Unemployment Insurance Account Advance Regulations

Here is a brief overview of the Unemployment Insurance Account Advance Regulations:

The Unemployment Insurance Account Advance Regulations, made pursuant to subsection 137(2) of the Unemployment Insurance Act, 1971, set out the terms and conditions for advances made to the Unemployment Insurance Account from the Consolidated Revenue Fund. These regulations specify that advances must be secured by a promissory note in substantially the form set out in the schedule, signed by the Commission's duly authorized officers.

The regulations also outline the repayment terms, including the payment of interest at an annual rate equal to the rate established by the Minister at the time of the advance. Principal and interest that are overdue shall bear interest at this rate until they are paid in full. Additionally, the Commission may make prepayments on account of principal and interest accrued on an advance with the concurrence of the Minister.

The regulations further provide that payments made by the Commission must be applied firstly in payment of interest accrued on the earliest advance and secondly in repayment or reduction of the principal of that advance, followed by subsequent advances in chronological order.