Open
Source change captured:
Work-Sharing program
Support for businesses to avoid layoffs
Deadline
Open continuously
Location
Canada
Who can apply
Private businesses, publicly held companies, and certain types of non-profit organizations.
See full eligibility
Overview
The Work-Sharing Program helps eligible employers in Canada avoid layoffs when business activity temporarily decreases beyond their control. It provides Employment Insurance benefits to eligible employees through reduced workweeks, equal sharing of available work, and recovery measures that support a return to normal hours.
/100
Opportunity Score
Moderate potential, but conditions must align.
At a glance
Funding available
Financing goals
- Attract or retain talent
- Develop workforce skills
Eligible Funding
- Varies by project
Funds Providers
Eligible candidates
Eligible Industries
- All industries
Location
- Canada
Legal structures
- Non-profit
- For-profit business
Annual revenue
- All revenue ranges
Organisation size
- 2 employees minimum
Audience
- All groups
Non-profit candidates
Sector of operation
- All industries
Target groups
- All the groups
Revenue structures
- All structures
Scope
- All dimensions
Next Steps
1
Determine your project
Availability timeline
2026
Periods: 1
Activities funded
- Work-Sharing agreements that temporarily reduce employees’ work hours to help avoid layoffs during a temporary decrease in normal business activity.
- Arrangements where participating employees share the available work equally while the business recovers.
Documents Needed
- Attachment A: Work-Sharing Unit (EMP5101).
- The Work‑Sharing application form (EMP5100), if applying by email or mail.
- A recent CRA payroll deductions account (RP) document showing the legal business name, legal business address, and CRA payroll account number, if applying by email or mail.
- An email confirmation from each named representative agreeing to the content of the application and the terms and conditions of the program.
Sources and recorded changes
- Source change captured
- Change recorded
- Record updated
A captured source change or record update does not confirm eligibility. Check the funder’s current rules before applying.
Work-Sharing Program expanded with proposed WRRP
The Work-Sharing Program page now describes a proposed Workforce Retention and Retraining Program, adds funding of up to per participant for training and administrative costs, and extends tariff special measures to March 31, 2028.
The Work-Sharing Program page now describes the proposed Workforce Retention and Retraining Program, which would combine Work-Sharing and the Worker Retention Grant into a single program. It also says the new program would provide funding of up to per participant for training and administrative costs, subject to program requirements, while active Work-Sharing agreements remain in effect without a new application. The page also extends the tariff special measures from March 31, 2027 to March 31, 2028.
Program guide
Application form
Eligibility
Who is eligible?
- Private businesses, publicly held companies, and certain types of non-profit organizations.
- Under the tariffs special measures, employers operating in Canada for a minimum of 1 year, including cyclical or seasonal employers.
- Under the tariffs special measures, non-profit and charitable organizations experiencing a reduction in revenue levels as a direct or indirect result of the tariffs.
- Under the tariffs special measures, businesses that are new to the Work-Sharing Program, have an existing Work-Sharing agreement, or are serving a mandatory cooling-off period.
- Under the tariffs special measures, employers experiencing a decrease in work activity over the past six months of less than 10% and allowing utilization of Work-Sharing to exceed 60%.
Who is not eligible
- Under the regular program, employers whose reduced business activity is due to a labour dispute, including work slowdowns, strikes, lockouts and work stoppages.
- Under the regular program, employers whose reduced business activity is due to a cyclical or seasonal shortage of work.
- Employers whose decrease in available work is due to an increase in the number of employees.
- Employers whose staffing reductions result from business decisions to increase efficiencies or profits by reducing staffing levels.
- Employers that operate solely for the purpose of carrying out the administration of a government program or activity, such as municipalities or Government Agencies, and self-employed individuals.
Ineligible Costs and Activities
- Employment Insurance does not compensate salary costs of employees taking part in training activities during normal scheduled working hours or days.
- The employer cannot intentionally reduce the scheduled working hours of employees in a Work-Sharing unit to allow employees to take part in training.
- Statutory holidays occurring within a Work-Sharing period are not compensated by Employment Insurance and are the responsibility of the employer.
Eligible geographic areas
- Canada
Selection criteria
- The Program Officer conducts a cost analysis comparing the cost related to temporary layoffs and the cost of the proposed Work-Sharing agreement, and a social/community impact assessment.
- To recommend approval, the Program Officer must conclude that Work-Sharing is the appropriate program to address the work reduction, there is a reasonable expectation that participating employees will return to normal working hours by the end of the agreement, and supporting information is on file.
How to apply
- If you do not already have a GCOS account, create one using your organization’s CRA payroll deductions (RP) account number and complete identity verification.
- Apply through Grants and Contributions Online Services (GCOS) by completing the online application form and uploading your supporting documents, including Attachment A - Work-Sharing Unit EMP5101.
- If you cannot use GCOS, complete Application for a Work-Sharing Agreement EMP5100 and Attachment A - Work-Sharing Unit EMP5101.
- If applying by email or mail, include a recent CRA payroll deductions account (RP) document showing the legal business name, legal business address, and CRA payroll deductions account number.
- Send the completed application package to your Regional Work-Sharing Unit and copy the employer representative, employee representative, and union representative, if applicable.
Processing and Agreement
- Service Canada assesses the application to confirm it meets the Work-Sharing Program eligibility criteria, that employer statements are valid, and that all required documents and forms were submitted.
- Service Canada acknowledges receipt of the application, and a Program Officer informs all parties of the status; approval or refusal decisions are provided in writing.
- The Program Officer conducts a cost analysis and a social/community impact assessment, and may contact the employer for additional information before making a recommendation.
- If approved, all parties must sign the Work-Sharing agreement within 60 calendar days of Service Canada’s approval; otherwise, the agreement is cancelled or withdrawn.
- After signing, the agreement must be implemented within 60 calendar days or it is withdrawn; for paper applications, the fully signed agreement and final Attachment A must be scanned to PDF and emailed to the Service Canada program officer, and the original signed documents must be retained for 6 years after termination.
Additional information
- Work-Sharing is a three-party agreement between employers, employees and Service Canada.
- A Work-Sharing unit generally includes all employees in a single job description or all employees who perform similar work.
- Individual employees in the same job description cannot volunteer for Work-Sharing while others decline and continue to work normal hours.
- If work activity increases during the agreement, the extra hours of work must be shared equally among all members of the Work-Sharing unit.
Contacts
Frequently Asked Questions about the Work-Sharing program Program
What is the Work-Sharing program?
The Work-Sharing Program helps eligible employers in Canada avoid layoffs when business activity temporarily decreases beyond their control. It provides Employment Insurance benefits to eligible employees through reduced workweeks, equal sharing of available work, and recovery measures that support a return to normal hours.
What is the deadline to apply?
The program is accepting continuous intake
Who is eligible for the Work-Sharing program program?
To be eligible for the Work-Sharing program program, you must:
Private business, publicly held company or eligible non-profit operating year-round in Canada for at least two years. Temporary work shortage beyond employer control; normally at least a 10% decrease over six months and recovery measures. At least two EI-eligible employees agreeing to reduce hours and share work equally. Tariff measures may allow one year of operations, seasonal or cyclical employers, affected non-profits or charities, and work-activity decreases below 10%.
What expenses are eligible under Work-Sharing program?
Work-Sharing agreements that temporarily reduce employees’ work hours to help avoid layoffs during a temporary decrease in normal business activity.
Arrangements where participating employees share the available work equally while the business recovers.
Who can I contact for more information about the Work-Sharing program?
You can contact Employment and Social Development Canada (ESDC) by email at edsc.dgop.tp.rep-res.ws.pob.esdc@servicecanada.gc.ca or by phone at 1-800-367-5693.
Where is the Work-Sharing program available?
The Work-Sharing program program is available across Canada.
Is the Work-Sharing program a grant, loan, or tax credit?
Work-Sharing program is a Grant and Funding