We are covering a portion of an employee’s wages for eligible employers. The wage subsidy supports you to keep and re-hire your employees and avoid layoffs.
Pending the passage of legislation. The wage subsidy would remain at the current subsidy rate of up to a maximum of 65 % of eligible wages until December 19th, 2020 and would be extended until June 2021.
EXTENDING THE WORK-SHARING PROGRAM
We have extended the maximum duration of the Work-Sharing program from 38 weeks to 76 weeks for employers affected by COVID-19. This measure will provide income support to employees eligible or Employment Insurance who agree to reduce their normal working hours because of developments beyond the control of their employers.
EXTENSION OF LAY-OFF PERIODS
We have extended time periods for temporary layoffs by up to six months in the Canada Labor Standards Regulations to allow employers more time to recall laid-off employees. The temporary changes will help protect the jobs of federally regulated private-sector employees and support employers facing economic hardship as a result of the pandemic.
The Canada Emergency Business Account (CEBA) provides interest free, partially forgivable, loans of up to $40,000, to small businesses and non-profits, that have experienced diminished revenues due to COVID-19 but face ongoing non-deferrable costs, such as rent, utilities, insurance, taxes and wages.
Business owners can now apply for support from CEBA through their banks and credit unions until December 31st, 2020.
Through the Business Credit Availability Program, Export Development Canada (EDC) is working with financial institutions to guarantee 80% of new operating credit and cash flow term loans of up to $6.25 million to small and medium-sized enterprises.
This financing support is to be used for operational expenses and is available to both exporting and non-exporting companies.
This support is available until June, 2021.
Through the Business Credit Availability Program, Business Development Canada (BDC) is working with financial institutions to co-lend term loans of up to $6.25 million to SMEs for their operational cash flow requirements.
The program offers differing maximum finance amounts based on business revenues.
This program is now available at various banks and credit unions.
The Canada Emergency Rent Subsidy (CERS) will provide direct and easy-to-access rent and mortgage support directly to qualifying organizations.
Qualifying businesses, charities and non-profits would receive a subsidy of up to 65% of eligible expenses until December 19th, 2020.
Qualifying organizations that have been significantly affected by a mandatory public health order issued by a qualifying public health order issued by a qualifying public health authority would receive an additional 25% of rent support through the CERS.
Combined with the other support received under the CERS, this means that hard hit businesses, non-profits, and charities, could receive a rent subsidy of up to 90%.
The CERS including the Lockdown Support would be available until June 2021.
Through the Business Credit Availability Program, the Business Development Canada’s (BDC) Mid-Market Financing Program will provide commercial loans ranging between $12.5 million and $60 million to medium-sized businesses whose credit needs exceed what is already available through the Business Credit Availability Program and other measures.
BDC anticipates qualifying companies will have annual revenues in excess of approx. $100 million.
This support is available until June 2021.
MID-MARKET GUARANTEE AND FINANCING PROGRAM
Through the Business Credit Availability Program, EDC’s Mid-Market Guarantee and Financing program will bring liquidity to companies who tend to have revenues of between $50 million to $300 million, to sustain operations during this uncertain period. EDC will continue to work with Canadian financial institutions to guarantee 75% of new operating credit and cash-flow-loans- ranging in size from $16.75 million to a maximum of $80 million.
More details will be made available soon.
The Large Employer Emergency Financing Facility (LEEFF) provides bridge financing to Canada’s largest employers, whose needs during the pandemic are not being met through conventional financing, in order to keep their operations going.
The additional liquidity provided through LEEFF allows Canada’s largest businesses, their workers and their suppliers to remain active during this difficult time, and position them for a rapid economic recovery.
OTHER SUPPORTS AVAILABLE
Provincial Hotline: The Government of Ontario has launched a hotline for businesses regarding emergency measures and the closure of at-risk workplaces: 1-888-444-3659.
Canadian Federation of Independent Businesses: CFIB has set up a website that answers some commonly-asked questions regarding COVID-19 relief measures for small businesses.
Ontario Nonprofit Network: ON has set up a website that answers some commonly-asked questions regarding COVID-19 relief measures for the not-for-profit sector.