What is a Record of Employment and Why It Matters?

A Record of Employment (ROE) is an essential document issued by employers in Canada that provides information about an employee's work history, including the duration of employment, reason for separation, and earnings. It is a crucial tool for employees seeking Employment Insurance (EI) benefits and for employers managing their payroll processes.

The ROE is required when an employee stops working, whether due to termination, resignation, or other reasons. Employers must issue an ROE within five calendar days of the employee's last day of work. This timely issuance is critical, as it allows employees to apply for EI benefits without unnecessary delays.

For employees, the ROE provides the necessary documentation to access financial support during periods of unemployment. It outlines their insurable hours and earnings, helping them qualify for EI benefits. Inaccuracies in the ROE can lead to delays or denial of benefits, making it essential for employers to ensure the document is accurate and complete.

For employers, managing ROEs is an important aspect of compliance with Canadian employment laws. Properly issuing and maintaining records can help avoid penalties and improve relationships with employees. Understanding the significance of the ROE and ensuring accurate documentation will benefit both employers and employees in navigating employment transitions effectively.