Canada workers face Covid-19 slump

Bloomberg

They’d just bet millions on a hotel makeover, were waiting tables while pursuing their dream, or toiling in an already tough oil market.
Canadians have seen their world upended in a matter of days as the coronavirus shuts down huge swaths of the economy. Now, they’re trying to figure out how to make ends meet and negotiate a maze of government websites to access billions of dollars in promised support.
“We know that for many of you the past few weeks have been heartbreaking” Prime Minister Justin Trudeau said, as he announced an increase in wage subsidies for small businesses. “We’re helping companies keep people on the payroll so workers are supported and economy is positioned to recover from this.”
Four months ago, Ryan Urzada reopened the Atlas Hotel in Saskatchewan’s capital city after a C$10 million ($7.1 million) renovation that included a new indoor water park. Now he has laid off all but 20 of his 138 staff to keep the 200-room hotel afloat.
About C$1 million worth of bookings evaporated in a few days as virus restrictions began, including from three brides in “absolute tears,” said Urzada, 46, who took over the hotel from the Travelodge chain.
His biggest priority is helping his employees negotiate an employment insurance system that’s completely overloaded.
“The cash flow requirement this fall when all these bills come due for the whole economy is going to be overwhelming,” he said, suggesting that deferrals are going to have be turned into forgiveness. “You can defer all you want but everyone’s going to have their hands out in September.”
Mandatory closures hit restaurants in Montreal, Quebec, a city known for its bustling food scene. A day after setting up a relief fund to help industry workers meet their most pressing needs, organizers had to close applications because there were too many to process. “We have some really heartbreaking pleas for help,” said Jessica Cytryn, one of the organisers. “One of our members word-searched our emails to find people who said that they hadn’t eaten in a few days and went out and bought food, and brought it to their homes.”
For now she makes do with a tiny cash stash and her credit card, and plans to ask for a
new income replacement announced this week by Trudeau that gives $2,000 a month.