Canada Emergency Wage Subsidy Program Open for Applications
07/05/20

Last updated on May 2, 2020

RGD highlights the eligibility criteria and application process for Canada Emergency Wage Subsidy program introduced by the Federal Government to help combat the economic impact of the current crisis.

 

In response to COVID-19 pandemic, the Federal Government launched, inter alia, the Canada Emergency Wage Subsidy program to enable the employers to re-hire workers previously laid off as a result of COVID-19, help prevent further job losses and better position businesses to resume normal operations following the crisis. 
 
Eligible employers can receive a subsidy of 75% of eligible employee wages for up to 12 weeks, retroactive from March 15, 2020 to June 6, 2020.
 
The eligibility threshold for March is lower, at 15% required revenue reduction, than for April to June, at 30% required revenue reduction. The Federal Government has also introduced an alternative eligibility threshold to allow recently-formed businesses to qualify for subsidies. 
 
The government has launched a CEWS calculator for employers to determine their eligibility and expected subsidy payments.
 
The application process for CEWS commenced on April 27. There are three ways to apply for it: 
CEWS payments can be expected within 10 business days for individuals registered for direct deposit on their payroll account. Payments expected by cheque may take a little longer. 
 
All wage subsidy applications must be made before October 2020.
 

Click here for more information on CEWS. 

 
Sources: WeirFoulds LLP, Government of Canada's Website
 
This article is purely informational in nature and should not, in anyway, be construed as expert advice. Please contact your lawyers, accountants or relevant government institutions for any queries.
 
Our legal partners, WeirFoulds LLP have established a COVID-19 resources portal. 
 
Learn about additional business support from the Canadian government.

 

< PreviousBackNext >