July 29, 2020
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July 29, 2020

Your CFA Update on COVID-19



Toronto and Peel Region move to Stage 3 reopening on Friday

Toronto and Peel Region will move into Stage 3 of Ontario's COVID-19 recovery plan this Friday, the Ministry of Health said this morning, as the province reported its fewest number of new cases since March 23.

Windsor-Essex, the only other area of the province that is still in Stage 2, will not be permitted to proceed to the next phase at this point.

Stage 3 allows for activities such as indoor dining in restaurants, live performing arts shows and the reopening of movie theatres and playgrounds. It also permits larger gatherings of people, though social distancing requirements remain in place.

More Information
Power Sessions

GetintheLoop is helping CFA members on the road to recovery!

We are hoping that we can contribute to getting your brand back to driving significant revenue. To help on the road to recovery, we are offering CFA members to join the platform for no cost, with no. obligation, for 3 months

Learn More

Ontario: Declared Emergency Leave is No Longer Available

As of July 24, 2020, the COVID-19 declared emergency ended in Ontario. As a result, Declared Emergency Leave (DEL) under the Employment Standards Act (ESA) is no longer available to employees as of the same date. However, employees who had been eligible for DEL may meet the eligibility criteria for Infectious Disease Emergency Leave (IDEL). For example, if the employee is:

• Acting in accordance with an order under section 22 or 35 of the Health Protection and Promotion Act that relates to COVID-19,

• Providing care or support to certain individuals due to COVID-19, including, but not limited to, school or day care closures, or

• Unable to perform the duties of their position due to an order under the Reopening Ontario Act, 2020 (ROA).

“COVID-19 Period” Ends September 4, 2020

The IDEL regulation defines the “COVID-19 period” as beginning on March 1, 2020 and ending six weeks after the day the COVID-19 declared emergency ends. As the COVID-19 declared emergency was terminated on July 24, 2020, the final day of the COVID-19 period – in which the provisions described below apply – is September 4, 2020.
The following provisions for non-unionized employees end on September 4, 2020:

• Employees are entitled to IDEL under the ESA if their hours of work are temporarily reduced or eliminated by the employer for reasons related to COVID-19,

• Employees whose hours of work or wages are temporarily reduced or temporarily eliminated by the employer for reasons related to COVID-19 are not considered to be laid off under the ESA, and

• A temporary reduction or temporary elimination in an employee’s hours of work or wages by the employer for reasons related to COVID-19 does not constitute a constructive dismissal under the ESA.

For more information please contact the Employment Standards Information Centre at 1-800-531-5551 or TTY (for hearing impaired) at 1-866-567-8893 or visit the Employment Standards Act guide at Ontario.ca/ESAguide

Canada Emergency Wage Subsidy Improvements, Receives Royal Assent

The proposed improvements to the CEWS passed through the Senate and received Royal Assent on July 27. Among other things, Bill C-20 extends the CEWS to December 19, introduces a sliding scale and made some eligibility improvements. These are improvements we advocated and are pleased to see implemented on behalf of our members.

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Shopify revenue doubles amid shift to online shopping in COVID-19

Shopify Inc. is reporting $36 million US in profits in the second quarter on a nearly doubling of revenues as it reaped the benefits of COVID-19 lockdowns. The Ottawa-based tech company says it earned 29 cents per diluted share for the three months ended June 30, compared with a loss of 26 cents per share or $28.7 million US in the prior year.

Reporting in U.S. dollars, adjusted earnings reached $129.4 million or $1.05 per share, up from $10.7 million or 10 cents per share in the second quarter of 2019. Revenues surged 97 per cent to $714.3 million from $362 million a year earlier.

Shopify was expected to report a net loss of 59 cents per share or adjusted profit of one cent per share on $513.8 million in revenues, according to financial markets data firm Refinitiv. The company says the ongoing effect of the pandemic has been to accelerate the shift of purchase habits to e-commerce with new stores created on the Shopify platform growing 71 per cent in the quarter

Masks mandatory in all Edmonton indoor public spaces starting Aug. 1

Face masks will be mandatory in all indoor public spaces starting Saturday, after city council passed a temporary bylaw. The bylaw requires people to wear face coverings at all times while in indoor or enclosed public places or public vehicles. It includes indoor spaces that are both public and privately owned.

Most B.C. students to return to school full time in September

Most B.C. students from kindergarten to Grade 12 will return to class full time in September, Education Minister Rob Fleming announced Wednesday. Elementary and middle school learning groups will have a maximum of 60 students. Secondary school learning groups will have up to 120 students.

The provincial government is putting up $45.6 million to ensure safety measures, including increased cleaning of high-contact surfaces, an increased number of hand-hygiene stations and the availability of masks.

COVID-19 leads to $850-million deficit in Nova Scotia budget

Finance Minister Karen Casey released documents showing the expected surplus of $55 million is long gone, replaced by a provincial deficit of $852.9 million. That hole was dug primarily by massive overruns in department spending and the $228-million stimulus package the province announced for additional construction projects this fiscal year.

Nine departments required additional appropriations, totalling $443.4 million. The lion's share of that was consumed by the Health Department, which required an additional $374 million for personal protective equipment, essential working funding, backfilling employees, increased use of pharmacare and other demands.

The province is projecting an unemployment rate of 11 per cent, or 25,000 fewer jobs — the highest in Nova Scotia since 1997.

Revenue for 2020-21 is down $532.1 million from the budget tabled in the spring, primarily due to decreases in HST ($234.4 million) and corporate income tax ($160.8 million). Personal income tax is down $50 million, a figure partially offset by federal direct payments to Nova Scotians. Finance Department officials said that's a sign the program is working.

Nominal economic growth is 7.6 per cent lower than projected in the budget, household consumption is down 7.5 per cent, residential construction is down 18 per cent and exports are down 13.1 per cent.

Net debt is projected to increase from $15.7 billion to $16.9 billion. The net debt-to-GDP ratio is projected to jump from 33 per cent to 38.7 per cent. Finance Department officials said the latter change is consistent with what other provinces and the federal government are experiencing.

Bank of Canada faces shortage of $50 bills due to pandemic hoarding

The Bank of Canada is facing a shortage of $50 bills due to the COVID-19 pandemic and signs point to Canadians hoarding cash as a primary reason. In a statement, the Bank of Canada said the shortage will not impact the consumer’s ability to withdraw cash, but rather it may require banks to alter their cash orders to incorporate other denominations.

The Bank of Canada could not specify why the demand has increased for the $50 specifically, but it released a staff discussion paper earlier this month that shows there was a spike in demand for all bank notes -- though $20 and $50 bills were in highest demand -- in April and May, compared to the past five years.

Cash hoarding an international problem

A report from the Centre for Economic Policy Research in the U.K. shows cash in circulation has increased in United States, Italy, Spain, Germany, France, Australia, Brazil and Russia, to name a few. In the U.S., pandemic hoarding, combined with businesses refusing cash, has led to a shortage of coins. This shortage led to the foundation of the U.S. Coin Task Force, which is meant to “identify, implement, and promote actions to reduce the consequence and duration of COVID-19 related disruptions to normal coin circulation.”

Sherrard Kuzz LLP Legal Support Program
To help navigate the recovery of COVID-19, CFA members have the opportunity to contact Sherrard Kuzz LLP for one free phone-consultation, once per calendar year, to a maximum of 15 minutes. A member may use their 15 minutes to seek information about any employment, labour or human resources issue related to the User (subject to Sherrard Kuzz LLP successfully completing a conflict check to ensure it may advise on the matter).

To take advantage of this CFA member benefit, contact Michael Sherrard at msherrard@sherrardkuzz.com or 416-603-6240.

Webinar Series On Demand


Navigating the digital world and digitizing your business

Speakers: Ayham Aldajane, Nown POS; Marta Rzezkowska, Moneris

The COVID-19 pandemic has launched the franchise industry into the digital future. In this webinar, listen in on an in-depth conversation about business in the digital world.



AUGUST 4, 2020
AT 11:00 AM ET

Update on Government Programs: Canadian Emergency Wage Subsidy


SPEAKER: Justin Mastrangelo, BDO Canada LLP

Recently the federal government announced it was extending the Canada Emergency Wage Subsidy (CEWS) until December 19, 2020. The extension is great news for franchised businesses but it also is significantly more complicated. The extended CEWS:

  • Expands the program to more employers by eliminating the 30% business decline in qualifying threshold
  • Changes the maximum wage subsidy that some businesses were receiving
  • Enhances the wage subsidy for employers with more than a 50% business decline

Join experts from BDO Canada to learn about the recent changes to the Canada Emergency Wage Subsidy and understand how they will affect your business as you recover.





• Covid-19 Has Interrupted Your Restaurant Operations – Are Your Losses Insured?




Feedback from our Members

“My husband, Jim and I would like to thank everyone at the CFA who has worked so hard and tirelessly to provide us with updated information on the Covid-19 crisis, for the webinars, lobbying for change and for all of the support you provide to members on a regular basis. We are sincerely grateful. To everyone at the CFA, take care and stay healthy.”

 - Nadine Cartman, CEO, Chicken Delight of Canada Ltd

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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