The Government of Canada tabled its
2021 budget today, outlining its economic policy for the next year by shoring up ongoing COVID-19 supports while laying groundwork for long-term sustainable growth.
Minister of Finance, Chrystia Freeland's budget acknowledges that pandemic financial supports are still needed and will not be cut as the third wave of the COVID-19 pandemic worsens. At its centrepiece is a long awaited national child-care plan.
Across all programs, the Budget proposes $101 billion in new spending, in addition to more than $350 billion already spent on COVID-19 supports.
The government has renewed its commitment to the Canada Recovery Benefit (CRB), to the benefit of many Equity members. The Budget proposes to provide up to 12 weeks of additional income support for claimants who will be exhausting their current benefits in June 2021. We understand that the first four of these additional 12 weeks will be paid at $500 per week and the remaining eight weeks will be paid at the lower amount of $300 per week.
In the short term, the Government will maintain financial supports to two key programs for businesses hit by the pandemic: the Canada Emergency Wage Subsidy (CEWS) and the Canada Emergency Rent Subsidy (CERS). The continuation of these supports will also directly benefit Equity and its ability to continue to deliver service to members until the pandemic resolves and members safely return to workplaces.
Budget 2021 recognizes that the arts and culture and sports sectors have been disproportionately affected by lockdowns and that the impact of COVID-19 on tourism, arts, and culture has been severe. In response, the government proposes to make available a package of supports, totalling $1 billion over three years, starting in 2021-2022. (See 'Supporting Tourism Hospitality, Arts and Culture' document below.)
- To promote recovery from the pandemic for heritage, arts, and sport sectors, Budget 2021 proposes to provide $300 million over two years, starting in 2021-22, to establish a Recovery Fund for Heritage, Arts, Culture, Heritage and Sport Sectors.
- Other specific funding includes supports for performing arts and community events, making cultural spaces safe during COVID-19, and discrete funding for the National Arts Centre to both address financial pressures caused by COVID-19 and to support collaborations with equity deserving groups to help re-launch the performing arts sector.
Despite the fact that additional weeks of eligibility will be available under the CRB, we are concerned about the reduction of the amount from $500 a week to $300 after July. It is clear to us that our sector will not have recovered sufficiently in order for our members to return to work. As the pandemic continues, it is unclear when audiences will feel safe returning to indoor venues and we believe that supports must stay in place until theatres can safely reopen with the expectation of an audience in attendance. However, we are pleased that both the wage subsidy and rental subsidy will continue until the fall as these supports are essential for Equity to be able to continue to provide support to the membership. While it is not directly tied to our sector, the creation of a reasonable child care plan will offer financial relief for our members who are challenged by the cost of child care.
- Arden R. Ryshpan, Executive Director
Federal budgets must obtain parliamentary approval through a confidence vote taken after a maximum of four days of debate in the House of Commons. Equity will keep members informed as further details about these programs become available.
Budget 2021 (full document):
Recovery Plan for Jobs, Growth, and Resilience
Budget 2021 (excerpt):
Supporting Tourism Hospitality, Arts and Culture
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