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Federal Benefits for Hardest Hit Sectors Now Available

Wednesday, January 5, 2022

Applications are now open for federal programs to support hardest hit sectors, including tourism and hospitality businesses. 

Support will be available through two streams:

  • Tourism and Hospitality Recovery Program, which will provide support through wage and rent subsidies to, for example, hotels, tour operators, travel agencies, and restaurants, with a subsidy rate of up to 75 per cent. Eligible organizations would be required to meet the following two conditions to qualify for this program:
    • An average monthly revenue reduction of at least 40 per cent over the first 13 claim periods for the Canada Emergency Wage Subsidy (CEWS)  (12-month revenue decline); and
    • A current-month revenue decline of at least 40 per cent.
    • Applications for period 22 are now open, covering the period of October 24 to November 20, 2021.
  • Hardest-Hit Business Recovery Program, which will provide support through wage and rent subsidies. It will support other organizations that have faced deep losses, with a subsidy rate of up to 50 per cent. Eligible organizations would be required to meet the following two conditions to qualify for this program:
    • An average monthly revenue reduction of at least 50 per cent over the first 13 claim periods for the CEWS (12-month revenue decline); and
    • A current-month revenue decline of at least 50 per cent.
    • Applications for period 22 are now open, covering the period of October 24 to November 20, 2021.

The federal government also announced that it intends to introduce new regulations that would:

  • Expand the Local Lockdown Program to include employers subject to capacity-limiting restrictions of 50 per cent or more; and reduce the current-month revenue decline threshold requirement to 25 per cent. Eligible employers will receive wage and rent subsidies from 25 per cent up to a maximum of 75 per cent, depending on their degree of revenue loss. The 12-month revenue decline test continues to not be required in order to access this support.
  • Expand the Canada Worker Lockdown Benefit to include workers in regions where provincial or territorial governments have introduced capacity-limiting restrictions of 50 per cent or more. As announced previously, this benefit will provide $300 a week in income support to eligible workers who are directly affected by a COVID-19-related public health lockdown, and who have lost 50 per cent or more of their income as a result.