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ARTICLE · 23 APRIL 2020

Canada Emergency Wage Subsidy For Employers Impacted By COVID-19

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Previously, the federal government announced a wage subsidy of up to 10 percent for small businesses, up to a maximum of $1,375 per worker and $25,000 per employer.

CanadaCoronavirus (COVID-19)
Bennett Jones LLP
Bennett Jones LLP
Katelyn Weller
Katelyn Weller
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Previously, the federal government announced a wage subsidy of up to 10 percent for small businesses, up to a maximum of $1,375 per worker and $25,000 per employer. On Friday, March 27, 2020, the federal government announced that the wage subsidy is being increased to 75 percent, with additional details to be released by April 1.

On March 30, 2020, Prime Minister Trudeau further announced that the subsidy will apply to any business that has experienced a revenue decrease of at least 30 percent due to the COVID-19 pandemic, regardless of the number of employees or business size. In addition, the coverage at 75 percent will be available on the first $58,700 of an employee's wages, which amounts to $847 per week. The availability of the wage subsidy will be back-dated to March 15, 2020.

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