Canada Govt. Aid for Canadians on the COVID-19, where a pandemic has affected the lives of everyone. Without discriminating rich or poor, good or bad, it has caused chaos in every household as well as businesses. Businesses small or big, everyone has now fallen on their faces due to this eternal war between humanity and an invisible enemy, the coronavirus. During this period, the ones who are affected by it the most are the medium and small sector businessmen, farmers, and many other individuals. Anyone belonging to this category is now struggling to survive. Gaining profit, making more money, or realizing the long contemplated dreams is the least of their worries. The only thing that matters the most now is survival.
Food is becoming an inaccessible resource for many households. People are finding it difficult to pay the rents and bills. New businesses are struggling to keep running, startups and other small businesses are on the verge of collapsing, and farmers are facing great difficulty with their crops. Hopefully, the citizens of Canada are in good hands.
Canada government announces financial support amidst COVID-19
During this challenging time, the Canadian government is completely determined to help those in need to recover. The safety and health of Canadians are to be on the most priority list of the government. They have decided to support businesses and families to keep growing to help them maintain the stability of the falling economy.
Support for small businesses
The Prime Minister of Canada, Justin Trudeau, has announced additional measures to help the small and medium scale businesses deal with the economic challenges during the time of this pandemic. These new measures are to help companies in Canada secure the jobs on which several Canadians depend. The government has also encouraged people in business to pay their employees and bills.
The CEWS helps those employers who are greatly hit by this pandemic. It aims to protect the existing jobs of Canadian citizens. This Emergency wage subsidy seeks to cover 75 percent of the wages of an employee. This subsidy includes employers of any sector, irrespective of their size, who have faced a gross decline of revenues more than or equal to 15 percent in the month of March and 30 percent in the month of April to May. This program is in function for about 12 weeks, starting from the 15th of March to the 6th of June 2020.
Eligible employers must sustain 100 percent compensation for a particular contribution towards the Canada Pension Plan, the Quebec Parental Insurance Plan, the Quebec Pension Plan, and Employment Insurance that is paid concerning the employees on paid leaves.
Temporary 10 percent Wage Subsidy
The Temporary 10 percent Wage Subsidy will allow entitled employers to benefit the reduction of payroll deduction amount that needs forwarding towards the (CRA) Canada Revenue Agency.
Who can apply for this subsidy?
You can apply for the Temporary 10 percent Wage Subsidy if you are:
- an individual (this excludes trusts),
- a partnership (with members being individuals, a private corporation controlled by Canada that are entitled to a small business deduction or registered charities.),
- a private corporation controlled by Canada (this includes cooperative corporation) that is qualified for a small business deduction.
- a non- profit organization,
- or a registered charity.
Extension of Work-Sharing Scheme
The maximum period of this program is extended to 76 weeks (previously 38 weeks) for the employers hit by the coronavirus pandemic. This maneuver aims to provide financial support to the employees, entitled to Employment Insurance, who are willing to take the edge off their regular working hours due to the developments which are now out of control from the hands of the employers.
Support for Agriculture, food, fisheries, dairy, and aquaculture
The government is providing aid of $50 million to support farmers, processing employers, and food production sectors as well as fish harvesters. Meanwhile, the workers who have arrived from abroad are required to follow the 14 days mandatory isolation period. The MISTFWP (Mandatory, Isolation Support for Temporary Workers Program) delivers an aid of $1500 to the employers for every provisional foreign worker working under them to make sure their fundamental necessities are fulfilled. This funding, of course, is based on the condition that the mandatory quarantine is not being violated.
Farm Credit Canada will deliver an additional amount of $5 billion to producers, food processors, and agribusinesses. The fish and seafood processing sectors will also benefit from the sum of $62.5 million provided by the Canadian Seafood Stabilization Fund. Another emergency processing fund of $77.5 million is provided to the producers so that they have easy access to PPE (Personal Protective Equipments). It also includes help to automate their facilities and follow health protocols.
The dairy Commission has increased its borrowing limit by an amount of $200 million for helping the dairy sector to store butter and cheese more efficiently. The Surplus Food Purchase Program, funded initially with $50 million, aims to support the redistribution of unsold existing inventories, which include poultry and potatoes, to the local food bodies that are in service of vulnerable Canadians.
Support for individuals and families
Apart from this, the Government of Canada is willing to provide a sum of $3 billion through federal support so that the wages of essential workers with meager income is increased. A supplementary amount of $25million is provided to Nutrition North Canada, which is to help them increase the subsidies on nutritious food and the essential personal hygiene equipment. The Reaching Home initiative is aided with $157.5 million to provide support to those people who have become the victims of homelessness amidst this pandemic. $350 million is invested in offering help to the vulnerable citizens of Canada by joining hands with the non-profit organizations and charities that are working to deliver necessary services to people in need. These organizations are working towards the supply of medications and groceries, transportation facilities to appointments for senior citizens and disabled persons, providing necessary support to the volunteers to help them realize their vital contributions. They are also making sure that there are no social gatherings, and the essential protocols are being followed.