Canadian Manufacturing

Close the scab loophole to federal wage subsidy: Unifor

Unifor is also calling on all employers to maintain workforces or recall laid off workers under CEWS

April 27, 2020  by CM Staff

TORONTO – On April 27, Unifor called on the federal government to close a loophole in Bill C-14 that will allow unethical employers using scab labour to qualify for the Canada Emergency Wage Subsidy (CEWS).

“Companies that have chosen to use scabs to prolong labour disputes should not benefit from the scarce emergency funds designed to help legitimately struggling businesses and organizations,” said Jerry Dias, Unifor national president in a statement. “COVID-19 financial support should not be used to weaken workers’ bargaining power.”

Bill C-14 will enact the CEWS, a program designed to provide employers with a subsidy of up to 75% of wages, capped at $847 per week for each employee.

April 27 is the first day that the federal government will begin accepting applications for CEWS.

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“Co-op’s repeated refusal to compromise has been made possible by its use of scabs,” said Dias. “If those scabs are subsidized with federal CEWS cash, the government will further tip the balance in favour of a company that saw over $2 billion in profits between 2018 and 2019.”

Unifor is also calling on all employers to maintain workforces or recall laid off workers under CEWS.


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