New Measures to Address US Tariffs
On August 25, 2026, the federal government announced a major support package for Canadian businesses and workers affected by the latest round of tariffs imposed by the US, after recent bilateral trade negotiations broke down.
In total, $7.5 billion will be invested in various initiatives designed to mitigate the economic repercussions of these tariffs. A significant portion of this amount—$3.5 billion—is allocated to new measures directly targeting the labour market and job retention.
Main Measures For Employers And Workers
Creation of the Workforce Retention and Retraining Program
The government plans to implement a new program combining the Employment Insurance Work-Sharing Program and the Worker Retention Grant. The goal is to provide a streamlined, more accessible and more generous support mechanism for employers facing a temporary business slowdown.