Scheme changes
THE Federal Government has announced an extension to its JopKeeper scheme.
The original JobKeeper scheme will continue until September 27 as planned, without any changes.
The new rules will then take effect and “JobKeeper 2.0” will run for another six months, until March, 2021.
BUSINESSES will be reassessed with turnover tests in early October and early January.
Eligibility will be based on the same criteria as the original scheme: 30 per cent reduction in turnover for businesses with $1bn turnover or less, 50 per cent for those with more than $1bn, and 15 per cent for charities.
Businesses will need to prove they are in financial stress each quarter to remain eligible for JobKeeper.
Employees at these businesses who were eligible under the original scheme will remain so, however the amount they are eligible for will now depend on how many hours they typically worked before the pandemic.
AS with the original scheme, the government will make payments to businesses, which will use that money to pay or partially pay employees’ wages.
Under the new scheme, however, the one-size-fits-all $1500 fortnightly payment has been reduced.
A two-tier system is also being introduced to address the fact about a quarter of workers currently on JobKeeper earned more under the scheme than they otherwise would, therefore unnecessarily costing taxpayers billions of dollars.
Between September 28 and January 3, employees who worked 20 hours or more a week before the pandemic will be eligible for $1200 a fortnight.
Those who worked fewer than 20 hours a week will be eligible for $750 a fortnight.
After January 3, the figures will reduce to $1000 and
$650 a fortnight, respectively.
THE welfare payment for unemployed Australians is being extended for three months, to December.
It will, however, be set at a lower rate.
The base rate of $550 a fortnight will remain, but the extra $550 coronavirus supplement has been reduced to $250, bringing the total fortnightly payment down from $1100 to $800.
To encourage Australians on JobSeeker to return to work, they will now be able to earn up to $300 a fortnight without it affecting their JobSeeker payments.