As a business owner in Canada, being acquainted with the concept of Record of Employment (ROE) is crucial. These documents play a pivotal role in ensuring that your employees can access insurance coverage during periods of work cessation or income disruption. This article explores the significance of ROE in Canada and outlines the process of obtaining it.
What is Record of Employment (ROE)?
A Record of Employment (ROE) is a standardized form regulated by the Canada Revenue Agency (CRA), providing a comprehensive employment history for individuals. This document is essential for employees seeking Employment Insurance (EI) benefits in the event of disrupted earnings, as it is filed with the government.
Importance of ROE for Employers in Canada
For employers in Canada, the completion and submission of a Canadian Record of Employment are vital when an employee with insurable earnings experiences a gap in income.
This document serves as a primary employment record, determining the eligibility of employees for EI benefits and preventing fraudulent claims. Employers must understand the implications of ROE to comply with labor regulations in Canada.
When Should Employers Issue an ROE?
Employers in Canada are required to issue an ROE when an employee’s earnings are interrupted. This can occur due to various reasons, such as temporary layoff, resignation, termination, illness, injury, pregnancy, or caring for a terminally ill family member. Understanding when and how to issue an ROE is essential for employers to fulfill their obligations within the specified time frames.
ROE Codes and Their Meanings
ROE forms include specific codes that convey the reason for the interruption of earnings. These codes help categorize the circumstances under which the employee is no longer working or experiencing reduced income. Some common ROE codes and their meanings include:
- A00 : SOW / End of Contract or Season
- D00 : Illness or Injury
- E00 : Quit
- F00 : Maternity
- G00 : Mandatory Retirement
- K00 : Other
- M00 : Dismissal
- N00 : Leave of absence
Steps to Obtain Record of Employment Canada
To obtain a Record of Employment in Canada, your employer must fill out the necessary form with details about your work history. There are two methods for providing the ROE:
- Electronic Submission: Employers can electronically submit the ROE to the government and provide a copy to the employee. In this case, a paper copy is not required, and employees can view their ROE online through a My Service Canada Account.
- Paper Copy: When an employee’s earnings are interrupted, the employer must provide a paper copy of the ROE within five days. This ensures timely access to crucial information for the affected employee.
Conclusion
The role and significance of Record of Employment (ROE) is paramount for employers in Canada. Timely and accurate submission of ROE forms is not only a legal requirement but also ensures that employees can access the necessary benefits during periods of income disruption. Employers must be familiar with the ROE process to uphold labor regulations and support their workforce effectively.
