On July 17, 2020, in response to public consultations, the
Department of Finance, introduced draft legislative proposals which,
if implemented, would extend the Canada Emergency Wage Subsidy
(CEWS) to December 19, 2020, and significantly
redesign the program.
Of particular note, under the proposed amendments, effective
July 5, the CEWS would be redesigned to include two components:
- a scaled base subsidy available to
all employers who experience any decline in monthly
revenues; and
- a scaled top-up subsidy available to
employers who experience a three-month average revenue drop
of more than 50 percent.
The maximum wage subsidy would be available where an employer
experiences a more than 50 percent drop in monthly revenues
combined with a 70 percent drop in three-month average
revenues—in such a case, the subsidy would initially be 85
percent of an employee's remuneration up to a maximum weekly
benefit of $960, but this maximum weekly benefit amount
