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Reduce hours instead of laying people off, with EI support for your staff and a top up for training.

5 minute readUpdated October 13, 2026Sources: Government of Canada

What is Work Sharing?

The Work-Sharing Program lets employers facing a temporary slowdown reduce employees’ hours instead of laying people off. Employees on reduced hours can receive Employment Insurance benefits for the days they are not working, so they keep most of their income and you keep your trained team.

The Worker Retention Grant

The Worker Retention Grant builds on Work Sharing. It is available to employers in all sectors with an approved and implemented Work Sharing agreement, and it helps keep participating employees’ pay closer to normal while they work reduced hours and take training.

The amount depends on the number of participating employees, the length of the agreement and how much hours are reduced. It is based on each employee’s reduction in hours and their EI benefit rate, plus employer EI premiums and CPP contributions.

Coming changeThe government has announced a proposed Workforce Retention and Retraining Program that would combine Work Sharing and the Worker Retention Grant, with up to $1,000 per participant for training and administrative costs. Existing agreements remain in effect.

Key dates

  • Worker Retention Grant applications are accepted until December 31, 2027.
  • Grant weeks cannot extend past March 31, 2028 or beyond the remaining weeks of your Work Sharing agreement.

Is it right for your business?

Work Sharing works best when the slowdown is temporary and you expect to need your full team again. It pairs well with Regional Tariff Response Initiative liquidity assistance, as long as the same wage costs are not reimbursed twice. We help clients plan the combination so every program stays within its rules. Check your eligibility.

Source: Employment and Social Development Canada, Worker Retention Grant page, 2026.

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