The Canada Emergency Wage Subsidy is officially being extended
The federal government has once again extended the Canada Emergency Wage Subsidy (CEWS) to help business get back on their feet and rehire workers after months of forced closure.
The program, through which the government subsidizes 75 per cent of employee wages for eligible companies, was initially only supposed to last until June 6.
Back in May, the CEWS was extended through to the end of August as measures to curb the pandemic continued, and now on Monday, Prime Minister Trudeau announced that businesses will be able to take advantage of it until December 2020 as they reopen and adjust operations to the new normal.
Great news for 🇨🇦 businesses and workers! To continue supporting your safe reopening, our government has announced we are extending the #CEWS, covering up to 75% of employee wages, until December.— MPIqra Khalid Office (@IqraKhalidMP) July 13, 2020
Learn more about the subsidy at: https://t.co/r6Nrj8dr4W pic.twitter.com/WDx3Voh4Qu
The PM added in his media briefing that a timeline and further details will be announced later this week, and that the extension should "give greater certainty and support to businesses as we restart the economy."
The program, which initially drew some criticism, was also expanded to serve more types of businesses two months ago, and now includes things like journalistic organizations, tax-exempt Indigenous-owned corporations and partnerships, and non-public colleges and schools.
Ottawa is hoping that the subsidy continues to help residents transition from being laid off or unemployed and receiving the Canada Emergency Response Benefit (CERB), to getting back to work as the country reopens.
Important news today, @Canada is extending the #CEWS to December. But, an updated CEWS program must create a positive incentive to return to work & must also expand revenue eligibility & provide clarity & consistency about the criteria for eligibility. https://t.co/ZvMtqqRgMM— Canadian Chamber of Commerce (@CdnChamberofCom) July 13, 2020
The much-anticipated federal economic snapshot, released last week, revealed just how many hundreds of billions the government has had to shell out to help citizens amid the pandemic through programs like the CEWS and CERB.
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