With the Canadian government expanding the Canada Summer Jobs program to create up to 6,000 additional employment opportunities, more businesses are welcoming students into their operations this season. It’s great news for youth employment and for employers looking for energetic, eager-to-learn team members during their busiest months.
But if you’re considering hiring summer students for the first time, or scaling up your seasonal staff, you’ll want to make sure you’re clear on your responsibilities – especially when it comes to employment insurance (EI), workplace safety, and insurance coverage. Here’s what employers in Canada need to know before welcoming a summer student onto the team.
What Is the Canada Summer Jobs Program?
The Canada Summer Jobs (CSJ) program is a federal initiative designed to help young Canadians aged 15 to 30 gain valuable work experience. It provides wage subsidies to eligible employers to help offset the costs of hiring students during the summer months.
Thousands of small businesses and non-profits across the country benefit from this funding each year – but whether you’re participating in CSJ or hiring independently, the same employment insurance and workplace safety obligations apply.
Are Summer Students Eligible for Employment Insurance?
In most cases, yes. If a summer student is considered an employee and earns insurable income (e.g. wages, salary, hourly pay), you are required to deduct EI premiums from their pay and contribute the employer portion as well – just like you would with any other staff member.
Employment insurance provides income support if the student becomes unable to work due to illness, injury, or job loss (outside of voluntary departure). While they may not always qualify for benefits – depending on how long they’re employed and how much they earn – the deductions and contributions are still required under federal law.
What About Workplace Injuries?
Regardless of how long they’re with you, summer students must be protected under your workplace insurance coverage. This includes:
- WSIB/WCB coverage (depending on your province): This protects both you and the employee in the event of a workplace injury or illness.
- Commercial General Liability (CGL): Covers bodily injury or property damage a student may cause while working under your direction.
- Non-Owned Auto Coverage: If your student will be driving a personal or company vehicle for business purposes, additional coverage may be required.
If your business doesn’t currently employ minors or students, it’s worth contacting your insurance broker to confirm your existing policy is still appropriate based on the nature of the work and employee age group.
Should Summer Students Be on My Group Benefits Plan?
Group benefits plans are generally designed for permanent or long-term employees, but some employers choose to offer limited benefits to seasonal staff, especially if the role is physically demanding or in a high-risk setting.
You’re not obligated to include temporary employees in your group plan unless your policy states otherwise, but it’s always worth reviewing with your provider. If you do decide to extend benefits, be sure to clearly communicate coverage dates and limitations upfront.
Best Practices for Employers Hiring Students
- Create a clear job description outlining duties, work hours, and expectations.
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Train students thoroughly, especially on workplace safety protocols.
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Document payroll deductions (including EI, CPP, and taxes) correctly from day one.
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Check your province’s employment standards regarding breaks, hours of work, and minimum wage rules for students.
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Connect with your broker to review your liability and workplace coverage before they start.
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Hiring summer students is a great way to support your business and contribute to Canada’s future workforce. But with that opportunity comes responsibility – especially when it comes to employment insurance and workplace protection. By staying informed, getting the right coverage in place, and creating a safe, inclusive work environment, you’ll be well-positioned to offer students a positive experience and protect your business at the same time.
Need help reviewing your insurance coverage before bringing on summer staff? Our team of pros can guide you through everything from liability to WSIB compliance and more. Contact us to book a consultation, today.
