Brothers & Sisters,
If you are retiring soon or have recently retired, and are receiving the $50K Retirement incentive, it is important that you contact Service Canada.
Inform Service Canada agent that you would like to end your EI claim due to your retirement. You can inform the government that you will be receiving a retirement incentive payment of $50,000.00 after your retirement date and:
- The $50k should not be allocated to previous weeks of lay-off.
- This payment is not retroactive to your last day worked.
- It is only paid if, and when you retire and should be allocated to weeks following your retirement date.
This is important because some Service Canada agents misunderstand the $50K Retirement Incentive payment or may have not read the message on their memo board.
Call Service Canada at 1-800-206-7218.
When you retire, the Ford Motor Company sends an updated Record of Employment (ROE) showing the $50K payment. This ROE will reflect your last physical day worked but not your actual retirement date. Some Service Canada agents see the amended ROE showing the payment of $50K and assume that this payment was meant for the start of your claim. They do not realize that the payment was an incentive to retire. They may wrongfully determine that you were not eligible for EI benefits from the start of your claim and create an overpayment situation in error. Some previous retirees have run into this issue and are trying to correct the error.
We have communicated with Service Canada to preemptively correct this issue and though they understand and agree that the $50K is not to be considered earnings during layoff, they still have red-tape and their own processes that complicate a quick resolve. Even though we have provided information and clarification, Service Canada agents work from all across Canada and some may miss the memo. Once an agent makes a decision, it is difficult to overturn without going through a formal request for reconsideration process.
But, if you are proactive and call Service Canada as suggested, it may help to avoid unnecessary complications and frustrations.
Which is why, I am encourage anyone retiring to give Service Canada a call at 1-800-206-7218 and inform them of your retirement. If asked when you made the decision to retire, tell them the date of your retirement and it was due to the Retirement Incentive offer. Up until your retirement date you were looking for a job and ready, willing, and able to work.
Can you continue to collect EI once you retire from the Ford Motor Company?
The answer is not at this point in time. You must report your pension income and the $50K incentive and this will affect your ability to collect any EI benefits on your current claim.
If you return to the workforce and require EI benefit in the future then, yes, you can apply at that time. However, you would be required to re-qualify for EI, with enough insurable hours from work at your new employment and you would also need to report any pension income during that new EI claim.
In Solidarity,
Paul Ivey
UNIFOR Local 707
Benefit Representative
Phone# 905-845-2511 ext# 3360
