Canadian Businesses Took Pandemic Benefits to the Bank and Left Workers Holding the Bag

Employers took billions from the Canadian government in wage support funds, and many of them continued to pay CEOs millions and issue dividends. Yet the government is now looking for payback from workers, not bosses.

Canadian corporations took government money and ran — all the way to share buybacks, executive compensation and bonuses, and dividend payouts, even while workers struggled. (Gabriel Vergani / EyeEm / Getty Images)


We know the neoliberal state valorizes the business sector. Political speeches about business often sound like benedictions, though we do get the odd, fleeting song of praise for the worker who makes all industry possible in the first place. Occasionally, in an effort to make our elected officials seem relatable, we hear a shot taken at the corporate class. But the fix is in. We all know who has the power — it’s clear as day in the plaudits paid to business by our political classes. And in the parlance of neoliberal speech, “business” is a synecdoche for “businessperson” — and a “businessperson” is an owner, not a worker.

Because the working public is fraught with class dis- or misalignment, pundits and politicians constantly attack a “lazy” and “entitled” workforce without adequate pushback. In the absence of a prominent voice from labor to correct this narrative, the media depicts working people as loafers waiting for their chance to take advantage of state largesse or corporate noblesse oblige. So, when in March 2020 the government of Canada introduced two pandemic support measures — one for employers and one for workers — it was a safe bet for anyone paying attention that when it came time for settling accounts, there would be a marked difference in whose benefits would be scrutinized and whose would be greenlit.

Last week, Canada’s auditor general, Karen Hogan, released a report on pandemic benefits. In her study of the Canada Emergency Response Benefit (CERB) — disbursed to individuals — and the Canada Emergency Wage Subsidy (CEWS) — disbursed to businesses — Hogan concludes “the federal government quickly delivered COVID-19 benefits to Canadians” but found “post-payment verification work is falling short.” It’s not hard to guess who will be in the most need of this post-payment “verification.”

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