COVID-19: how we’re fighting for better federal relief

Since the beginning of the pandemic, CFIB has pushed all levels of government for economic relief measures.

We have heard from small business owners describing how difficult this time has been, and we’ve made significant progress to alleviate your troubles. Here you'll find some of what we have successfully pushed the federal government to do, as well as what we are still asking to help businesses make it through the crisis.

Most recent update:

On February 9, 2022, the local lockdown expansion was extended to apply for another period ( February 13th to March 11).

On February 7, 2022, the local lockdown expansion was made available for applications. This expansion will apply for periods starting December 19th to February 12th.

See our chart to learn what you need to know about the changes to the COVID support programs.

As more details are available, we’ll update our website with the most accurate, recent information. 

Rent, wage and hiring support for businesses

Tourism and Hospitality Recovery Program (THRP)

Program available from November 20th, 2021 until May 7th, 2022

Businesses that participate in Tourism, Hospitality & Recreational activities will be eligible for additional wage support through the Tourism and Hospitality Recovery Program (THRP). An average monthly loss of at least 40 percent over the past 12 months, as well as a 40 percent loss within the current month, may receive up to a maximum of 75 percent subsidy.

After March 12th, 2022 the subsidy rates will begin to decrease by half through to May 7th, 2022

Some of what CFIB has achieved	What CFIB is pushing for
Extension of the COVID-19 business support subsidies to affected small businesses. Broadening the definition of businesses eligible for access to the THRP.	Include new businesses that started after the pandemic began in all business support programs Return the wage and rent subsidies to the levels used in spring 2021: available to all businesses on a sliding scale as a percentage of their revenue losses to a maximum of 75%. Further broadening the definition of businesses to ensure those who supply and/or rely on the tourism industry are included in the THRP.

Some of what CFIB has achieved

What CFIB is pushing for

Extension of the COVID-19 business support subsidies to affected small businesses.
Broadening the definition of businesses eligible for access to the THRP.

Include new businesses that started after the pandemic began in all business support programs
Return the wage and rent subsidies to the levels used in spring 2021: available to all businesses on a sliding scale as a percentage of their revenue losses to a maximum of 75%.
Further broadening the definition of businesses to ensure those who supply and/or rely on the tourism industry are included in the THRP.

Questions? Here are some helpful resources:

CRA- Tourism and Hospitality Recovery Program (THRP)

CRA- Toursim, hospitality, arts, enterainment, and recreational activities that qualify for the THRP

Hardest-Hit Business Recovery Program (HHBRP)

Program available from November 20th, 2021 until May 7th, 2022

Businesses that do not qualify under the Tourism and Hospitality Recovery Program (THRP) may be eligible for wage and rent subsidies if the following conditions are met. An average of at least 50 percent revenue over the past 12 months, as well as a 50 percent loss within the current month, may receive up to a maximum of 50 percent subsidy.

Some of what CFIB has achieved	What CFIB is pushing for
Extension of the COVID-19 business support subsidies to affected small businesses.	Include new businesses that started after the pandemic began in all business support programs Return the wage and rent subsidies to the levels used in spring 2021: available to all businesses on a sliding scale as a percentage of their revenue losses to a maximum of 75%.

Questions? Here are some helpful resources:

CRA - Hardest-Hit Business Recovery Program Website

Local Lockdown Program

Regular program applies for periods starting October 24th, 2021 until May 7, 2022.

Expanded program now available for applications (this applies for periods between December 19th, 2021, and March 12th, 2022.)

Regular Lockdown

For periods 22, 23, 27 and 28 eligible businesses must meet the following conditions:

Businesses that have undergone a qualifying public health restriction (Businesses activities that were stopped due to COVID-19 for at least 7 days in a row, that count for 25% of a businesses’ pre-pandemic revenues), and
A demonstrated 40 percent decline in revenue over the last 12 month. Businesses may receive up to a maximum of 75 percent subsidy.

Expanded program

For periods 24 to 26 government expanded the eligibility to include businesses subject to the following conditions:

To capacity limiting restrictions of 50 percent or more for 7 days in a row or longer due to COVID, and
Demonstrated 25 percent decline in revenue in the current claim period

Some of what CFIB has achieved	What CFIB is pushing for
Reduce the revenue support from 40% to 25% to allow for easier access to the programs Include a 50% capacity limit in the definition of local lockdown	Extend the temporary provisions of the Local Lockdown Benefit past February 12th and for as long as there are businesses in Canada still facing restrictions of at least 50%.

Questions? Here are some helpful resources:

CRA - Local Lockdown Program

Canada Recovery Hiring Program (CRHP)

Program will run from June 6, 2021 to November 20, 2022

The CRHP provides eligible employers with a subsidy of up to 50% on working employee wages o to a maximum of $1129/week. Between June 6 and July 3, when both CEWS and CRHP are running, any amount of revenue drop will be eligible. Eligible employers will be able to take advantage of the program that provides them with the greater subsidy, but they will not be able to use both. After July 3, 2021, Employers will need a 10% revenue drop to be eligible for CRHP.

Some of what CFIB has achieved	What CFIB is pushing for
CFIB recommended in all its pre-budget meetings to introduce significant hiring incentives to help reunite employees and employers, as well as offset the cost of CPP/QPP increases.	Include new firms and others who did not have a CRA Business Number before March 15, 2020.

Questions? Here are some helpful resources:

Canada Emergency Wage Subsidy (CEWS)

Program available to businesses in any sector until October 23, 2021.

From October 24, 2021 to May 7th, 2022 the CEWS will only be available to businesses eligible to the Tourism & Hospitality Recovery Program, the Hardest-Hit Business Recovery Program, and the Local Lockdown Program.

The CEWS is a government wage subsidy for businesses whose revenues are impacted by COVID-19. This program will overlap and transition into the Canada Recovery Hiring Program (CRHP); however, the current timeline to start scaling back the subsidy is too early as too many small businesses will still not be able to fully operate.

Some of what CFIB has achieved	What CFIB is pushing government to do
Introduction of a COVID wage subsidy for employers to retain employees. Expansion from a 10% to a 75% wage subsidy. Greater access to CEWS: Lower revenue drop test (15%) for March 2020, Elimination of the 30% revenue drop test, and More months to compare sales to, which helps new and growing firms who might not have qualified otherwise Extension of CEWS from June 6, 2020 to September 25, 2021. Introduction of a sliding scale. Extension of CEWS from September 25, 2021 to October 23, 2021.	Delay the decrease in subsidy rates beyond July 3rd until the economy is more fully reopen, including the borders. Include new firms and those who had a CRA Business Number after March 15th. Simplify the subsidy and ensure access for business owners who employ family members and are paid in dividends. Introduce a 25% top-up for businesses closed under public health orders. Upon future audits, be flexible in requiring reimbursement should a firm’s revenue drops fall within 5% short of set thresholds.

Some of what CFIB has achieved

What CFIB is pushing government to do

Introduction of a COVID wage subsidy for employers to retain employees.
Expansion from a 10% to a 75% wage subsidy.
Greater access to CEWS:
- Lower revenue drop test (15%) for March 2020,
- Elimination of the 30% revenue drop test, and
- More months to compare sales to, which helps new and growing firms who might not have qualified otherwise
Extension of CEWS from June 6, 2020 to September 25, 2021.
Introduction of a sliding scale.
Extension of CEWS from September 25, 2021 to October 23, 2021.

Delay the decrease in subsidy rates beyond July 3rd until the economy is more fully reopen, including the borders.
Include new firms and those who had a CRA Business Number after March 15th.
Simplify the subsidy and ensure access for business owners who employ family members and are paid in dividends.
Introduce a 25% top-up for businesses closed under public health orders.
Upon future audits, be flexible in requiring reimbursement should a firm’s revenue drops fall within 5% short of set thresholds.

Questions? Here are some helpful resources:

CFIB’s COVID-19 CEWS page
CRA’s CEWS website

$60,000 Canada Emergency Business Account (CEBA)

Applications to financial institutions are no longer available as of June 30, 2021

Applicants experiencing delays or upload document issues may still fix these issues with their financial institutions.

CEBA is a lending program that can help small firms pay expenses that cannot be deferred during this challenging period. The loans are interest-free, backed by the Government of Canada and forgivable up to $20,000 when paid back by December 31, 2023.

Some of what CFIB has achieved	What CFIB is pushing for
Increase of the loan amount to $60,000. Increase of the forgivable portion to $20,000. Expansions of the payroll stream eligibility requirement from a $50,000 to $1 million range to a $20,000 to $1.5 million range Introduction of the CEBA Non-Deferrable Expenses Stream to allow: Sole proprietors, Businesses who rely on contractors, and Those who pay themselves in dividends. Expansions for businesses using personal accounts. Extend CEBA deadlines to June, 2021. Helped EDC to improve its call centres. Extend the CEBA repayment deadline and interest free period to December 31st, 2023	Include new firms and those who had a CRA Business Number after March 1st. Remove the requirement to have signed contracts/agreements dated between January 1st and March 1st to make a business eligible for the non-deferrable expenses stream. Make micro-sized businesses with less than $40K of non-deferrable expenses eligible. Include dividends as an eligible non-deferrable expense. Simplify the tax calendar year requirement. Make businesses using third-party payroll providers eligible. Be more flexible with the criteria for eligible Non-Deferrable Expenses as it currently sets limitations that are unfair to many small businesses with legitimate non-deferrable expenses. Expand CEBA to $80,000. Increase the amount forgiven to 50%.

Some of what CFIB has achieved

What CFIB is pushing for

Increase of the loan amount to $60,000.
Increase of the forgivable portion to $20,000.
Expansions of the payroll stream eligibility requirement from a $50,000 to $1 million range to a $20,000 to $1.5 million range
Introduction of the CEBA Non-Deferrable Expenses Stream to allow:
- Sole proprietors,
- Businesses who rely on contractors, and
- Those who pay themselves in dividends.
Expansions for businesses using personal accounts.
Extend CEBA deadlines to June, 2021.
Helped EDC to improve its call centres.
Extend the CEBA repayment deadline and interest free period to December 31st, 2023

Include new firms and those who had a CRA Business Number after March 1st.
Remove the requirement to have signed contracts/agreements dated between January 1st and March 1st to make a business eligible for the non-deferrable expenses stream.
Make micro-sized businesses with less than $40K of non-deferrable expenses eligible.
Include dividends as an eligible non-deferrable expense.
Simplify the tax calendar year requirement.
Make businesses using third-party payroll providers eligible.
Be more flexible with the criteria for eligible Non-Deferrable Expenses as it currently sets limitations that are unfair to many small businesses with legitimate non-deferrable expenses.
Expand CEBA to $80,000.
Increase the amount forgiven to 50%.

Questions? Here are some helpful resources:

CFIB’s COVID-19 CEBA page
EDC's CEBA website

Rent (CECRA & CERS)

Canada Emergency Commercial Rent Assistance (CECRA) - Closed

From April to October of 2020, the CECRA allowed commercial property owners to apply for rent assistance for their tenants. This program is now closed and no longer taking applications.

Canada Emergency Rent Subsidy (CERS) - Closed

Program available to businesses in any sector until October 23, 2021.

From October 24, 2021, to May 7th, 2022 the CERS will only be available to businesses eligible to the Tourism & Hospitality Recovery Program, the Hardest-Hit Business Recovery Program, and the Local Lockdown Program.

The Canada Emergency Rent Subsidy (CERS) was created to provide rent and mortgage support directly to small businesses, charities and non-profits affected by COVID-19. The subsidy is available on a sliding scale (with a maximum amount of 65%) for businesses that can demonstrate a revenue loss.

An additional top-up of 25% (i.e., a maximum possible subsidy of 90%) will be available for organizations temporarily shut down by a mandatory public health order issued by a qualifying public health authority.

Some of what CFIB has achieved	What CFIB is pushing for
Replacement of the CECRA and introduction of the CERS program to provide rent relief to struggling businesses, with three major recommendations for rent support being implemented through CERS: The program is independent of landlord participation. It continues until June 2021. It provides support to businesses with revenue losses on a sliding scale. Amendment to the legislation to allow a firm to receive the subsidy in advance with a commitment to use that money to pay their rent bill within 60 days. Extension of CERS from September 25, 2021 to October 23, 2021.	Delay the decrease in subsidy rates beyond July 3rd until the economy is more fully reopen, including the borders. Ensure rent support is simple. Include new firms and those who had a CRA Business Number after September 27th. Pay 50% of rents retroactively for those who qualified for CECRA from April to September but did not get it due to the landlord’s lack of participation. Ensure CERS is paid on a monthly, not a 4-week basis. Make rent paid between non-arm's length entities eligible to CERS. Create a new agreement. pathway for businesses without a formalized lease.

Some of what CFIB has achieved

What CFIB is pushing for

Replacement of the CECRA and introduction of the CERS program to provide rent relief to struggling businesses, with three major recommendations for rent support being implemented through CERS:
- The program is independent of landlord participation.
- It continues until June 2021.
- It provides support to businesses with revenue losses on a sliding scale.
Amendment to the legislation to allow a firm to receive the subsidy in advance with a commitment to use that money to pay their rent bill within 60 days.
Extension of CERS from September 25, 2021 to October 23, 2021.

Delay the decrease in subsidy rates beyond July 3rd until the economy is more fully reopen, including the borders.
Ensure rent support is simple.
Include new firms and those who had a CRA Business Number after September 27th.
Pay 50% of rents retroactively for those who qualified for CECRA from April to September but did not get it due to the landlord’s lack of participation.
Ensure CERS is paid on a monthly, not a 4-week basis.
Make rent paid between non-arm's length entities eligible to CERS.
Create a new agreement. pathway for businesses without a formalized lease.

Questions? Here are some helpful resources:

CFIB’s COVID-19 rent page
CRA CERS website

Work-Sharing Program

Program available

The Work-Sharing Program is a three-way agreement that can be negotiated between Service Canada, the employer and the employee to provide EI benefits to workers who agree to reduce their normal working hours as a result of developments beyond the control of their employers. Due to the pandemic, the program has been enhanced so that:

The maximum duration is 76 weeks rather than 38.
The 30-day wait period will be waived for those who have used the program in the past.
Applications will be accepted within 10 days instead of 30.

What CFIB has achieved	What CFIB is pushing for
Expansion of the program Alerted Service Canada to CERB & EI-Work-Sharing issues. Reduced the red tape in the Work-Sharing application process.	The expanded Work-Share to continue to support businesses past March 14, 2021.

Questions? Here are some helpful resources:

CFIB’s COVID-19 Work-Sharing page

Business Credit Availability Program (BCAP)

Program CLOSED as of December 31, 2021

The Business Credit Availability Program (BCAP) provides loans to businesses experiencing challenges through the Business Development Bank of Canada (BDC) and Export Development Canada (EDC). This program aims to help businesses cover their operating costs. Speak to your financial institution account manager to determine what help is available to your business.

What CFIB is pushing for
Speed up the application process. Shorten waiting times and disburse money quickly. Open the programs to more businesses.

Questions? Here are some helpful resources:

CFIB’s COVID-19 BCAP page

Highly Affected Sectors Credit Availability Program (HASCAP) Guarantee

Program CLOSED since March 31, 2022

The HASCAP provides a loan between $25,000 and $1 million per legal entity which carries a 4% interest rate. Businesses must demonstrate a minimum 50% revenue loss for at least 3 months within the 8-month period prior to their HASCAP loan application.

Some of what CFIB has achieved	What CFIB is pushing for
Advocating for support for the most affected businesses.	Provide a forgivable portion to the loan. Change the month-by-month revenue drop test to an average revenue drop test of 50%. Facilitate business eligibility by improving communication of HASCAP rules to participating financial institutions.

Questions? Here are some helpful resources:

Regional Development Agency Programs

The Regional Development Agencies (RDA) are providing programs to support businesses and workers affected by the pandemic. Each agency is independent. Please contact yours for more details.

Atlantic Canada Opportunity Agency for NS, NB, PEI, NL (ACOA)
Canada Economic Development for Quebec Regions (CED)
Canadian Northern Economic Development Agency for YT, NWT, NU (CanNor)
Federal Economic Development Agency for Southern Ontario (FedDev)
Federal Economic Development Agency for Northern Ontario (FedNor)
Prairies Economic Development Canada for AB, MB, SC (PrairiesCan)
Pacific Economic Development Canada for BC (PacifiCan)

COVID Programs:

Tourism Relief Fund (TRF) - Available until March 31, 2023
Jobs and Growth Fund (JGF) - Available until March 31, 2024
Canada Community Revitalization Fund (CCRF) - Available until March 31, 2023
Major Festivals and Events Support Initiative (MFESI) - Available until March 31, 2023
Regional Air Transportation Initiative (RATI) - Available until March 31, 2023
Canada Seafood Stabilization Fund (CSSF) - CLOSED
Regional Relief and Recovery Fund (RRRF) - CLOSED
Northern Business Relief Fund (NBRF) - CLOSED

Tourism Relief Fund (TRF)

Program available in all RDA until March 31, 2023

The Tourism Relief Fund (TRF) is a:

non-repayable contribution of up to $100,000 for up to 50% eligible costs, OR
fully repayable contribution of up to $500,000 for up to 75% of eligible costs.

Eligible recipients must be part of the tourism ecosystem and cater mainly to visitors (not local residents), and the projects need to have a focus on product development (e.g., enhance tourism experiences, modernize offerings, etc.) or on destination development (e.g. enhancing tourism services). Restaurants, retail and hotel chains are normally not eligible but may be if they are part of a defined tourism cluster. This program is open for applications, up until March 2023 and is available to new firms.

Jobs and Growth Fund (JGF)

Program available in all RDA until March 31, 2024

The Jobs and Growth Fund (JGF) offers an interest-free repayable contribution for up to 50% of authorized costs (not to exceed $10million). Eligible projects must either support a transition to a green economy (green technology), foster an inclusive recovery (support for businesses owned or majority led by underrepresented groups), preserve Canada's competitiveness and help SMEs with digital adoption (development of digital/technological solutions, or help scale businesses) or strengthen capacity in sectors critical to Canada's recovery and growth (support scale-up activities in traditional and emerging areas, help with supply chain adaptation in sectors like food production, medical supplies, manufacturing). Some of the funding was specifically dedicated to new businesses created after January 2020 that meet the eligibility criteria.

Canada Seafood Stabilization Fund (CSSF)

Program available in CED, ACOA, PrairiesCan, and PacifiCan until March 31, 2022

The CSSF will invest in the fish and seafood processing sector by helping applicants increase storage capacity, plan operations and market responsiveness. Awarded contributions will be repayable except for authorized adaptation projects aimed to help businesses meet new compliance standards required due to the pandemic.

Major Festivals and Events Support Initiative (MFESI)

Program available in CED, FedDev, PrairiesCan, and PacifiCan until March 31, 2023

Organizations in the major festivals and events industry with annual revenues exceeding $10 million will have access to repayable loans to:

Help with cashflow to continue operations or adapt activities to new pandemic related realities
Enhance their products and offerings to comply with new/current health standards as defined by the relevant public authorities.

What CFIB is pushing for
Limit the paperwork required to access these funds, increase the speed of all agencies involved and ensure money flows fast to businesses.

Questions? Here are some helpful resources:

For more details on gaps and recommendations for the COVID relief programs please refer to the following recent letters sent to government:

FAQ on COVID-19

We’re dedicated to supporting your business through this difficult time by compiling answers to the most common COVID-19 questions and keeping you up to date on the latest relief measures from the provincial governments. Visit our COVID-19 Small Business Help Center to learn more.

More resources

Watch our COVID-19 webinars

We host frequent COVID-19 webinars aimed at helping your business cope with the ongoing pandemic. We also partner with other organizations to cover a variety of topics useful to you.

WATCH OUR WEBINARS

Join the fight for more relief

We know your business needs more help from government if it's going to survive the COVID-19 pandemic. Sign our petition to join CFIB and business owners across Canada in the fight for greater relief.

SIGN THE PETITION

How are Canada's businesses doing?

We're regularly surveying our members on the impact of COVID-19 on their business—and using the data to put more pressure on governments for greater relief measures.

SEE THE SMALL BUSINESS RECOVERY DASHBOARD