$82 billion federal government aid package – high points for employers
The Federal Government just announced various COVID-19-related measures in its Canada’s Covid-19 Economic Response Plan: Support for Canadians and Businesses. The full statement can be found here.
The following may be of particular interest to employers:
Emergency Care Benefit
The “Emergency Care Benefit provides up to $900 bi-weekly, for up to 15 weeks. This flat-payment Benefit would be administered through the Canada Revenue Agency and provide income support to:
- Workers, including the self-employed, who are quarantined or sick with COVID-19 but do not qualify for EI sickness benefits.
- Workers, including the self-employed, who are taking care of a family member who is sick with COVID-19, such as an elderly parent, but do not quality for EI sickness benefits.
- Parents with children who require care or supervision due to school closures, and are unable to earn employment income, irrespective of whether they qualify for EI or not.”
Small business relief
“To support businesses that are facing revenue losses and to help prevent lay-offs, the government is proposing to provide eligible small employers a temporary wage subsidy for a period of three months. The subsidy will be equal to 10% of remuneration paid during that period, up to a maximum subsidy of $1,375 per employee and $25,000 per employer. Businesses will be able to benefit immediately from this support by reducing their remittances of income tax withheld on their employees’ remuneration. Employers benefiting from this measure will include corporations eligible for the small business deduction, as well as non-profit organizations and charities.”
Archive
Kathleen Leighton On March 18, 2020, Newfoundland and Labrador declared a public health emergency as a result of the COVID-19 pandemic. While a declaration of public health emergency is in effect, the Chief Medical Officer…
Read MoreBrian Johnston, QC and Brittany Trafford Governments and employers are strategizing ways to open economies, businesses and services following unprecedented closures around the world.1 In Canada, each Province is taking its own approach and various…
Read MoreStephanie Stapleford, Andrew Burke, Mike Carver, Matthew Craig and Divya Subramanian Part 1: Virtual shareholders’ meetings The escalating COVID-19 crisis, and federal, provincial and local governments’ directives for individuals to comply with social distancing policies,…
Read MoreKimberly Bungay In the spring sitting of the legislature, the Nova Scotia government introduced Bill 226, which amends the Companies Act (the “Act”) to require companies incorporated under the Act to create and maintain a…
Read MoreCatherine Lahey, QC, Iain Sinclair and Robert Bradley The Province of New Brunswick declared a State of Emergency on March 19, 2020 related to the COVID-19 pandemic and issued a Mandatory Order stipulating restrictions on…
Read MoreHalifax Partners Richard Niedermayer, TEP, Secretary, STEP Canada, and Tim Matthews, QC, TEP, and Articled Clerk Madeleine Coats, have prepared a useful resource for STEP Canada members outlining the options in place for having estate…
Read MoreJoe Thorne In our update on April 2, 2020, Newfoundland and Labrador passes law to allow variation periods and statutory timelines during COVID-19 pandemic, we reported on Newfoundland and Labrador’s passage of the Temporary Variation…
Read MoreRick Dunlop The question on many businesses’ mind is when and what exactly does an end to the COVID-19 lockdown look like. The Economist describes various European government’s easing of COVID-19 restrictions as being done…
Read MoreBurtley Francis In a statement issued on April 18, 20201, the federal government (through Innovation, Science and Economic Development Canada) signalled that certain foreign investments into Canada will now face enhanced scrutiny under the Investment…
Read MoreStephanie Stapleford and Allison Whelan,LL.M In a previous Thought Leadership piece, “Tax update – response to COVID-19” (26 March 2020), we reviewed the Federal COVID-19 Emergency Response Act and provided an update on operational changes…
Read More