The Canadian Government is taking action to support Canadian businesses affected by COVID-19. The employees and their families are also taken care of. In the general interest of the people in Canada, the Government and public health officials are asking every Canadian to:
- Stay home unless you are required to go out for essential items
- Practice social distancing
- Maintain hygiene by staying clean and washing your hands
With people following these instructions, they contribute to society and the economy. This means a lot for businesses too. With people cooperating along with the government, businesses can:
- Offer flexible work arrangements
- Prepare the workplace by taking the necessary steps
- Learn how to keep employees safe
In these tough times, the working class expects enough support to carry on with their lives. Businesses and employers are also seeking a positive environment to survive and prosper. In Canada, the idea of mutual benefit of these two sides has been put to practice quite effectively. Hence, be it the workers, on a Canada work visa or enterprises that employ them, there are many reasons to thank the Canadian government.
Supportive measures for employees
Even in the grave situation owing to COVID-19, Canad is assuring the workers that their jobs are secure. So, none of them will have to worry about feeding their families, paying rent or even losing their job. The Government has taken decisive steps for the benefit of employees.
- The Canadian government has introduced the Canada Emergency Response Benefit (CERB) scheme. It will provide a monthly amount of $2,000 for up to 4 months to workers and entrepreneurs. Those who aren’t receiving a paycheque owing to COVID-19 will benefit from it.
- The 1-week waiting period and submission of required medical documents for Employment Insurance (EI) sickness benefits have been waived.
- The Canada Child Benefit payments have been boosted. This will ensure that working families will have enough money during this crisis.
- The Canadian government has extended the tax filing deadline to June 1, 2020.
- The penalties for Canadians unable to file tax returns are canceled. The same applies to those who can’t make tax payments on time.
Supportive measures for businesses
The Canadian government is proving its commitment to employer welfare. It has taken measures to ensure that no employer would have to lay off workers due to a loss of business because of COVID-19. The Canadian government has taken steps to provide immediate relief for businesses and entrepreneurs. The government will ensure that the economy is capable enough to quickly return to strength after this crisis ends.
- The Canadian government has introduced the Canada Emergency Business Account. It will provide interest-free loans of up to $40,000 to small businesses and not-for-profit organizations. The amount will be sourced via financial institutions. Up to 25% of the loan will be forgiven if it’s paid back by December 31, 2022.
- Employers are offered the CEWS (Canada Emergency Wage Subsidy). It’s applied at a rate of 75% on the first $58,700 earned by employees. This will represent a benefit of $847 per week. The program will be implemented for a 12-week period, taking effect from March 15 to June 6, 2020. Beneficial schemes are introduced for eligible businesses. These businesses come from all sectors of the economy, irrespective of their sizes. This is regardless of the number of workers they employ. Businesses that suffer a gross revenue drop of at least 30% due to COVID-19 can access the subsidy. The revenue considered will be of March, April or May, when compared to the same month in 2019.
- The Canadian government has created a new loan guarantee through Export Development Canada (EDC). It will provide operating credit and cash-flow term loans of up to $6.25 million.
- A new co-lending program through the BDC (Business Development Bank of Canada) is on. BDC will team up with financial institutions. Thus it will co-lend term loans to support cash-flow necessities.
- The Canadian government has deferred all payments of import duties and GST/HST for all businesses until June 30, 2020. This includes self-employed individuals too. This means that interest-free loans of $30 billion will be made available to Canadian businesses.
- The Government of Canada has taken away much of the administrative burden on businesses. This is done by extending the deadlines to file returns for trusts, partnerships, charities, and NR4 information.
- The Work-Sharing program has been enhanced to support employers and their workers affected by a downturn in business.
- The Canadian government has worked with the financial sector for solutions. it has tried to make sure that an additional amount of $300 billion is available in lending capacity.
- The Canadian government has created the new Business Credit Availability Program. The purpose of the program is to make more than $10 billion available to Canadian businesses. The amount will be used in financing and credit insurance solutions through BDC and EDC.
- The Canadian government has ensured that the Canada Revenue Agency will postpone the obligation of tax payment until August 31, 2020. This will help businesses with cash flow.
- The Government of Canada has also made available an additional $5 billion to the needy. The benefit goes to farmers, agribusinesses, producers, and food processors. They will get the amount through Farm Credit Canada. It will give farmers more flexibility when it comes to repaying outstanding Advance Payments Program loans.
How are small businesses, tourism operators, or organizations helped
Help is extended to small businesses, tourism operators or organizations affected by COVID-19. The Regional Development Agencies (RDA) could assist them with access to federal funding and services.
Canada’s contingency plans
The Canadian Chamber of Commerce has come up with a guide for comprehensive preparedness for businesses. It is meant to be helpful in the context of COVID-19.
The Canadian Federation of Independent Business is also providing information to help businesses cope with these difficult times.
Measures aimed at business travel and events
In everybody’s interest in the country, the Canadian Government is advising its people to:
- Not make non-essential travel outside of Canada until further notice
- Return home if presently outside of Canada. Upon return, practice self-isolation for 14 days. This is mandatory by an Emergency Order under the Quarantine Act
The Government has created the COVID-19 Emergency Loan Program for Canadians abroad. This will help bring Canadians home. The Government is also issuing advisories against large gatherings of people. Hence business conferences and events in the traditional sense are disallowed.
Measures for business in international markets
The US is the biggest market for Canada. Their joint temporary restrictions imposed on all non-essential travel across the border is significant. The scope of essential travel is intended to maintain supply chains between both countries. This will ensure that fuel, food, and life-saving medicines shall reach people in both nations.
Canada is also working with its international partners to maintain open and connected supply chains during the COVID-19 crisis. The purpose is to ensure that Canadian businesses can go on delivering essential goods to needy people.
The Trade Commissioner Service has experts in 160 cities worldwide. It can provide small businesses the much needed market-specific insights and guidance. Such guidance will help them lessen the impacts of COVID-19. It will also give access to funding that will help businesses with global market performance.
These and many more measures are being taken by the Canadian government. Those measures are ensuring the sustenance of its economy and future. The country is determined to answer the concern of how to work in Canada with the assurance of stability. With the current manner of tackling the pandemic, the immigrant-friendly nation is setting a great example for others.
The credibility of Canada is topnotch. It has a commitment to developing in any crisis. That makes it a reliable nation for international migrants. Surely when the dust settles on the pandemic situation, Canada will pick itself up. It will do so faster and better than many other nations in the world.
If you are looking to Study, Work, Visit, Invest or Migrate to Canada, talk to Y-Axis, the World’s No.1 Immigration & Visa Company.
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