While ACTA is calling for parliament to quickly pass Bill C-2, which provides wage and rent relief to qualifying small businesses affected by the pandemic, the association says it still leaves thousands of travel and tourism jobs under threat and does not cover independent agents.
To that end, the association has issued a call to action for travel agencies and independent travel agents to once again write to their Members of Parliament to share their stories and need for immediate financial support.
ACTA says the Bill, if it passes, will provide up to 75% wage and rent subsidies to travel agencies that suffered a revenue decline of 40% or greater, but adds, “At this time, there is no indication that independent travel agents will benefit from either program.”
The association is also concerned that that emergence of the Omicron variant threatens the industry, noting that some governments are quickly shutting borders, just weeks before the busiest travel season of the year.
“ACTA is closely analyzing the situation and is deeply concerned about the impact on travel agencies and independent travel agents, who are currently without financial support,” said ACTA president Wendy Paradis.
She adds that ACTA is continuing to meet with politicians and key government officials, urging them to amend the bill to include independent travel agents, or to introduce new financial supports for these sole proprietors.
Details of the Tourism and Hospitality Recovery Program
• As proposed, the bill will provide backdated wage and rent support from Oct. 24, 2021, ending May 7, 2022.
• Wage and rent supports drop in half starting March 13, 2022; as an example, a business eligible for 75% subsidy would get that between Oct. 24, 2021 – March 12, 2022, and then up to 37.5% subsidy between March 13, 2022, and May 7, 2022.
• To be eligible, businesses must have had a 40% or greater revenue decline for each month between March 15, 2020, and March 13, 2021. Further, eligibility is determined monthly starting Oct. 24, 2021, where a minimum revenue 40% drop or greater is required.
The program works similarly to the previous wage and rent subsidies and would be administered by the CRA.
Further, the Canada Worker Lockdown Benefit was proposed, which provides financial support to workers impacted by a lockdown issued by any level of government, including federal, provincial, and municipal. However, ACTA believes that border restrictions and advisories do not constitute a lockdown under this program.
The BC Hotel Association called Bill C-2 a “lifeline to tourism and hospitality operators across British Columbia and Canada” but association president and CEO Ingrid Jarrett also declared, “While we celebrate this recognition, there is still considerable work to be done as our industry’s immediate focus is getting the legislation passed before the holiday season.”
He added, “Without this legislation, businesses would close, our economy would take a tremendous hit, and we would see a devastating impact on each and every community in our province. We are so grateful that this Bill recognizes our industry, our employees, and that our voice has been heard.”
ACTA hopes the travel agent voices will be heard as well.