Ottawa Huawei offers subsidies for new employees-but advocates warn that it leaves some companies behind


With the relaxation of public health measures and more businesses reopening, the federal government has begun to apply for a new subsidy designed to help employers hire or re-employ employees.

The Canadian Resumption of Hiring Plan (CRHP) was first announced in April as part of the government’s 2021 budget, but the budget The bill needs to be passed Before the plan started. The budget estimates that the plan will cost 595 million U.S. dollars.

As of June 6, the subsidy covers up to 50% of the additional wage costs borne by eligible companies, including costs related to hiring new employees or increasing shifts. Charities and non-profit organizations are also eligible.

Dan Kelly, president and CEO of the Canadian Federation of Independent Businesses, said subsidies will help eligible small businesses-but some businesses will be excluded.

He said: “When many companies move from blockade to recovery, this will solve their problems, but it will not help new companies that are still being cut off.”

Watch | CFIB stated that the recruitment subsidy excludes new business:

Dan Kelly, chairman of the Canadian Federation of Independent Businesses, said that the new recruitment subsidy will help eligible employers, but too many new businesses will be missed. 1:56

In order to receive recruitment subsidies, companies need to be eligible for Canadian Emergency Wage Subsidy (CEWS)-which means they will suffer loss of income due to the pandemic.

Kelly said the eligibility criteria exclude new businesses that tried to open during the pandemic — or just opened before the outbreak — but are still struggling.

“We made the same mistakes on this new project as the old one,” he said.

Businesses can apply for CEWS and CRHP at the same time, but will only receive payments from plans that provide higher dollar value.

Premature elimination of other plans

However, wage subsidies will be cancelled in September along with other commercial support, such as the Canadian Emergency Rent Subsidy (CERS).

Kelly said he was worried that these projects would end too soon. He pointed out that some enterprises in Ontario and other provinces still cannot fully open up.

Currently, the new recruitment subsidy program will continue until November.

CRHP’s funds will be released next Monday, and companies can apply before December 20 to pay for the additional wage costs associated with the period from June 6 to November 20.



Source link