On April 28, 2026, the Institute released the Spring Economic Update through its Late Breaking Payroll News.
On June 19, 2026, the Department of Finance Canada announced that Bill C-30, An Act to implement certain provisions of the Spring Economic Update tabled in Parliament on April 28, 2026, received Royal Assent.
Key measures included in the legislation are:
- A reduction in the Canada Pension Plan (CPP) contribution rate, effective January 2027; and
- An extension of Employment Insurance (EI) support for seasonal workers through October 2028.
Employers must:
- Prepare to update their payroll systems either internally or via their payroll software service provider once the new CPP rates are effective;
- Communicate the CPP rate reduction to employees; and
- Be aware of the extension of the EI support measures.