Claimants should never have paid premiums; they were never eligible
The truth about the EI clawback scandal brewing in Nova Scotia is that none of the claimants should have been paying EI premiums in the first place. The government knows very well that family members working in the family business are almost always ruled ineligible to collect EI. Yet the government continues to collect EI premiums from these unsuspecting, law-abiding people.
For more than 20 years, Grants International has led successful court challenges against the government to win back EI premiums that were wrongfully collected. Grants International founder and president Darren Earn is one of the country’s foremost experts on how the EI system penalizes family businesses.
“You can pay premiums for your entire life and you’ll only find out that you get denied benefits when you apply for them,” says Earn. “The government will almost always tell you that you have to pay EI premiums even if you’re closely related to the owner of the business, but then they will deny claims made by those people.”
The Nova Scotia case that is in the news now – where 185 people were denied claims – is likely just the tip of the iceberg. The government has said it wants to recover money it paid out to these people as well.
“This could be a sign the government will be going after similar family-run businesses across the country,” said Earn. “People need to know the truth about EI: if you work for your family, in most cases, you shouldn’t be paying premiums, because you will never collect. And if you collected EI in the past, the government may come and ask forÂ it back.”
Mr. Earn is available for interviews to discuss the shortcomings of the EI system when it comes to family businesses. He can also discuss the legal challenges his company has successfully led against the government to recover premiums unfairly collected.
Darren Earn, President
204-291-4092 – mobile