Franchisor Revenues have been impacted by Gov't Lockdowns
B.C. bans commercial landlords who eschew federal rent relief from evicting tenants
Landlords in B.C. who are eligible for emergency federal rent relief and choose not to apply will not be able to evict businesses that aren't able to pay rent, B.C. Finance Minister Carole James announced Monday. The emergency order restricts lease terminations, rent-repayment lawsuits, and repossession of goods and properties, and will stay in place until the end of June, when the federal relief program is currently set to end. James said she's heard from businesses and MLAs around the province that there are landlords who haven't applied for the relief, making the program unavailable to their qualified small-business tenants.
Ontario makes temporary change to layoff regulations to help businessesOntario is temporarily amending its labour laws to help businesses avoid permanently laying off workers and paying out severance, which could send some into bankruptcy during the pandemic. The government is expected to announce today that it will amend the Employment Standards Act, which requires businesses to terminate employees who have been laid off for 13 weeks. The law then requires the business to pay severance to workers. The change will see non-unionized workers who have had their hours reduced or eliminated placed on a temporary leave that preserves their job. Workers will still be eligible for federal emergency income support programs.
Ontario extending State of Emergency to June 30The state of emergency, which was set to expire on June 2, will be extended until June 30 if the motion is passed on Tuesday at Queen's Park. The province declared a state of emergency on March 17 as the number of COVID-19 cases in Ontario continued to climb. Ontario entered the first phase of the reopening plan on May 19. A number of businesses, including those with a street-front entrance were allowed to reopen. The province was hoping to make an announcement on allowing larger social gatherings last month but said last week they delayed it due to an uptick in cases.
BC's minimum wage jumps by 75 cents on June 1The minimum wage for workers in British Columbia rose to $14.60 an hour on Monday. The jump is part of the provincial government's plan to gradually raise the rate from $11.35 in 2017 until it reaches $15.20 in 2021.
Ontario increases the cost of electricity to 12.8 cents from 10.1 centsPremier Ford announced the COVID-19 Recovery Rate of 12.8 cents per kilowatt hour that will be applied 24 hours per day, 7 days a week. This rate is a slight increase from the previous 10.1 cents per kilowatt hour but continues the suspension of time-of-use (TOU) energy pricing by offering a single, fixed hydro rate. The fixed rate will be applied to TOU customer bills automatically in an effort to provide stability in pricing. The rate will be in place until October 31, 2020. In addition, the Ontario Energy Board has extended its disconnection ban until July 31 for residential customers. In addition to the COVID-19 Recovery Rate, Energy Minister Rickford announced that customers will have the ability to choose the rate best for them beginning November 1, 2020. Beginning then, electricity customers will have the choice to be billed on TOU electricity rates or through tiered pricing. Finally, Minister Rickford announced the COVID-19 Energy Assistance Program for Small Business. The $8 million dollar assistance plan will provide support to businesses that are struggling with energy bill payments as a result of the pandemic.
Quebec: Relaunching the cultural sectorAfter thanking and congratulating Quebec artists for their ability to innovate and adapt in the face of this crisis, and for using their influence to share the government's health instructions, Legault announced a $400 million plan to ensure recovery in culture. Minister Roy was present to provide several clarifications to the government's plan and hopes that these funds will give artists the financial freedom they need to create and work.
The minister also pointed out that this assistance is in addition to the $59 million announced at the end of March in advance credit to cultural organizations and a $50 million loan program to ensure the working capital of cultural businesses and organizations. Filming in the television and film sector will be able to resume on June 8, and the government hopes to reopen venues by June 24.
Federal government to provide rent relief to eligible business tenants at all National Parks, National Historic Sites And National Marine Conservation AreasThe Government of Canada is taking further action to support businesses operating in Canada’s national parks, national historic sites and national marine conservation areas dealing with the economic impacts of the COVID-19 pandemic. The government will waive up to 75% of eligible commercial rents for the months of April, May and June 2020 or equivalent amounts of annual rents. This relief is additional to measures announced March 27 allowing commercial operators to defer payments normally due on or after April 2, 2020 to as late as September 1, 2020. Parks Canada will be contacting all holders of commercial leases and licences of occupation in national parks, national historic sites and national marine conservation areas to provide details on this additional relief. Information will also be made available soon on the Parks Canada website.
CBRN Small Business Relief Fund Now Accepting ApplicationsApplications are now open for the Canadian Business Resilience Network Small Business Relief Fund! We are offering grants to Canadian small businesses that have been adversely affected by the COVID-19 pandemic to help them recover and support their resilience. These grants are made possible through the generosity of Salesforce and will be offered as a one-time payment of $10,000 to 62 businesses across the country. Applications are being accepted until Friday, June 12, 2020 at 8:00 p.m. ET. 
UPCOMING WEBINAR JUNE 2, 2020 Hands-On Approach to Commercial Real Estate SPEAKERS: Armen Khajetoorian and Kwaku Tabi, Cassels, Brock & Blackwell LLP Commercial real estate has been a hot topic throughout COVID-19. Join us for a deep dive into commercial real estate leasing issues and gain a practical take-aways through a “how-to” approach to challenges you may be facing.
JUNE 4, 2020 Franchisee Action Plan to Re-Opening SPEAKERS: Dan Steward, Pillar to Post Home Inspectors; Josh Aspin, COBS Bread Provincial governments are beginning to re-open businesses to the public. While some essential businesses have remained fully open or with modified operations, others are beginning the process of planning re-opening and will have many important factors to consider as they do so.
Feedback from our Members“'THANK YOU' for all the hard work and fantastic results you’re already getting for CFA members and the franchise industry more broadly. You must all be working around the clock to keep up with this fast-paced environment we’re all living in right now! Well done!” - Andraya Frith, Partner, Osler COVID-19's impact on the world is creating waves across all sectors and industries.Every member of the CFA community is dealing with an issue that is affecting the world, our industries, our communities, our businesses, and our people. We would like to hear from you if you have any topics, issues or questions to navigate turbulent times in order to support you further:
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