Update on Federal Covid 19 Benefits for Canadian Members
A few days ago the Canadian government introduced legislation that lays out details of the new Canada Recovery Benefit (CRB) which will replace the Canada Emergency Response Benefit (CERB). The final eligibility period for CERB ended September 26, 2020, and the new CRB is meant for Canadians who are unable to work but do not qualify for EI.
Here’s what we know so far:
The benefit, which would take effect September 27 and last for one year, would provide a benefit of $500 per week for up to 26 weeks (the government had originally proposed $400 per week but they have increased the amount).
Individuals are eligible for up to 13 two-week periods in which they have earned 50% or less of their average two-week income in 2019 or 50% or less of their average two-week income in the 12 months prior to application.
Self-employed income is defined as income from self-employment less expenses.
If an individual has income of more than $38,000 for 2020 or 2021, they must repay an amount equal to 50 cents for every dollar of income earned in that year above $38,000 of income. This repayment applies up to the total amount of CRB the individual received in the year, and does not take into account any incorrect payment or overpayment.
There are two other benefits included in the new legislation – one for those who are sick or have to isolate due to Covid-19, and one for those who are unable to work because they are caring for someone with Covid-19 or they are caring for dependents whose school, daycare, or care facility is closed due to Covid-19. You can find out more about the new proposed benefits here:
The legislation has just passed first reading, which means it has to go through more steps before it becomes law. It may not pass, or it might be changed before it passes.
We will try to keep you updated with information as it becomes available.
AFM Local 1000