Today's budget announcement brings a number of new initiatives to support businesses through the current crisis.
The following information is provided by Work and Income and related to the extension to the wage subsidy scheme for qualifying businesses:
A Wage Subsidy Extension payment will be available to support employers, including sole traders, who are still significantly impacted by COVID-19 after the Wage Subsidy ends.
The Wage Subsidy Extension will be available from 10 June 2020 until 1 September 2020.
Below are some key points. More information about this payment and how to apply will be available before 10 June.
You can't apply for the Wage Subsidy Extension for an employee until their 12 week Wage Subsidy has finished.
Applications open from 10 June 2020.
You must have had, or expect to have, a revenue loss of at least 50% for the 30 days before you apply, compared to the closest period last year.
- It will cover 8 weeks per employee from the date you submit your application.
- It will be paid to you as a lump sum at the same weekly rate as the Wage Subsidy.
- You'll need to agree to certain obligations, such as to: pass the subsidy on to your employees retain your employees for the duration of the subsidy do your best to pay your employees at least 80% of their normal pay take active steps to mitigate the impact of COVID-19 on your business.
Receiving more than one COVID-19 payment
You won't be able to receive more than one COVID-19 payment from us for the same employee at the same time. This includes the:
Leave Support Scheme, and
Wage Subsidy Extension.