COVID-19 Updates | Weekly Workplace Recap from November 27 to December 3, 2020
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Below are the key announcements from the Federal, Ontario, Alberta and BC governments that touch on workplace issues from November 27 to December 3, 2020.
Federal
$381.6 Billion National Deficit Projected to Hit a New High
On Monday, November 30, the federal government released the fiscal update titled "Supporting Canadians and Fighting COVID-19: Fall Economic Statement 2020".
Unveiling a new round of financial supports to respond to the second wave of the COVID-19 pandemic in Canada, the latest projections show the national deficit is projected to hit a new high: at least $381.6 billion this fiscal year.
The following are just a few key points that will contribute to this new projection:
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Canada Emergency Wage Subsidy (CEWS) rate increased. Due to the second wave of the pandemic, the government is proposing to increase the maximum CEWS rate to 75% for the period beginning December 20, 2020, until March 13, 2021. See details below.
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Canada Emergency Rent Subsidy (CERS) rates maintained. The government is proposing to maintain the current CERS rates for an additional three periods, from December 20, 2020 to March 13, 2021. The Lockdown Support rate will also be maintained at 25% for the same period.
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Update on form T2200 and home office expenses. The CRA will allow employees working from home in 2020 due to COVID-19 to claim up to $400 and will generally not request that people provide a signed T2200 form from their employers. See details below.
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Canada Emergency Business Account (CEBA) deadline extended. The previously announced enhancements to CEBA will proceed and the deadline for CEBA loan applications has been extended to March 31, 2021.
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Canada Child Benefit payments for young children. Benefits under the Canada Child Benefit will be increased for families with young children.
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Preparation for a COVID-19 vaccine roll-out. Since May, the government has invested a total of $284.2 million to improve the country's capacity to distribute COVID-19 vaccines.
Since the start of the pandemic, the government has invested nearly $407 billion – nearly 19% of Canada’s GDP – to support our public health care systems, provide direct income benefits to Canadians, and bridge businesses through the crisis and into next year.
For more information, check out the full Fall Economic Statement 2020 and this news release.
Restores Maximum Wage Subsidy (CEWS) to 75%
The CEWS program originally covered up to 75% on the first $58,700 an employee earns — or a maximum of $847 a week — until October when the government decided to freeze the maximum rate to 65% in the three consecutive periods ending December 19, 2020.
It was revealed this Monday that the Canadian Emergency Wage Subsidy would be restored to a maximum rate of 75% beginning December 20 through to March 13, 2021.
The maximum base subsidy remains 40%, but the top-up wage subsidy rate will increase to 35% (from 25%). As a result, employers who have experienced a revenue decline of 70% or more in their respective reference period will be eligible for a 75% wage subsidy rate for active employees. And employers who have experienced a revenue decline of between 50% and 70% will qualify for a combined wage subsidy rate of between 40% and 75% for these employees. The wage subsidy rate for other employers will remain unchanged at 80% of the revenue decline percentage.
Restoring the maximum rate of the CEWS back to 75% comes at a cost of $14.7 billion. This update comes as part of a new round of financial supports to respond to the second wave of the pandemic in Canada.
For more information, check out Section 2.1.1 in the Fall Economic Statement 2020.
Simplifying the Home Office Expense Deduction
The federal government delivered some good news for employers when it comes to work-from-home expenses.
In section 4.8.3 in the Fall Economic Statement 2020, the government clarified that the Canada Revenue Agency (CRA) will allow people working from home in 2020 due to COVID-19 – with “modest expenses” – to claim up to $400. The payment is based on the amount of time spent working from home and will not require tracking of detailed expenses. The CRA will also “generally not request that people provide a signed form from their employers".
With so many new remote workers, employers were worried that they would be required to complete T2200 forms (a grueling task) in order to claim work-from-home expenses.
“Eliminating the T2200 for new remote workers in 2020 significantly reduces the burden to employers, enabling the focus to remain on essential business needs during this unprecedented time,” says Peter Tzanetakis, president of the Canadian Payroll Association.
Further details will be announced in the coming weeks.
Ontario
Places Cap on Delivery Fees to Support Small & Independent Restaurants
The Supporting Local Restaurants Act, 2020 has received royal assent. The Act will cap fees charged by food delivery companies in areas where indoor dining is prohibited to help more small and independent restaurants stay in business.
The Act will:
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Cap the rates charged by food delivery service companies and apps in areas where indoor dining is prohibited.
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Permit fines of up to $10 million to food delivery service companies that do not comply with the law.
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Provide food delivery service company employees or contractors who perform delivery services with protection that their compensation will not be affected by these changes.
For more information, check out this news release.
Alberta
Updates Employer Resources & Guidance to Align with New Restrictions
Workplace guidance and supports for businesses are available to help Alberta businesses understand and adhere to the new restrictions put in place after the province announced a state of public health emergency last week. See last weeks article for details on new restrictions.
Alberta Biz Connect provides a variety of guidance for workplaces, including but not limited to:
- Guidance on reduced capacity and occupant loads
- General relaunch guidance
- Alberta Health daily checklist
- Infection prevention and control
- OHS resources
- Hand sanitizer
- Masks (non-medical)
- Public health orders
- Posters
Sector-specific workplace guidance can also be found at Alberta Biz Connect.
British Columbia
$136 Million in Infrastructure Grants Available through COVID-19 Resilience Infrastructure Stream
BC is accepting applications from local governments, Indigenous communities and not-for-profit organizations for nearly $136 million in infrastructure grants to help communities develop resilience in response to COVID-19.
In partnership with the Government of Canada, the funds are being made available as part of the new COVID-19 Resilience Infrastructure Stream (CVRIS), a new stream under the Investing in Canada Infrastructure Program (ICIP). CVRIS will support projects that focus on retrofits, rehabilitation and upgrades to existing local government and Indigenous community buildings, COVID-19 response infrastructure, active transportation and disaster mitigation.
CVRIS is accepting applications through two ministries:
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up to $80 million is available for projects administered by the Ministry of Municipal Affairs; and
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up to $56 million is available for flood mitigation and adaptation projects administered by Emergency Management BC (EMBC).
Local governments, Indigenous communities and not-for profit organizations are encouraged to submit applications through the ICIP on the B.C. government website
Employer Resources for Mandatory Masks in the Workplace
On November 24, the Minister of Public Safety and Solicitor General issued an order requiring everyone to wear masks in many indoor settings. There are exemptions for:
- People with health conditions or with physical, cognitive or mental impairments who cannot wear one
- People who cannot remove a mask on their own
- Children under the age of 12
What employers need to do
Employers should provide signage on the mandatory mask policy and inform customers about the requirement.
Employers should ensure that workers are provided with information on how to discuss mandatory mask usage with customers, including what to do if they refuse or become abusive. Employers should review their violence prevention policy to ensure that it addresses safety issues that may arise.
This guide will also help employers review their COVID-19 Safety Plan to ensure it continues to be effective and up-to-date.
Resources for employers and workers
- A resource guide on selecting appropriate masks for non-healthcare settings
- A workplace poster for the use and care of masks
- Refer to Controlling exposure: Assessing and applying appropriate controls for information about how masks fit into an effective COVID-19 Safety Plan
- (Updated Nov. 25) Workplace poster indicating the mandatory use of masks
For more information, check out WorkSafeBC.
BC Announces Two New Recovery Programs to Support Farmers
Two new programs will help improve food security and build a stronger economy following COVID-19.
1. The Small Farm Business Acceleration Pilot Program will offer funding up to $800,000 for business plan coaching for small and new farmers, as well as cost-shared funding for commercial farm infrastructure and equipment, to increase productivity and sales. Applications will be accepted between Dec. 7 and Dec. 15, 2020.
2. The Raspberry Replant Program will help growers increase the acreage planted with raspberry varieties that are ideal for B.C.’s climate and suitable for the fresh and individually quick-frozen raspberry markets. The BC government is investing $90,000 in this new program, which will be cost shared with growers, which will result in a minimum of $162,000 of investments in the sector. Applications will be accepted between Dec. 1 and Jan. 11, 2021.
For more information, check out this news release.
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