Trudeau announces 75% in wage subsidy to Canadian small businesses
During his Friday morning briefing, Prime Minister Justin Trudeau announced that the new wage subsidy for small businesses is jumping to 75%. This new number blows last week’s promise of 10% out of the water.
It also reflects an intense commitment to keeping Canadians employed throughout the COVID-19 pandemic. Unemployment has been skyrocketing across the country, and so hopefully this new initiative will allow employers to keep staff on even during the economic downturn.
75% wage subsidy is exactly what the doctor ordered, and what business groups have been asking for. Very good news for small businesses and their workers, increasing their ability to keep staff on the payroll.
— Canadian Chamber of Commerce (@CdnChamberofCom) March 27, 2020
Companies across Canada have already felt the squeeze, with the hospitality and energy sectors taking the hardest hit. So, Canada has also launched a loan program that offers $40k, interest free for a year, for qualifying business.
The priority from the federal government is that businesses will be poised to pick business back up once public health orders are more relaxed. Otherwise, the economy will face a longer road to recovery as businesses rehire staff.
You can check out the full press conference right here.