Can an employee receive both short-term disability and EI benefits at the same time?

Receiving both short-term disability benefits and Employment Insurance (EI) benefits simultaneously is a situation that many individuals navigate, and the correct understanding is that it typically leads to a reduction or offset of benefits. When an employee is on short-term disability, they are often receiving financial support from their employer’s disability insurance plan. If that employee also applies for EI benefits, particularly for sickness, the combined income from both sources may exceed what is considered allowable under the EI program.

This means that EI benefits could be reduced to account for the short-term disability payments, ensuring that the total income does not exceed a specific threshold. Most jurisdictions have provisions in place to avoid situations where individuals might receive a double benefit for the same period of unemployment or incapacity.

Thus, the nature of the relationship between these two types of benefits forms the basis of the rationale behind the offset or reduction, highlighting the importance of understanding how different benefit programs can interact and impact an individual’s financial situation during periods of disability or unemployment. This knowledge is crucial for employees to ensure they are making informed decisions regarding their benefits and understand any potential implications of receiving multiple forms of assistance.