Despite the COVID-19 pandemic about half of Canadian employers are continuing all benefits, including disability, according to a survey of Canadian employers conducted between April 1 and April 3 by Aon.

The survey also discovered that 72 per cent of respondents are not making any changes to benefits cost-sharing, but one in five say they are moving to 100% employer-paid.

Companies deal with loss of work

“Many businesses are grappling with operational challenges brought on by the COVID-19 economy, which has forced them to make decisions to try and manage absences, modify compensation and, in some cases, facilitate temporary workforce reductions,” said Alexandra Georgescu, vice-president, Health Solutions for Aon.

The survey also found that half of survey respondents said they temporarily or partly shut down operations, with many employers freezing non-statutory salary increases and reducing pay.

These concerns will continue after COVID-19

“Yet the fact is, employers will continue to grapple with the impact of COVID-19 not only while the public health measures are in effect, but also after they end – when organizations will have to face resuming ‘normal’ operations in what could be a radically changed economic environment.”

Other findings in the survey include:

  • Two in five respondents have laid off employees temporarily;

  • 23 per cent have encouraged workers to take annual leave;

  • 37 per cent have not made any adjustments to compensation, but some are considering freezing or postponing non-statutory salary adjustments or merit increases (23%), cutting pay (15%) or reducing bonuses (4%);

  • about 30% are continuing to pay employees who can neither come to the workplace nor work from home.