Canada and Ontario extend benefits, assistance and orders

August 21, 2020

The governments of Ontario and Canada both announced extensions yesterday to orders and benefits programs introduced in response to COVID-19 and its effects on the economy and employment. The federal government also announced changes to the Employment Insurance (EI) Program as well as three new benefits that will extend through the next year.

I am providing a summary of the provincial and federal announcements for you as well as the full text of the Ontario government News Release and appropriate links to the Government of Canada website.


Ontario
The provincial government has extended most orders under the Reopening Ontario Act (ROA) passed on July 21, 2020, which was in turn passed to ensure certain measures remained in place when the provincial Declaration of Emergency came to an end.

As I have advised previously, to a large extent these are housekeeping matters in that the ROA orders can be extended for up to 30 days at a time, or, alternately, can be ended.

All orders under the ROA have been extended to September 22, 2020, with the following exceptions:

  • The Education Sector order will end on August 31, 2020.
  • The Limitation Periods order will end and suspended time periods will resume running on September 14, 2020.
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A full list of continuing orders is in the text of the News Release below.


Canada
The federal government will extend the Canada Emergency Response Benefit (CERB), make changes to the Employment Insurance (EI) Program and introduce three new recovery mechanisms: the Canada Recovery Benefit, Canada Recovery Sickness Benefit and Canada Recovery Caregiving Benefit.

Extension of the Canada Emergency Response Benefit (CERB)
The CERB will be extended by an additional four weeks to a maximum of 28 weeks, meaning eligible recipients can access CERB until the end of September. At that point, qualifying recipients will be transitioned to either the extended EI program or the proposed Canada Recovery Benefit, both outlined below.

NOTE: The 4-week extension of the CERB and temporary changes to the EI program can be enacted via regulatory changes, however the Canada Recovery Benefit, as well as the other new benefits outlined below, will require legislation to be passed by Parliament. Finance Minister Chrystia Freeland indicated legislation will be tabled once Parliament resumes on September 23, 2020.

Changes to the Employment Insurance (EI) Program
As of September 27, the federal government will be implementing a simplified Employment Insurance (EI) program for one year.

The following measures will be added to help individuals access EI benefits more easily:

  • individuals who receive EI will be eligible for a minimum benefit rate of $400 per week, or $240 per week for extended parental benefits;
  • the threshold of work hours required to qualify will be lowered to a minimum of 120 hours; and,

EI will be extended to at least 26 weeks of regular benefits.
In addition, the government will freeze the EI insurance premium rates for two years.

New Income Support Benefits
With the assumption that the legislation will be passed with the resumption of Parliament, the three new recovery mechanisms will be effective for one year beginning September 27, 2020.

Canada Recovery Benefit

  • Provides a benefit amount of $400 per week for up to 26 weeks to workers who are not eligible for EI, mainly the self-employed and those working in the gig economy.
  • As with individuals on EI, recipients will be able to earn more income while receiving the benefit and will have access to employment and training tools and services.

Canada Recovery Sickness Benefit

  • Provides $500 per week, for up to two weeks, for workers who are unable to work because they are sick or must self-isolate due to COVID-19.
  • This benefit would be available only to individuals without paid sick leave through their employer.

Canada Recovery Caregiving Benefit

  • Provides $500 per week, for up to 26 weeks per household.
  • To be eligible individuals must have been unable to work for at least 60% of their normally scheduled work within a given week because they must provide care to a child or a family member with a disability or a dependent.

The details on each of these three new programs can be found on this page Government of Canada website: Supporting Canadians Through the Next Phase of the Economy Re-opening: Increased Access to EI and Recovery Benefits.

News Release

August 20, 2020

Ontario Extends Orders Under the Reopening Ontario Act, 2020

Extensions needed to address ongoing risks of COVID-19 as province reopens

Ministry of the Solicitor General

TORONTO — The Ontario government, in consultation with the Chief Medical Officer of Health, is extending orders currently in force under the Reopening Ontario (A Flexible Response to COVID-19) Act, 2020 (ROA). The extensions provide the government with the necessary flexibility to address the ongoing risks and effects of the COVID-19 outbreak and ensure important measures remain in place to protect vulnerable populations, such as seniors, people with developmental disabilities and those with mental health and addiction issues.

All orders under the ROA have been extended to September 22, 2020, with the following exceptions:

“We’ve seen great progress in our fight against COVID-19 in recent weeks, but now is not the time to let our guard down,” said Solicitor General Sylvia Jones. “We must continue safely and gradually down the path to recovery while tackling the ongoing effects of this pandemic. We’re conducting an ongoing review and assessment of all orders to determine if they are still necessary and will relax restrictions or lift orders when it is safe to do so.”

On July 21, 2020, the Ontario Legislature passed the ROA to ensure important measures remained in place to address the sustained threat of COVID-19 once the provincial Declaration of Emergency came to an end. Orders, made under the Emergency Management and Civil Protection Act (EMCPA) that were in effect when the ROA came into force, were continued under the new act for an initial 30 days. Under the ROA, orders can be extended for up to 30 days at a time.

The government will continue to review all orders and will report on order extensions to the newly created Select Committee on Emergency Management Oversight.

The following orders under the ROA have been extended until September 22, 2020: