Air Canada will use wage subsidy program to rehire laid off workers

Air Canada is taking advantage of the new federal wage subsidy program for employers. The airline, who had to cut 16,500 jobs (nearly half its Canadian workforce) amid the Covid-19 outbreak, will apply for the emergency wage subsidy program.

Read More: Federal government lowers wage-subsidy eligibility threshold for employers

While it still depends on wage levels, Air Canada says many of their employees will receive more under the Canada Emergency Wage Subsidy program than they would from employment insurance. Air Canada says they have incurred significant revenue losses since the pandemic began.


Air Canada says many of their employees will receive more under the Canada Emergency Wage Subsidy program than they would from employment insurance.

The airline has reduced its seat capacity by 85 to 90 per cent. In addition to the temporary workforce reductions, Air Canada announced that chief executive Calin Rovinescu and chief financial officer Michael Rousseau have agreed to forgo their salary.