OTTAWA (July 8, 2020) – Canadian Manufacturers & Exporters (CME) takes note of the fiscal economic update presented today by the Minister of Finance Bill Morneau and reaffirm calls for measures to spark the Canadian economy.
“Given the scope of the crisis, today’s announcement that the government will run a $343.2 billion deficit was both unavoidable and necessary. Manufacturers commend the efforts of the government to help businesses weather the crisis. However, we are still hoping to see more support for the sector in the months to come. Canada has the opportunity to reshape our economic landscape and future prosperity over the coming months. With the right conditions, a strong, innovative, and resilient manufacturing sector can help drive Canadian prosperity and respond to any future crisis,” said Dennis Darby, President and CEO of CME.
CME has suggested three short-term measures the government should enact immediately to ensure Canada’s manufacturing industry survives the COVID-19 crisis, recovers strongly, and thrives over the long-term:
- Fixing outstanding access issues with current relief programs including relaxing the qualifying criteria for the Canada Emergency Wage Subsidy (CEWS), introducing a pro-rated subsidy, and extending the program beyond August. And, expanding access to the Canada Commercial Rent Assistance (CCRA) program by making the funds available directly to renters and covering larger companies and rent.
- Implementing a rapid arbitration process for companies who were denied access to relief programs
- Spurring consumer spending through “Cash for Clunkers”, a home renovation tax credit, and a three-month sales tax holiday.
Additionally, we call on the government to introduce support programs to help companies offset the costs of protective barriers, additional PPE, and training of their staff on new guidelines and protocols. “Given that the crisis is far from over, manufacturers need the government to take bold action and create the right business conditions to get the economy growing and to improve the prosperity of the country” added Darby. “We look forward to continuing to collaborate with the government to put in place the measures we recommend.”
ABOUT CANADIAN MANUFACTURERS & EXPORTERS
Since 1871, Canadian Manufacturers & Exporters has been helping manufacturers grow at home and, compete around the world. Our focus is to ensure manufacturers are recognized as engines for growth in the economy, with Canada acknowledged as both a global leader and innovator in advanced manufacturing and a global leader in exporting. CME is a member-driven association that directly represents more than 2,500 leading companies who account for an estimated 82 per cent of manufacturing output and 90 per cent of Canada’s exports.