Prime Minister Justin Trudeau. (File photo by THE CANADIAN PRESS)

Revenue dip needed to qualify for wage subsidy drops to 15% in March: Trudeau

Wage subsidy would be over 75% of each employee’s salary for qualifying businesses

Businesses hoping to qualify for the federal wage subsidy will only need to show a 15 per cent drop in revenues for March, Prime Minister Justin Trudeau said Wednesday (April 8).

The subsidy will still cover up to 75 per cent of each employee of a COVID-19 affected businesses, up to $847 per week.

The federal program has gone through a variety of changes since it was first announced several weeks ago; initially it was a 10 per cent subsidy for small businesses and then was expanded to be a 75 per cent subsidy for businesses of any size who could show a 30 per cent drop in revenue, compared to the same time last year.

Trudeau also said charities and non-profits can choose to exclude government funding if needed to prove a revenue drop.

Businesses need to survive and workers need to get paid if the economy is to “come roaring back after this crisis,” Trudeau said.

He also announced the federal government will cover 100 per cent of wages for students hired under the Canada Summer Jobs Program. The government will also extend the time period for job placements to the winter, in recognition that many jobs will start later than usual due to the pandemic, and companies will be permitted to hire students part-time.

The hope is this will encourage businesses to hire students to allow them to get the work experience they need and earn incomes during the downturn, Trudeau said.

“Today we’re taking a step in the right direction to help young people find work during this difficult time, but I want to be clear, we will be doing more,” he said.

“Just like we will do more for those who need help but are not eligible to receive the benefits that we have announced so far.”

READ MORE: Canada’s 75% wage subsidy is coming, but not for several weeks


@katslepian

katya.slepian@bpdigital.ca

Like us on Facebook and follow us on Twitter.

Coronavirus

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Ninja groups could be setting children up for identity theft, online safety expert says

‘When I started seeing entry codes into secure buildings, I’m thinking oh my God, what are we doing?’

‘Guard cat’ retires early from B.C. Aviation Museum

North Saanich museum finds forever home for mascot Marcus the cat

Close call has North Saanich councillor appealing for traffic safety

Coun. Jack McClintock is using an incident involving his daughter to highlight traffic safety

Saanich Peninsula steps into post-pandemic phase

Pending partial re-opening of local schools signals new start

NDP getting COVID-19 wage subsidy ‘indirectly,’ B.C. Liberal leader says

Andrew Wilkinson says he’s heard no concerns from public

Love flourishes at Peace Arch Park, but COVID-19 concerns loom

South Surrey park becomes only place for international couples to meet

UPDATE: B.C.’s Central Kootenay issues evacuation orders for hundreds of residents due to flooding

An evacuation alert covers all areas except the Cities of Castelgar and Nelson

PHOTOS: Thousands gather at Vancouver Art Gallery to protest racism

Rally is in response to the deaths of black Americans and a Toronto woman

Number of students returning is a wild card as B.C. schools reopen Monday

A common model will see other teachers work four days a week in class then the fifth remotely,

Toronto Raptors’ Ujiri says conversations about racism can no longer be avoided

Thousands have protested Floyd’s death and repeated police killings of black men across the United States

Most Read