The Canadian government has announced more details surrounding eligibility for its emergency wage subsidy program.
Any Canadian business or not-for-profit organization that has seen a decrease in revenue of 30 per cent or more will be eligible for a subsidy of 75 per cent to cover employees' wages. The number of employees will not determine eligibility.
Prime Minister Justin Trudeau said the subsidy is to encourage companies, both big and small, to keep employees on the payroll and rehire those who have been laid off.
The government has committed to paying 75 per cent of an employee's salary on the first $58,700 or up to $847 per week. The subsidy will be backdated until March 15, however, there's no word on when businesses can expect to see the cash flow.
Trudeau said he is hoping businesses do their part to support their employees.
"We are trusting you to do the right thing. If you have the means to pay the remaining 25 per cent that's not covered by the subsidy, please do so. And if you think that this is a system you can take advantage of or game, don't. There will be serious consequences for those who do," said Trudeau.
Full details of the sanctions on companies that misuse of the program have not been released.
