(Ottawa) The Trudeau government is again drawing $3.3 billion from its coffers to help businesses and individuals cope with the remainder of the pandemic.
Thus Ottawa is extending until October 23 all assistance programs for businesses and individuals that were set up to deal with the economic hardship caused by the COVID-19 pandemic.
Three types of services at a cost of 2.2 billion
At the Treasury, the cost of expanding programs for individuals is estimated at $2.2 billion, and the bill for the extension for businesses is $1.1 billion.
Federal Finance Minister Chrystia Freeland announced an extension of the program while in Hamilton, Ontario, to provide $400 million in financial aid to a steel mill that, with the money, could accelerate its green transformation.
Minister Freeland announced that those who have been prevented from working by the pandemic will be able to continue to rely on the three Canadian benefits of economic recovery; One for the unemployed, for those who need to take care of a loved one and one that covers sick leave due to COVID-19.
Ottawa adds another four weeks to Canada’s economic stimulus benefit, which becomes available for a total of 54 weeks during which a person is unemployed due to the COVID-19 pandemic.
This feature saves $300 per week.
People who have been receiving employment insurance and who have already exhausted their benefits will be able to get paid for another four weeks.
Caregivers and patients with COVID-19
The Canadian caregiver stimulus benefit remains available for a maximum of 42 weeks, and the economic stimulus benefit remains limited to a maximum of four weeks.
For businesses, Ottawa is extending wage subsidies, commercial rental subsidies and containment support.
The rates for the first two programs will not decrease for the period from August 29 to September 25, as was expected.
Thus, the maximum rate of wage subsidy and rental subsidy will be set at 40% for this period. The budget included in the spring stipulated a reduction to 20%.
However, between September 26 and October 23, the maximum rate will be reduced to 20%.
The maternity allowance remains at a fixed rate of 25%.
This support has been a lifeline to millions of corporate workers across the country, and this extension will ensure that they continue to receive the support they need for a robust recovery.
Minister Chrystia Freeland
In the press release detailing the new measures, it was emphasized that the gesture comes “in recognition of the fact that reopening the economy is uneven from one region to another and from one sector to another.” So the federal government concludes that “workers and businesses still need support.”
Companies want more
The Canadian Federation of Independent Business (CFIB) praised the announcement, but was quick to say it wanted more.
“With only 35% of small and medium-sized businesses returning to their normal sales levels, maintaining these federal programs is excellent news,” we can read first in a press release issued Friday afternoon.
“The CFIB petition remains available online, however, to urge the federal government to maintain these assistance programs until the economic recovery becomes more advanced,” it was later reported, citing the restrictions on reception capacity still in place at businesses, and the limits that remain not available. Openness and “clients’ reluctance to resume their normal activities”.
The CFIB was also concerned about the impact of providing assistance to individuals given the labor shortage.
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