Canadian government gave millions in wage subsidies to insolvent companies 

The Trudeau government gave out millions to ‘zombie’ firms. 

Screen Shot 2022-03-01 at 1.19.11 PM

The Trudeau government spent over $100 billion on its wage subsidy program to assist companies throughout COVID-19. 

On average, companies received $218,562 in subsidies to finance their payroll. 

At least 787 companies successfully received wage subsidies despite being insolvent, an Inquiry of Ministry tabled in the Commons showed. 

425 of the 787 insolvent firms were from Quebec, Blacklocks reported, representing over half of the ‘zombie’ firms which received federal funding. 

204 of the firms were from Ontario, 79 were from Alberta, 45 were from British Columbia.

Revenue Minister Diane Lebouthillier refused to disclose the total amount in subsidies that were given to insolvent firms, citing “confidentiality provisions of the Income Tax Act”. 

Insolvency occurs when an individual or a company cannot meet its financial obligations anymore. 

Support Quality Journalism.

Independent journalism is important now more than ever. The role of journalists in our society is one of watchdogs. One cannot be a watchdog when they are on the government’s payroll. 

Make a donation today and support quality,  independent journalism. 

Share this story: