WITH NEW NUMBERS SHOWING THE NATION IS BLEEDING JOBS, THE FEDERAL GOVERNMENT TOOK ANOTHER STEP TO STAUNCH THE WOUND ON FRIDAY, ANNOUNCING IT WOULD EXTEND ITS WAGE SUBSIDY PROGRAM.

Two million more people lost jobs in April

OTTAWA • With new numbers showing Canada is bleeding jobs during the COVID-19 pandemic, the Trudeau government took another step to staunch the wound Friday, announcing it would extend its wage subsidy program.

Prime Minister Justin Trudeau did not provide a date but said he would extend the wage subsidy, which is currently set to expire on June 6, past that point.

“To businesses hit by COVID-19, know this: the wage subsidy will continue to be there for you to help you keep your employees on the payroll,” he said.

Statistics Canada reported Friday that another two million people became unemployed in April, on top of the million who lost their jobs in March. There are also an additional 2.5 million people reporting that they are working substantially reduced hours, leaving a total of 5.5 million either out of work, or with less hours.

The sudden loss of so many jobs is without precedent; even the 1981-82 recession did not lead to such a drastic decline. If any good news can be found in the carnage, it’s that most of the newly unemployed expect their job loss to be temporary.

The wage subsidy covers up to 75 per cent of a worker’s salary, with employers encouraged to provide the balance. According to the government it has been used to pay roughly two million people. By contrast, more than 7.5 million have applied for Canada Emergency Response Benefits, which provides the jobless with $2,000 per month.

The new numbers reveal people in the service sector were hit hard by the layoffs caused by the crisis, with women bearing the brunt.

“People who are already disadvantaged or facing extra barriers are always the first to get hit when we have a difficult situation like this,” said Trudeau.

He said his government wanted to ensure that when the economy bounces back, it comes back stronger and provides a more level playing field, Trudeau said:

“We need to make sure that as we move forward to rebuilding and creating a more prosperous Canada in the coming months and years, we think very carefully about how important the work that is being done by women and vulnerable Canadians.”

The Conservatives said the government should do more to ensure Canadians returning to work can keep part of their benefits.

Conservative MP Dan Albas said the Liberals should be flexible, so workers aren’t tempted to avoid returning to work because to do so would lead to a big reduction in their government benefits.

“Liberal failures cannot be allowed to hold Canadians back. Canada’s economic recovery depends on small businesses and their employees getting ahead,” he said.

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