A group benefits plan is critical to supporting employee health during this unprecedented time. The Canada Emergency Wage Subsidy can help ensure employers have the financial ability to continue coverage for their employees.
What you need to know about the program:
- The Canada Emergency Wage Subsidy would apply at a rate of 75 per cent of the first $58,700 normally earned by employees – representing a benefit of up to $847 per week;
- The start date of the program is retroactive to March 15, 2020 and will run to June 6, 2020;
- The subsidy will be available to employers of all sizes that are not public sector entities;
- To qualify, employers will have to demonstrate that their gross revenues went down by 30% in March, April or May 2020 compared to the same month last year;
- Employers will have to attest that they have done everything in their power to cover the remaining 25 per cent of their employees’ salaries – but the government recognizes that not all employers will be able to do so;
- Employers will be able to apply to the program through a Canada Revenue Agency (CRA) portal that will be up as soon as possible, and funds should start to flow to them within the next six weeks;
- Organizations that do not qualify for the Canada Emergency Wage Subsidy may continue to qualify for the previously announced 10 per cent wage subsidy
For more details about the program please see the Government of Canada’s official news release and Backgrounder.
For the latest on COVID-19 and how Sun Life is working to support the health and well‑being of plan sponsors and their employees, visit the Group Benefits COVID-19 website.
