The CEO of Tourism Kamloops says new targeted wage and rent subsidies announced by the Federal Government are being welcomed by the tourism and hospitality sector.

Speaking on the NL Morning News, Bev DeSantis says the sector was advocating for the supports as some federal benefit programs were set to expire this weekend.

“There was definitely a lot of talk but there was no confirmation until yesterday and we’re truly grateful,” she said. “You know we hear about labour shortages etc., so this really will enable us to ignite our industry back again and hopefully encourage some of those folks to come back to work in our hotels and restaurants.”

“Our tourism season is primarily through the summertime so as we see reopening and people starting to move around a bit, we need to ramp up, staff up, get resources in place and a lot of businesses in tourism and hospitality simply didn’t have the financial resources to do so and to hire people back in a meaningful way.”

One of these programs is the Canada Recovery Hiring Program which was to expire on Nov. 20. That was a subsidy which covers up to 50 per cent of the extra salary costs of eligible businesses.

Another is the Tourism and Hospitality Recovery Program which will provide support to hotels, restaurants, tour operators, and travel agencies at a subsidy rate of up to 75 per cent if they show an average monthly revenue loss of 40 per cent over the course of 12 months during the pandemic, and a loss of 40 per cent in the current month.

“I believe that showing a 40 per cent decrease in business is not going to be difficult for a lot of people. In fact, you’ll probably see numbers for the most part doubling up,” DeSantis said, noting she expects to see a number of businesses apply for these new benefits.

“We’d have businesses that have shut down. You have half the restaurant or more has been closed with seating capacity limits which deters the amount of money these folks can bring in.”

Also announced was the Hardest-Hit Business Recovery Program will provide wage and rent subsidies of up to 50 per cent to other businesses that can show an average monthly revenue loss of 50 per cent including in the current month.

The government is also proposing the Canada Worker Lockdown Benefit which will provide $300 a week in income support to eligible workers if they are not able to work due to a local lockdown anytime between Oct. 24, 2021 and May 7, 2022.

“Our economy is rebounding and we are winning the fight against COVID. It is also true, though, that the recovery is uneven and the health measures that are saving lives continue to restrict some economic activity. That is why we are announcing what we very much hope and believe is the final pivot in delivering the support needed to ensure a robust recovery – for everyone,” Federal Finance Minister Chrystia Freeland said.

“Our focus is to protect and create jobs. And ensure the strongest possible recovery for everyone. And we will continue to deliver on this promise we have made to Canadians.”

Freeland says these targeted programs that will be in place until May 7, 2022 will come with an estimated price tag of $7.4 billion.