 50 years. We have workers with 20 years plus, and it's not gonna be easy for them to reintegrate right back into the job market.”

Meanwhile, Windsor City Council will discuss sending a letter during its next meeting on Sept. 6 encouraging the federal government to allow Syncreon Automotive employees access to their full employment insurance entitlements, and not penalize terminated employees for receiving severance.

Windsor Mayor Drew Dilkens says, “The end of their job is directly related to effects of the pandemic and supply chain challenges. So the system has to be flexible enough to deal with what we're seeing happening on the ground. Not some arbitrary date that was chosen at the end of September.”

Dilkens adds, “Someone needs to apply some intelligence to the decision and allow Syncreon employees to be able to collect the EI in a sensible way when they’re terminated in October.”

CTV News Windsor reached out to the Ministry of Employment, Workforce Development and Disability Inclusion regarding an extension and has yet to receive a response.

— With files from The Canadian Press