Canada Recovery Hiring Program

The Canada Recovery Hiring Program (CRHP) was announced in the Federal Government’s 2021 budget. The program was launched to support eligible employers hiring new staff by providing them a subsidy of up to 50% on the incremental wages paid to employees between June 6, 2021 and November 20, 2021.

Who is eligible for the subsidy?

The CRHP is available to employers who would have previously been eligible for the Canadian Emergency Wage Subsidy (CEWS). However, it should be noted that for-profit corporations must be a Canadian-controlled private corporation (CCPC) to qualify.

Additional eligible employers include non-profit organizations, registered charities, individuals, and some partnerships.

The final qualification is for the eligible employer to have a Canada Revenue Agency payroll account number on March 15, 2020.

When can you apply?

The qualifying claim periods are as follows:

Periods open for application:

• Period 17: June 6 to July 3, 2021
• Period 18: July 4 to July 31, 2021

Upcoming periods:

• Period 19: August 1 to August 28, 2021
• Period 20: August 29 to September 25, 2021
• Period 21: September 26 to October 23, 2021
• Period 22: October 24 to November 20, 2021

The deadline to apply is 180 days after the end of the claim period.

Please note that Period 17 is the first period of the CRHP subsidy, but it has been numbered to align with the periods of CEWS and CERS. For periods 17-20, an employer may choose to apply for CEWS or CRHP but for periods 21 and 22, only CRHP will be made available to them. It is up to the employer to determine which subsidy will be the most helpful to them.

How to qualify for the subsidy

An eligible employer needs to incur a decrease in revenue during a qualifying period. The decrease is calculated using the same approach as CEWS. For period 17, the decrease in revenue is to be more than a 0%. For periods 18-22, a decrease of more than 10% is required to qualify.

There are two approaches to calculating the decrease in revenue, the general approach and alternative approach. These are the same approaches used in the CEWS claims and the same approach must be used as previous CEWS or CERS claims.

Lastly, eligible employers may not claim both CEWS and CRHP but can claim whichever subsidy provides the most financial support to their business.

If you are claiming the CRHP subsidy on your own and have any questions, please contact us for assistance.

For additional information and instructions to apply, please refer to:

https://www.canada.ca/en/revenue-agency/services/subsidy/recovery-hiring-program.html