Government To Offer More Support To Businesses
The government of Canada will introduce targeted supports to help hard-hit businesses and other organizations experiencing a drop in revenue. It plans to introduce legislation to provide support that would help these businesses safely get through the second wave of the virus and the winter, cover costs so they can continue to serve their communities, and be positioned for a strong recovery. The Canada Emergency Rent Subsidy will provide simple and easy-to-access rent and mortgage support until June 2021 for qualifying organizations affected by COVID-19. The government is also adding a top-up Canada Emergency Rent Subsidy of 25 per cent for organizations temporarily shut down by a mandatory public health order issued by a qualifying public health authority, in addition to the 65 per cent subsidy. As well, the Canada Emergency Wage Subsidy would be extended until June 2021, which would continue to protect jobs by helping businesses keep employees on the payroll and encourage employers to re-hire their workers. Finally, an expanded Canada Emergency Business Account (CEBA) would enable businesses, and not-for-profits eligible for CEBA loans – and that continue to be seriously impacted by the pandemic – to access an interest-free loan of up to $20,000, in addition to the original CEBA loan of $40,000.