27 Jan Wage Subsidies for Employees in Ontario
Employees have been struggling to keep their jobs for the past year due to the COVID-19 pandemic. A great majority of employees have been experiencing major shifts in their employment duties or even complete termination of their employment. The Canadian Government has recognized that this has been a major issue for all provinces and have acted accordingly. The main wage subsidy that has been provided to employees throughout the pandemic is the Canada Emergency Response Benefit (CERB) that offers financial support to both employed and self-employed people who have been adversely affected by the COVID-19 pandemic. However, as of October 6, 2020 this benefit was stopped by the federal government, and replaced by three E.I. benefits categories. An employee may qualify for a wage subsidy through the Canadian Employment Wage Subsidies (CEWS) if their employer is eligible for this benefit.
What employees are eligible for CEWS?
Those employees who work for a qualified employer and are working in Canada are eligible.
Employees can be paid by their employer using help from CEWS, but only certain payments are eligible. Applicable remuneration includes salary, wages, specific taxable benefits, fees and commissions. It does NOT include severance pay, stock option benefits, dividends, tips, or non-cash taxable benefits.
If you have more questions about CEWS or whether you may qualify for this benefit, contact KCY at LAW by filling in an online consultation request or contact us by phone at 905-639-0999 to book your consultation today.