Work-Sharing program
Canada
Support for businesses to avoid layoffs
grant_single_labels|summary
grant_single|eligibleFinancing
- grant_single|projectCostPercent
grant_single|deadlines
- grant_single|openingDateApril 1, 2016
- grant_single|closingDateMarch 31, 2017
- grant_single|grantStatusClosed
grant_single|financingType
Wage Subsidies And Interns
grant_single|eligibleIndustries
- Agriculture, forestry, fishing and hunting
- Mining, quarrying, and oil and gas extraction
- Construction
- Manufacturing
grant_single|grantors
- Government of Canada
- Employment and Social Development Canada (ESDC)
grant_single|status
grant_card_status|closed
grant_single_labels|preview
If your employees are eligible for Employment Insurance (EI) benefits, and your business is suffering a downturn, you can apply for a work-sharing agreement. The agreement would allow your employees to work a temporarily reduced work week while receiving
grant_single_labels|projects
The Work-Sharing Program aids employers and employees with temporary solutions to avoid layoffs during business downturns beyond an employer's control. It enables businesses to maintain their workforce through adjusted work schedules and shared workloads.
- Employer and employees must effectively coordinate and manage the decreased workload.
- Implementation of an equitable work-sharing plan to distribute work hours fairly among employees.
- Application for special measures during economic downturns or after natural disasters to ensure business continuity.
grant_single|admissibleProjectsExample
$ 52,000
Running a work-sharing arrangement for the bakery staff to maintain jobs during seasonal downtime
$ 95,000
Supporting theatre staff through a work-sharing agreement to cope with reduced ticket sales
$ 64,000
Implementing a work-sharing program for our IT department to avoid layoffs during a downturn
$ 64,000
Setting up a work-sharing scheme for our restaurant staff to manage a decline in dine-in customers
$ 160,000
Introducing a work-sharing protocol for our manufacturing unit to counteract reduced orders
$ 35,000
Facilitating a work-sharing scheme for our artists' cooperative during gallery closures
grant_single_labels|admissibility
To be eligible for the Work-Sharing Program, the following criteria must be met by the company:
- The business must be experiencing a temporary decline in the usual level of business activity that is beyond the employer's control.
- All employees participating in the agreement must be eligible for Employment Insurance benefits.
- The employer must agree to a work-sharing agreement where employees work a reduced work week.
- There must be a collective agreement between the employer, employees and, if applicable, the union.
- The reduction in work hours must be at least 10% of the employee's normal weekly earnings.
grant_eligibility_criteria|who_can_apply
Employers who are experiencing a temporary reduction in business activity beyond their control and are aiming to avoid layoffs by implementing reduced work schedules for their employees. Both employers and employees (and the union, if applicable) must agree to participate in the program. Employees must be eligible for Employment Insurance benefits and agree to a reduced work schedule that results in at least a 10% reduction in their normal weekly earnings. Special measures may apply to specific sectors or circumstances, such as natural disasters or economic downturns.
grant_eligibility_criteria|who_cannot_apply
Some types of companies may not be eligible for the Work-Sharing Program grant. Not eligible companies include:
- Companies not experiencing a temporary decrease in business activity beyond their control
- Companies unable to meet the minimum 10% reduction in normal weekly earnings for all employees
grant_eligibility_criteria|eligible_expenses
This grant facilitates the maintenance of employment during temporary business declines beyond employers' control. Eligible activities under this program ensure equitable sharing of available work and support income stability for employees.
- Implementing reduced work schedules for employees to prevent layoffs.
- Engaging in Work-Sharing agreements involving employers, employees, unions (if applicable), and Service Canada.
- Applying for extensions when necessary to continue Work-Sharing agreements.
- Utilizing special measures during defined periods to address impacts from events like wildfires or economic downturns.
grant_eligibility_criteria|zone
This grant is available to companies across Canada, with an emphasis on supporting regions affected by economic downturns or natural disasters, especially those impacted by wildfires and past sector-specific challenges.
- Businesses affected by the 2023 wildfires in multiple regions across Canada.
- Regions that faced challenges due to downturns in specific sectors like steel, aluminum, forestry, and commodities in the past.
grant_single_labels|criteria
There are evaluation and selection criteria for the Work-Sharing Program grant:
- Demonstrated temporary decrease in business activity beyond the employer's control
- Minimum 10% reduction in normal weekly earnings for all participating employees
- Agreement signed by employer, employees, and Service Canada
- Agreed reduced work schedule and equal sharing of available work
- Application submitted with employer/employee/union representatives
grant_single_labels|register
Here are the steps to submit an application for the Work-Sharing Program:
- Step 1: Determine Eligibility
- Verify that your business and employees meet the eligibility criteria for the Work-Sharing Program.
- Ensure that there is a temporary decrease in business activity beyond your control.
- Step 2: Consultation with Employees
- Discuss the intention to enter a Work-Sharing agreement with employees.
- Obtain agreement from all parties involved, including the union, if applicable.
- Step 3: Prepare Application
- Complete the Work-Sharing application package, available on the Service Canada website.
- Gather necessary documents such as business activity reports and employee lists.
- Step 4: Submit Application
- Email the completed application package to the appropriate regional Work-Sharing Unit.
- Ensure submission is done well in advance to meet the minimum 10 business days processing time before the agreement start date.
- Step 5: Notification and Agreement Execution
- Wait for confirmation from Service Canada about the approval of the Work-Sharing agreement.
- Sign the agreement with Service Canada, employees, and union representatives, if applicable.
- Step 6: Implementation
- Begin the reduced work schedule as outlined in the agreement.
- Ensure equitable work distribution among employees.
- Step 7: Monitoring and Reporting
- Regularly update Service Canada on the business’s recovery progress and any changes to the agreement.
grant_single_labels|otherInfo
Here are additional relevant details for this grant:
- Agreements can only start on Sundays to align with the Employment Insurance payment cycle, which should be considered when planning the agreement start date.
- A mandatory cooling-off period equal to the number of weeks used in the previous agreement must be served once the agreement ends, up to a maximum of 38 weeks.
- To extend a Work-Sharing agreement, an application must be submitted at least 10 business days before the end date of the current agreement.
- Work-Sharing agreements starting after September 25, 2022, have a minimum duration of 6 weeks, and can last up to 26 weeks, with a possible extension of up to 12 weeks.
- Special measures may be introduced during economic downturns, natural disasters, or national emergencies to provide additional support.
- Employers may contact the Work-Sharing Employer Inquiry Unit for questions regarding the 2023 Wildfire Special Measures.
grant_single_labels|contact
edsc.dgop.tp.rep-res.ws.pob.esdc@servicecanada.gc.ca
