Employers whose revenue decreased by 30% due to COVID-19 eligible for wage subsidy: Trudeau
Prime Minister Justin Trudeau said that businesses impacted by COVID-19, no matter the size, will be eligible for wage subsidy if revenue has decreased by at least 30%.
On Monday morning, during his daily updates, Trudeau shared further details on the eligibility criteria for the Canada Emergency Wage Subsidy introduced last week.
Initially, the federal government said it would increase its wage subsidy for small and medium-sized businesses to 75% to avoid layoffs.
According to Trudeau, this move will be backdated to March 15, and will be in place for up to three months.
Monday’s announcement clarified that no matter the size of the business, if the revenue was decreased by 30%, the government will cover 75% of an employee’s salary on the first $58,700 earned, up to $874 per week.
This also applies to non-profits and charities.
Further details are expected to be released this week.
Trudeau said that this “will make a real difference in your lives” and added that the Canadian government is “making sure you have a job to come back to when we’re through this.”
As for businesses, the prime minister said he is trusting the employers do the right thing, and warned of “serious consequences” for businesses that try to take advantage of the system.
“Every dollar of this should go to workers,” he said. “We are trusting you to do the right thing.”
Trudeau also continues to ask everyone to stay home as much as possible.
During the update, the prime minister said that none of the provinces have not asked for army response at this time.
“Our top priority is to get you the help you need,” he said. “We must be prepared for any scenario.”
Trudeau added that armed forces have been gearing up to help Canadians in their time of need.
Last week, when Trudeau introduced the Canada Emergency Wage Subsidy, he also said there will be $12.5 billion available through Export Development Canada and the Businesses Development Bank of Canada to help with cash flow.
He also announced the government will defer HST and GST payments and custom duty payments until June.
Starting today, travellers exhibiting symptoms of coronavirus will be denied boarding domestic flights and trains, Trudeau announced Saturday.
And on Sunday, the prime minister announced the government is giving $9 million to the United Way to help seniors deal with isolation measures during the coronavirus pandemic.
The money will go to the United Way’s New Horizons program, so workers can visit more seniors and help them with grocery shopping or check on their health.
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