Business, labour groups say Liberals’ COVID-19 wage subsidy too little to help
OTTAWA -- The federal government's planned wage subsidy for businesses hit hard by COVID-19 is being panned by a voice for thousands of small businesses and a major union.
The Canadian Federation of Independent Business and the United Steelworkers union in separate statements say the Liberals' proposed help to offset payroll costs doesn't go far enough to save jobs.
The federal government's stimulus bill contains provisions for a 10 per cent wage subsidy for 90 days, up to a maximum of $1,375 per employee and $25,000 per business.
The CFIB is calling on the government to increase the subsidy to 75 per cent, capped monthly at $5,000 per worker, while the Steelworkers want it increased to 80 per cent as is being done in the U.K.
The small business group says about one-third of its members are worried that they won't survive more than a month under the current economic conditions.
CFIB says most of its members have seen a sharp drop in sales, up to 75 per cent in some cases, with the average hit around $136,000.
The Canadian Press
- These stores are now open at Bramalea City Centre in Brampton
- Brampton principal temporarily removed for 'xenophobic and racist' remark
- Creators of 6ixBuzz possibly doxed via social media
- House struck during two-vehicle collision in Brampton
- Premier Doug Ford reveals Brampton is "hot spot" for COVID-19
- COVID-19: Feds increase wage subsidy to 75 per cent
- CFIB believes many businesses won't be able to survive without government assistance
- Federal COVID-19 wage subsidy to last through summer, Trudeau says
- Small businesses already seeing drop in sales due to COVID-19: CFIB survey
- Trudeau says all businesses who have lost significant revenue eligible for wage subsidy