COVID-19 Announcement-Week of March 31-April 3, 2020 (Brief #3) - AUPE
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COVID-19 Announcement-Week of March 31-April 3, 2020 (Brief #3)
The week of March 30-April 3, 2020 the government of Canada along with the Government of Alberta made
several economic announcements related to fighting COVID-19 and to supporting families throughout the
country. In addition to the policies and investments announced this week the Government of Canada will be
returning to Parliament soon to pass parts of the economic relief, and the Government of Alberta introduced
three new pieces of legislation this week (discussed below).
Government of Canada
This week the Government of Canada announced changes to the COVID-19 Economic Response Plan. Below
is a summary of the benefits that will be available to individuals and businesses. However, it is important to
note that the Government has recalled parliament in order to pass parts of this economic plan. This economic
plan is being discussed and debated April 3, 2020 from 12-4PMi. More information will be available in the
coming days, and it is possible that given the comments provided by experts during the discussion that the
plan could be amended.
1. Support for Individuals & Families
a. Increasing the Canada Child Benefit: individuals will have access to an additional $300 per child
for 2019-2020. This will mean an approx $550 more for the average family
b. Special Goods & Services Tax Credit Payment: one time payment starting April 9 for low and
modest income families. The average additional benefit will be close to $400 for single
individuals and close to $600 for couples
c. Extra time to file income tax returns: the return filing due date for individuals will be deferred
until June 1, 2020. New income tax balances due, or instalments to be deferred until August 31,
2020 without incurring penalties or interest
d. Mortgage Support: Canadian banks have committed to working with individuals on a case by
case basis. According to press releases and COVID-19 updates the government of Canada has
been negotiating with banks to try and provide more relief to Canadians.
2. Support for those facing unemployment
a. The Canada Emergency Response Benefit: this will provide $2000/month for up to 4 months for
eligible workers. This benefit can be accessed early April, 2020.
i. Eligibility for the Benefit includes:
1. Those residing in Canada, who are at least 15 years old
2. Those who have stopped working because of COVID-19 or are eligible for
Employment Insurance regular or sickness benefits
3. Who had income of at least $5000 in 2019 or in the 12 months prior to the date of
their application. The $5000 can be from any or a combination of the following
sources: employment; self-employment; maternity and parental benefits under
the EI program, and or similar benefits paid in Quebec under the Quebec
Parental Insurance Plan.
4. Who are or expect to be without employment or self-employment income for at
least 14 consecutive days in the initial four week period
ii. This benefit is only available to those who stopped work as a result of reasons related to
COVID-19
iii. You do not need to have been laid off to receive the benefit. You just need to have
stopped working as a result of COVID-19 and be without employment income for at least
14 consecutive days.
iv. The $5000 income does not have to have been earned in Canada, but you need to
reside in Canadaii.
1b. Some workers can apply for Employment Insurance. Although as we have noted previously EI
only provides 55% of previous salary, so CERB would have provided a higher rate.
3. Support for people who are sick, quarantined, or in directed self-isolation:
a. They may be eligible for CERB, or
b. If they are not eligible for CERB they may have access to the EI sickness benefits. If an
individual is sick, quarantined, or has been directed to self-isolate, the federal government to
provide a medical certificate to access the EI sickness benefit
4. Support for communities who are at higher risk:
a. Indigenous Community Support Fund: this will provide $305 million to address the immediate
needs in First Nations, Inuit, and Metis Nation Communities
b. Enhanced the Reaching Home Initiative: continue to support those experiencing homelessness
with an additional $157.5 million
c. Support for Women’s shelters & sexual assault centres: $50 million to help with their capacity
and to manage or prevent an outbreak in their facilities
5. Support for Seniors:
a. Reduced minimum withdrawals for Registered Retirement Income Funds by 25% for 2020
b. Contributed to $9 million to the United Way Canada for local organizations to support practical
services to Canadian seniors
6. Support for students & recent graduates
a. Effective March 30 there is a 6 month interest free moratorium on the repayment of Canada
student loans for all student loan borrowers. Students do not need to apply for the repayment
pause.
7. Support for Youth:
a. $7.5 million in funding to Kids Help Phone to provide mental health support during this difficult
time
Supports for Businesses:
1. Extending the Work-Sharing Program: the maximum duration of the work-sharing program is extended
from 38 weeks to 76 weeks. The work sharing program is offered to workers who agree to reduce their
normal working hours because of the developments beyond the control of the employer
2. The Canada Emergency Wage Subsidy:
a. This would cover 75% of salaries for qualifying businesses, for up to three months, retroactive to
March 15, 2020. This is an increase above the 10% wage subsidy previously announced
b. Employers of all sizes and across all sectors of the economy are eligible. Including charities and
not-for-profits
c. Organizations who do not qualify for the 75% may still qualify for the previously announced 10%
paid from March 18, to before June 20, 2020
3. Establish a Business Credit Availability Program:
a. Provide $65 billion in additional support through the Business Development Bank of Canada
and Export (BDC) Development Canada (EDC). This includes:
i. Canada Emergency Business Account: provide interest free loans of up to $40,000 to
small businesses and not-for-profits, to help cover their operating costs. To qualify for
this these organizations need to demonstrate that they pay between $50,000 to $1
million in total payroll in 2019
ii. Loan Guarantee for Small and Medium-Sized Enterprises: EDC is working with financial
institutions to issue new operating credit and cash flow term loans of up to $6.25 million
for SMEs
4. Support for Farmers:
2a. Supporting the Farm Credit by allowing an additional $5 billion in lending capacity to producers,
agribusiness, and food processors. This will offer increased flexibility to farmers who face cash
flow issues.
5. Flexibility with Income Taxes:
a. all businesses can defer until August 31, 2020 the payment of any income amounts that
become owing on or after March 18 and before September 2020.
6. Deferral of Sales Tax Remittance and Customs Duty Payments:
a. Allow businesses and self-employed individuals to defer until June 30, 2020 on GST and HST
7. Support for the Air Transportation Sector
a. The Federal government is waving ground lease rents from March 2020 through to December
2020 for the 21 airport authorities that pay rent to the federal government.
Costs of some the Federal Government Initiatives (based on information put out March 18, 2020 available as
of April 2, 2020)
● The boost to the Canada Child Benefit to cost $2 billion
● The Special top up payment under the GST credit is expected to put $5.5 billion into the economy
● $2 billion in investment to industry for diagnostic equipment and other supplies to fight COVID-19
● Wage subsidy estimated to cost $71 billioniii
Canada’s Plan to Mobilize Industry to fight COVID-19
● On March 31, 2020 Prime Minister Trudeau announced that the government of Canada is investing $2
billion to support diagnostic testing and to purchase ventilators and protective personal equipment
including bulk purchases with provinces and territoriesiv
● This include an additional funding of $1.5 billion over two years starting in 2019-2020 to the Public
Health Agency of Canada to support diagnostic testing, urgent purchase of PPE, ventilators, and
supplies
● THe government is also providing $500 million to the Public Health Agency in 2020-2021
● The Government is beginning partnerships with the following companies: Thornhill medical, Medicom,
and Spartan Bioscience to purchase and boost capacity to manufacture equipment and supplies
● In addition $50 million has been made available in funding for members of the Next Generation
Manufacturing Supercluster to develop and scale-up new, in demand technologies, equipment, and
medical productsv
Gaps in the CERB program:
● Right now with the way the program is that workers either apply for CERB or EI. This means that there
are going to be a lot of workers who may not receive CERB. Since EI only provides 55% of an
individual’s previous income, for many workers CERB payments would be larger. For example, retail
workers, restaurant workers, and those who do freelance work may receive more money through
CERB. However, for those workers who earn $54,200 or more, CERB payments would be lower than
the maximum payment for EI of $573 per week.
● CERB still does not apply to many Canadians. Some of these folks include:
○ Post-secondary students. Some students may be working throughout their degree, however,
they only qualify for this benefit if they made more than $5000/year
○ Anyone who made less than $5000 in the last year
○ If they were seasonal workers last year and were expecting seasonal work this year, but due to
COVID-19 won’t be able to work or won’t be getting work they won’t meet the criteria for this
benefit
○ Those who were laid off in January or February and were not able to find work
3○ Those who need to work multiple jobs to be able to afford rent etc and who lost one or two jobs
but still do not have enough to make enough to meet their needs
○ It is unclear if their eligibility refers to the legal reference to residency and whether or not this
includes refugees who may not have their permanent citizenship
○ Those who have recently been released from correctional facilities. Economic barriers such as
unemployment increases their risk of experiencing homelessness or recidivism which does not
help during a pandemic.
○ Those who do freelance or contract work and have lost a lot of their work but not all of their work
○ In his announcement on April 2, 2020 Prime Minister said they are looking into ways to help
people who may not qualify for CERB
Gaps in the Business Support
● Organizations like Rank and File have noted that the wage subsidy provides relief to employees
through their employer rather than directly providing the support to employees. This shifts the priority to
the employer rather than being a workers first or worker centred policy.
● This policy will only serve to reinforce the existing economic inequities throughout Canada as those
employers are paying employees 75% of their salary. Therefore those who made more pre-pandemic in
their regular salary will continue to receive more than those who make minimum wagevi .
● In addition as Rank and File and the Canadian Centre for Policy Alternatives have noted, the labour
market is divided along race, gender, and ability. As a result, any economic and policy solutions to
COVID-19 that do not take these divisions into consideration will not be as effective as they need to be.
● For example, according to Rank and File in 2018 when looking at full time work, for every $1 a man
made a woman made $0.86 on average. When they looked at the data from 2016 which takes into
account part time work, this rate drops to $0.69. In a 2012 survey, an Indigenous woman working full
time year round has a wage gap of $0.65 compared to a non-Indigenous manvii.
● In a cross-jurisdictional study between 1998 and 2018, Statistics Canada found that in 2018 Alberta
had one of the largest wage gaps between men and women in Canadaviii.
● The Canadian Centres for Policy Alternatives has noted that the significant gendering of frontline work
either in health care or in accommodations and food services should play an important role in how we
understand the economic relief packages, and that the Federal government should be taking these
factors in consideration when creating economic relief packages.
● For example, women represent over 90% of nurses, 75% of respiratory therapists, and 80% of those
working in medical labs across Canada. In addition, over two-thirds of the the people who clean and
disinfect our hospitals, schools and office buildings are womenix. If those working in health care or in
grocery stores or in hotesl who are all helping to address the pandemic if they are at a risk of
contracting COVID-19 not only with the health care system be impacted but so will all frontline services.
Government of Alberta
Economic:
Funding to the Energy War Room:
• The Government of Alberta slashed the budget for Alberta’s Energy War Room for the next three
months.
• If this reduction were applied on an annual basis, that would reflect 90% reduction to the operating
budget from $30M to $2.84Mx
Funding for Pipelines:
• The GoA finalized an agreement with the Calgary based energy company-TC Energy Corporation in
order to accelerate the construction of Keystone XL pipeline
4• The investment includes: $1.5 billion in equity in 2020
• $6 billion loan guarantee in 2021
• This project is estimated to create 1,400 direct and 5,400 indirect jobs in Alberta during constructionxi
• It has been estimated that the construction of Keystone XL will create 13, 200 jobs with 10,400 in the
U.S and 2,800 in Canada. Fewer construction jobs will be created in Canada because the pipeline
route is mainly through the United States. This will result in Albertans seeing fewer direct benefits than
our American counterpartsxii.
• Estimated that this will generate $30 billion in tax and royalty revenue
• TC Energy is reimbursing the government of Alberta 12 months after oil is flowingxiii
Workplace Policy
Re-Hiring Retired Nurses and LPNs
● AHS has now started recruiting retired and former RNs and LPNs to help during COVID-19, from the
information available online it is not clear if these workers are in or out of scopexiv
Social Policy:
Funding for School Nutrition:
● An additional $3 million is being provided to nine nonprofits to provide additional assistance for
vulnerable k-12 students and families
● This is in addition to the $15.5 Million for the school nutrition program
● School boards have been asked to find innovative ways to provide meals or food to students even
though classes are not currently being held
● Each organization will receive either $300,000 or $375,000
● This includes:
○ Two organizations in Edmonton
○ Two organizations in Calgary
○ One in Fort McMurray
○ One in Grande Prairie
○ One in Lethbridge
○ One in Medicine Hat
○ One in Red Deer
● About 40,000 students receive meals through this program in about 450 schools during the first part of
the 2019-2020 yearxv
Expanded Child Care for Essential Workers
● In addition to the previously eligible frontline health-care workers, infrastructure workers, and first
responders child care is now available to anyone who works in the areas outlined as essential by the
government
● The full list of essential workers can be found at: alberta.ca/essential-services.aspx
● The list does include those who work at grocery stores as well as many other services, and it includes
those who work in LTC, licensed supportive living, and home carexvi .
Hospital Fees:
• As of April 3, 2020 AHS has made parking free to health care workers and the general public
• According to the government this will lead to a “loss” of revenue from parking of $7.6 Million/monthxvii
Cost Breakdown of the $9.961 billion support package
1
Based on 6 months of free parking at hospitals at a cost of $7.6 million per month
5● Expanded Child Care-cost unknown as this is changing quickly [NEW]
● Additional $3 million for the school nutrition [NEW]
● $1.5 billion for the TMX Pipeline construction in 2020 [NEW]
● Free Parking for Health Care workers & the general public at hospitals: $7.6 million/month [NEW].
Estimated cost for six months: $ 45.6 Million
● Health care funding: $500 M
● Emergency Isolation: $50 M
● Community and Social Services funding: 60M
● Adult Homeless Shelters ($25M)
● Women’s emergency shelters ($5M)
● Community based organizations ($30M)
● Freezing Education property taxes: $87 million
● Student loan interest waived for 6 months: $45 million
● Two month extension of driver’s license, vehicle registration, and ID card expiry: up to $60 million
● Alberta student loan deferral: $148 million
● ATB financial customer relief program: total loans to consumers and businesses that qualified for
deferrals-$3.6 B to date
● Government to pay 50% of WCB premiums for small and medium-sized businesses $350 million
● 6 month education property tax deferral for businesses: $458 million
● Government to pay AB Energy Regulator industry levy for 6 months: $113 million
● Corporate income tax payment deferral to Aug 31 interest free: $1.5 billion
● Workers Compensation Board premium payment deferral: $750 million
● Two month extension of filing deadline for annual returns with Alberta Corporate Registry: up to $6.3
million
● Defer tourism levy for hotels and other lodging providers until August 31: frees up more than $5 million
for employersxviii
Legislation:
This week the government introduced three new pieces of legislation. They are listed and briefly described
below.
1. Bill 10: Public Health (Emergency Powers) Amendment Act
a. This legislation makes amendments to the Public Health Act and the Peace Officers Act
b. With regards to Peace Officers, this legislation makes amendments that allow for the
Government to in a State of Emergency (under the Emergency Management Act) or in a Public
Health Emergency (under the Public Health Act) to redeploy Peace Officers to other duties for
the duration of the emergency up to 90 days after the order has been made; however, this
duration can be extended for a period specifiedxix
c. This legislation also provides additional powers to police officers to help with inspections and
the enforcement of public health orders
d. As of April 3, 2020 this has passed third reading and received royal assent.
2. Bill 11: Tenancies Statutes (Emergency Provisions) Amendment Act, 2020
a. This legislation makes amendments to the Residential Tenancies Act and the Mobile Home
Sites Tenancies Act
b. This legislation will ensure that individuals do not experience rent increases during the duration
of the public health emergency, and that individuals are not subject to late payment penalties
c. However, the government has been clear that this is not a rent freeze. As noted below, this
does not provide enough security for tenants.
d. As of April 3, 2020 this has passed third reading & received royal assent.
63. Bill 12: Liabilities Management Statutes Amendment Act, 2020
a. This legislation will enable government to clarify and enable expanded, delegated authority for
the Orphan Well Association to maintain and manage orphan sites
b. As of April 3, 2020 this has passed third reading, received royal assentxx .
4. House Leader Nixon has also mentioned during press conferences that the government may consider
introducing a fourth legislation with amendments to the Emergency Management Act. However, as of
April 2, 2020 this has not been introduced in the house.
What Else does the Government need to do:
In addition to all of the provisions that we have already listed in Brief #1 & #2 we have added the following
policies that the Federal and Provincial government must put into place to ensure the safety and health of
Albertans.
Public Sector:
Short Term:
● This week the province of Quebec announced that nearly 300,000 employees in the public and private
sector will be receving temporary pay increases. Workers who are in direct contact with the disease,
such as emergency room professionals etc will receive an 8% boost in their salaries. There are roughly
69,000 workers who may benefit from this including those working in Long Term Care Centres. Those
who are in the health care system but are not directly exposed to the disease will get a salary increase
of 4%. Those working in private long-term care homes may get an additional $4 an hour. The
government estimates that this will cost them $287 million. Given that the government of Alberta just
provided $1.5 Billion for the construction of TMX in 2020 it is possible to follow Quebec’s lead an
increawse health care workers salaries during this difficult timexxi .
● COVID-19 can have a significant negative impact on Albertans, it is imperative that the Government of
Alberta roll back their plan of firing public sector workers, and instead invest in hiring more public sector
workers. In these difficult times the Government should be ensuring that we have enough social
workers to be able to support Albertans.
● In addition, the Government must ensure that they hire additional Correctional Service Workers,
Correctional Officers, and nurses and LPNs who work in the provincial correctional facilities and
remand centres in order to ensure that COVID-19 does not spread throughout those facilities, and to
reduce the risk that these workers face
Health:
Short Term:
● The Alberta Medical Association and individual doctors have raised concerns about change to the
Physician Funding Framework which was supposed to take effect March 31, 2020. On March 30, 2020
the AMA was told that the government was intended to proceed with the remaining elements of the
framework on March 31, 2020. The government must halt all disruptions to public sector workers during
the state of the public health emergency. Including pausing and/or rolling back and previously
announced changes. Now is not the time to be implementing changes to the health care system, unless
these changes will provide more beds, more supplies, greater care to Albertans and patients, and
unless it will help address the pandemic we are currently inxxii .
● Experience based research and analysis from the HIV/AIDS crisis has demonstrated that those in
correctional facilities benefit from peer education programs and that these types of programs can help
slow and reduce the spread of health challenges such as COVID-19. The government of Alberta and
the Federal Government should quickly begin developing these types of programs in correctional
facilities in order to ensure that those in the facilities are able to receive the information that they need
to stay healthy and safe.
7●Ensure that safe consumption sites remain open while adhering to the best policies and practices for
COVID-19. This will ensure that Alberta is using a harm reduction approach that considers all Albertans
equally. It could also help ensure that there are fewer overdoses during the pandemic, ensure that
people are not contracting other health issues such as hepatitis and HIV which add further strain to the
health care system, and by ensuring social distancing will help reduce the spread of COVID-19.
● The government of Alberta needs to immediately stop housing those experiencing homeless on thin
mats on the floors of facilities. Those experiencing homelessness deserve to be housed in hotels during
the pandemic.
Long Term:
● Work to ensure that parking is always free for health care workers and the general public. Parking costs
put the burden on to workers, families, and those who are ill. This cost should be taken on by the
Government.
● Following the lead of British Columbia the Government of Alberta should take over as the employer for
all LTC and Continuing Care facilities in the province
● Privately provided health care services have been shown to provide lower pay for workers and less
than ideal health conditions for residents.
● This would improve the health of residents, ensure that workers have better working conditions, and
ensure that if we have another pandemic there will be greater control over how outbreaks at LTC can
be handled and dealt withxxiii
● The Government must investigate new means of addressing homelessness in Alberta. Given the
possibility that many businesses may close they should investigate investing in these properties and
repurposing them as housing for those who are experiencing homelessness.
● Additional safe consumption sites must be opened across Alberta.
Support for Low Income Albertans:
● This pandemic has demonstrated that it is possible to provide higher rates of financial support for
vulnerable Albertans. Therefore, it is clear that we could always have been providing higher rates for
those on AISH. Furthermore, the speed at which the Government has implemented the Emergency
Isolation support it is clear that the Government did not need to alter when AISH payments are made,
which Albertans have said have negative consequences on those who receive AISH.
● According to QP on Tuesday March 31, the Minister of Service Alberta said that there is no such thing
as a “rent strike” or “rent holiday” and tenants are still required to pay their rent they just need to enter
into an agreement ahead of time. This does not provide the support needed for tenants during a
pandemic. The Government must immediately cease all rent payments from tenants to landlords, and
instead pay landlords a subsidy that extends until after the pandemic.
i
Government of Canada. (2020). https://www.ourcommons.ca/en/parliamentary-business/2020-04-03
ii
Government of Canada. (2020). https://www.canada.ca/en/department-finance/economic-response-
plan.html
iii
Based on Morneau announcement on April 1, 2020.
https://business.financialpost.com/news/economy/business-wage-subsidies-to-cost-ottawa-around-
71-billion
iv
https://pm.gc.ca/en/news/news-releases/2020/03/31/prime-minister-announces-new-partnerships-
canadian-industries-fight
v
https://pm.gc.ca/en/news/news-releases/2020/03/31/prime-minister-announces-new-partnerships-
canadian-industries-fight
vi
Source: rankandfile.ca/wage-subsidy-problems/
vii
Source: rankandfile.ca/wage-subsidy-problems/
8viii
Source: https://www150.statcan.gc.ca/n1/pub/75-004-m/75-004-m2019004-eng.htm
ix
Canadian Centre for Policy Alternative. Behind the Numbers COVID-19 response must address
gender faultlines. Source: http://behindthenumbers.ca/2020/03/20/covid-19-crisis-response-must-
address-gender-faultlines/
x
CBC News. https://www.cbc.ca/news/canada/edmonton/alberta-canadian-energy-centre-budget-cut-
pandemic-covid-19-1.5515559?fbclid=IwAR2MFb-
td47iDcDDZL2364JIPhRmFid3r9HZm6P1lPLTYmMl7VincJi_-L0 See also: Canadian Energy Centre
reduces budget in response to COVID-19 News Release from the Government of Alberta News.
Source: https://www.alberta.ca/release.cfm?xID=69960C81518F5-A158-D43A-69D835B75C84FBFD
xi
Government of Alberta. (2020). News release:
https://www.alberta.ca/release.cfm?xID=69965D6D6EE7A-92F8-DD89-BBB9E1FE323BD2DD
xii
Parkland Institute. Source:
https://www.parklandinstitute.ca/keystone_xl_investment_benefits_oil_companies_more_than_alberta
ns
xiii
Government of Alberta. (2020). News Release:
https://www.alberta.ca/release.cfm?xID=69965D6D6EE7A-92F8-DD89-BBB9E1FE323BD2DD
xiv
See AHS Source:
https://albertahs.taleo.net/careersection/event_registration_pipeline/jobdetail.ftl?job=ALB00140482&l
ang=en
xv
Government of Alberta. (2020). Source: https://www.alberta.ca/release.cfm?xID=69985583EED83-
0C75-4535-C73FD796C40C1802
xvi
Government of Alberta. (2020). Source: https://www.alberta.ca/release.cfm?xID=699762C5E7F0F-
EC8E-6B55-76C0AA7217CB6409
xvii
Government of Alberta. (2020). News release:
https://www.alberta.ca/release.cfm?xID=699865CBCB8CC-F72A-A5A6-DB683610571C9154
xviii
Government of Alberta. (2020) news release: increased security for Alberta renters. Source:
https://www.alberta.ca/release.cfm?xID=699342AEE2E54-0A42-6D13-2611F6566D88FBDC
xix
Peace Officer Act. Government of Alberta
xx
Government of Alberta. (2020). https://www.alberta.ca/release.cfm?xID=69968F8785969-077F-
B0B4-36E02294A4AA7A61
xxi
CBC News. Source: https://www.cbc.ca/news/canada/montreal/covid-19-april-2-1.5518656
xxii
Source: https://www.albertadoctors.org/services/media-publications/presidents-letter/pl-
archive/government-rejects-call-for-delayed-implementation-of-
framework?fbclid=IwAR1Se7Ip_K0qBVi1TeGULjQ_f3cwW327Wt_SOBAk9KpQw33GN6u6-g-l0HQ
xxiii
Source: https://thetyee.ca/News/2020/04/01/Long-Term-Care-Worker-Pay-
Boosted/?fbclid=IwAR1JuECnXs-qyIDWFPZbgwbC0XumpjgFTsm_gy0pBAXoLKa-J8BU3yT6ZE8
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