OTTAWA—The federal government is changing its wage subsidy program to encourage business to retain workers and enriching a program to help students find work as Prime Minister Justin Trudeau warned that Canada could be living with the threat of the virus for the coming year.
Trudeau unveiled yet more changes to the wage subsidy plan on Wednesday as the government responded to business concerns.
As reported by the Star, businesses that see a drop in revenue of 15 per cent in March — rather than 30 per cent — will now be eligible for the program, which will pay up to $847 a week per employee.
The change recognizes that most businesses only felt the economic impact of COVID-19 starting around mid-March, Trudeau said.
“If we are to come through this, we need businesses to survive and workers to get paid,” he said.
March job numbers are due out Thursday and Trudeau acknowledged the data will be grim. “It’s going to be a hard day for the country,” he said. “We are facing a unique challenge. But I know if we pull together, the economy will come roaring back.”
The prime minister also announced changes to the federal summer jobs program to help young people find work. It includes an increase in the wage subsidy, so public and private sector employers could get up to 100 per cent of the minimum hourly wage for each employee.
The program has also been extended to Feb. 28, 2021 and employers will be able to hire staff on a part-time basis.
“In this economic climate, it’s hard for people of all ages to find work but you people are especially vulnerable,” Trudeau said.
“They are new to the workforce so they don’t have a lot of money set aside for this kind of situation. At the same time, they need work experience to secure their new jobs and money to cover living expenses.”
The government has also promised changes to allow part-time workers who have seen their hours cut to access emergency aid that pays $500 a week for 16 weeks.
“We are currently looking for solutions,” Trudeau said.
He also promised more help is coming for seniors, who have been especially vulnerable to the virus and have seen their savings drop with the market turmoil. “We will have additional measures to put in place to help the most vulnerable Canadians,” he said.
https://www.thestar.com/politics/federal/2020/04/08/justin-trudeau-unveils-wages-subsidy-changes-increased-support-for-student-jobs.html
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