monday, 13 april of 2020


Canada passes emergency wage support bill

Canada gave royal assent to an emergency wage bill Saturday evening, giving relief to many Canadian workers and businesses adversely impacted by the COVID-19 outbreak.

The $73 billion package enables private companies, non-profits, and charities to apply for government assistance to subsidize paychecks to employees. To qualify, entities must prove a reduction of revenue of at least 15%. They must also demonstrate workers have been paid. Upon approval, the funds will cover 75% of the employees’ wages for 12 weeks, up to $847 per employee per week.

Entities that qualify for the program by artificially reducing revenues will be subject to penalties.

Canada, like the United States, has responded to the coronavirus by encouraging mass social distancing. A few weeks ago, both Ontario and Quebec required all non-essential businesses to close and restricted travel to the country.

Prime Minister Justin Trudeau gave a speech in front of the House of Commons on the wage subsidy bill. He characterized the COVID-19 crisis as “the challenge of our generation” and encouraged Canadians to show courage and strength by staying at home.

To learn more about the law read here.

(Published by Jurist Org, April 13, 2020)

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