Canada expands financial aid to workers, businesses hit by Omicron restrictions

The federal government is temporarily expanding eligibility for the Canada Worker Lockdown Benefit and the Local Lockdown Program programs to aid those affected by capacity limits imposed in response to the spread of the Omicron variant.

Prime Minister Justin Trudeau made the announcement Wednesday as provinces tighten restrictions on businesses in response to a countrywide surge of COVID-19 cases.

Prime Minister @JustinTrudeau told @CityNewsTO in a year end interview he wouldn’t rule out more COVID supports if needed.
Now with case counts rising and new restrictions, the federal government is expanding the lockdown benefit to include workers hit by capacity limits #cdnpoli

— Cormac Mac Sweeney (@cmaconthehill) December 22, 2021

Finance Minister Chrystia Freeland says those who have lost over 50 per cent of their income due to capacity restrictions “can qualify for the Canada Worker Lockdown Benefit.”

“This benefit will put $300 a week in your pocket to supplement your lost wages,” Freeland said.

This took effect Sunday, Dec. 19 and will run through to Feb. 12.

Targeted aid for businesses

For employers who have had to reduce capacity of their main business by 50 per cent or more, they are eligible for wage and rent subsidy support through the local lockdown program.

“We are lowering the revenue decline threshold from 40 per cent to 25 per cent. Eligible employers will receive wage and rent subsidy support from between 25 per cent to up to 75 per cent depending on how much revenue they have lost. Your organization only needs to demonstrate revenue loss during the current month paired with 2019. Employers will be able to apply for these expanded support programs after the end of each program period in exactly the same way that they received wage and rent subsidy support when those programs were launched last year,” Freeland said.

Freeland defined a lockdown to be when a health authority orders non-essential businesses closed and non-essential workers to stay home.

Over the last few weeks, provinces have tightened restrictions on businesses in response to a countrywide surge of COVID-19 cases.

“These expanded federal support measures will ensure that provinces and public health authorities across the country can continue to make the right difficult decisions they need to make to save lives — confident in the knowledge that the federal government will be there to financially support workers and businesses as we finish this fight,” she said Wednesday.

Currently, no part of the country is officially in lockdown.