At some point, all Canadian employers will have to create and issue a record of employment (ROE) for an employee. This could be because the employee resigns, is terminated, takes leave or experiences an interruption of earnings. Although the process may seem simple, providing incorrect information or choosing the wrong entry from the list of ROE reason codes can hold up Employment Insurance claims and put employers at compliance risk. It is important to stay current with filing requirements and deadlines. Payroll laws will continue to change in 2026. This guide examines what an ROE is and when it is required to be issued. It explains how to file it and highlights the changes every employer must know.
What Is a Record of Employment (ROE)?
A record of employment (ROE) is the document that captures the details of that interruption: who the employee is, how much they earned, how many insurable hours they worked, and why their employment or earnings stopped.
- Multiple ROEs per employee are normal. One person can generate several ROEs over their career with the same employer if they go through multiple layoffs, leaves, or reduced-hours periods.
- It’s tied to a specific reason. Each ROE includes a code explaining why the interruption happened, which Service Canada uses to assess EI eligibility.
- It’s a legal record. Employers are required to keep ROE-related payroll records for six years, even after the form has been submitted.
When Employers Must Issue an ROE
- The 7-day rule. An interruption of earnings occurs when an employee goes seven consecutive calendar days without work or pay.
- The 60% rule. An interruption also occurs when an employee’s weekly earnings fall below 60% of their regular weekly pay, even if they’re still working reduced hours.
- Common triggers. Layoffs, terminations, resignations, leaves of absence, illness, maternity or parental leave, and retirement all count as interruptions that require an ROE.
How to Submit an ROE
ROE Web (electronic filing).
Employers can file directly through Service Canada’s ROE Web portal, either by entering data manually or uploading files.
Payroll provider bulk transfer.
Many businesses submit ROEs through their payroll software using the Secure Automated Transfer (SAT) method, which batches multiple ROEs at once.
Paper ROE.
A small number of employers still use the three-part paper form: one copy for the employee, one for Service Canada, and one retained by the employer.
Electronic filing is strongly preferred.
Service Canada continues to push employers toward electronic filing, and most payroll providers now file automatically through ROE Web. Employers should confirm directly with Service Canada whether their filing volume or size triggers a mandatory e-filing requirement, since this threshold can change and isn’t consistent across all guidance.
What Information Goes on an ROE
1. Employee details:
Full name, Social Insurance Number, contact information, and occupation.
2. Employer details:
Legal business name, business number, and address.
3. Employment dates:
The first day worked and the last day worked in the relevant period.
4. Earnings and hours:
Total insurable hours, total insurable earnings, and the pay period type used.
5. Reason code:
The code that explains why the interruption occurred, which determines how the claim is processed.
ROE Reason Codes List
Getting the code right matters because it directly affects how quickly and accurately an employee’s EI claim is processed. Here’s a simplified ROE reason codes list employers should keep on hand:
- Code A: Shortage of work or end of contract or season.
- Code B: Strike or lockout.
- Code C: Return to school. Note: Service Canada is phasing this code out. Current guidance directs employers to use Code E (Quit) with a “Return to school” notation instead.
- Code D: Illness or injury.
- Code E: Quit.
- Code F: Maternity leave.
- Code G: Retirement (mandatory or voluntary).
- Code H: Work-sharing.
- Code J: Apprentice training.
- Code K: Other reasons not listed elsewhere.
- Code M: Dismissal or termination for cause.
- Code N: Leave of absence.
- Code P: Parental or adoption leave.
- Code Z: Compassionate care or family caregiver benefits (also used for the separate self-employed fisher ROE).
Employers should always double-check the applicable code against Service Canada’s current guidance before submitting, since incorrect codes are one of the most common causes of ROE disputes.
Deadlines for Issuing an ROE
- Electronic ROEs: Due within 5 calendar days of the interruption of earnings, or 5 days after the end of the pay period in which the interruption occurred.
- Employers on a monthly or semi-monthly pay cycle: Due on whichever comes first, 5 days after the end of the pay period or 15 days after the first day of the interruption.
- Paper ROEs: Due within 5 calendar days of the interruption, or 5 days after the employer becomes aware of it.
Compliance and Penalties
- Accuracy is non-negotiable. Errors in hours, earnings, or reason codes can delay an employee’s EI claim or trigger an audit.
- Late filing carries risk. Employers who miss deadlines can face fines and legal consequences from Service Canada.
- Recordkeeping is a six-year obligation. Payroll and ROE-related records must be retained and accessible even after submission.
- Confidentiality matters. ROE data includes sensitive personal and financial information, so it needs to be stored and transmitted securely.
2026 Updates Canadian Employers Should Know
- EI premium rate: Set at $1.63 per $100 of insurable earnings for employees, a one-cent decrease from 2025. Employers pay $2.28 per $100 (1.4 times the employee rate).
- Maximum insurable earnings (MIE): Increased to $68,900 for 2026, up from $65,700 in 2025.
- Filing trends: Service Canada continues to move employers toward electronic filing through ROE Web, though paper ROEs remain an option for smaller employers.
ROE Requirements for Nonprofits and Charities
- No exemptions apply. Nonprofits and registered charities follow the same federal ROE rules as any other employer.
- Seasonal and grant-funded roles count too. If funding runs out or a contract ends, that’s still an interruption of earnings requiring an ROE.
- Volunteer-to-paid transitions need tracking. Once a volunteer starts receiving pay, their insurable hours and earnings need to be recorded from that point forward for future ROE purposes.
The Bottom Line for Employers
Getting the ROE right directly determines whether a former or reduced-hours employee can access EI, and how quickly. Canadian employers who understand what an ROE means, know how to complete one accurately, and keep the full list of reason codes on hand will avoid the most common compliance headaches heading into 2026.
SMR CPA offers reliable payroll, bookkeeping, tax and accounting services to Canadian businesses. The team, who is experienced in the government sector, keeps you compliant with changing payroll laws so employers lower the risk of compliance on an everyday basis. Get in touch with SMR CPA today for trusted payroll support for your business.
Frequently Asked Questions
1. What is ROE in Canada?
A Record of Employment is the mandatory federal form employers submit to Service Canada whenever an employee has an interruption of earnings. It documents the employment period and reason for the interruption. Service Canada uses it to process Employment Insurance claims. Employers must issue it accurately and on time, since it’s the document that starts the EI claims process for the employee.
2. What is a record of employment (ROE) used for?
Service Canada uses the ROE to calculate an employee’s EI eligibility, weekly benefit amount, and the maximum number of weeks they can receive benefits. It includes details like insurable earnings and hours worked. Without an accurate ROE, EI applications can be delayed or processed incorrectly, so employers need to complete it carefully and submit it promptly after the interruption of earnings occurs.
3. Do employers in every province follow the same ROE rules?
Yes. ROE requirements come from federal legislation, not provincial law, so employers in Ontario, Alberta, British Columbia, and every other province and territory follow identical rules. The form, deadlines, and reason codes are consistent nationwide. Employment standards vary by province, but ROE issuance itself does not, since Employment Insurance is a federal program administered by Service Canada across the country.
4. Where can I find the full ROE reason codes list?
Service Canada publishes the complete, current list of ROE reason codes on its official website. Employers should check there directly rather than relying on older references, since codes are occasionally updated or clarified. Using the correct code matters because it affects how Service Canada assesses an employee’s EI claim. Always confirm the latest version before filing an ROE.
5. What happens if an employer issues an ROE late?
Late filing can delay an employee’s access to EI benefits when they need income support most. It may also expose the employer to penalties or other legal consequences under federal rules. Employers are required to issue ROEs within specific deadlines after an interruption of earnings, so timely, accurate submission protects both the employee’s claim and the employer’s compliance standing.
6. Can an employee request their own ROE?
Yes. If an employer fails to issue an ROE within the required timeframe, the employee can contact Service Canada directly to request it. Service Canada can then follow up with the employer to obtain the missing form. This gives employees a way to move their EI claim forward even when there’s a delay or dispute over the employer’s paperwork.
