$1,500 Job Keeper Payment Announced…

On 30 March 2020, the Government announced a $130 billion “Job Keeper” measure to keep workers employed.

Key details are as follows:

• The Job Keeper Payment is a subsidy paid to businesses
• The payment will be paid to eligible employers (see below for criteria) for up to 6 months to pass onto their workers
• Employers will receive a payment of $1,500 per fortnight per eligible employee
• Every eligible employee must receive at least $1,500 per fortnight from that business before tax
• It will be paid for each eligible employee that was on the books as at 1 March 2020 and is retained or continues to be employed by that employer
• It can be paid to full time and part-time employees (including stood down employees)
• A casual employee that has been with their employer for at least the previous 12 months is also eligible
• If an employee has been stood down since 1 March 2020, the payment will be paid to maintain a connection with their employees
• The first payment is to be paid in the 1st week of May 2020 (monthly in arrears)
• Eligible employers can start distributing the payment today but will be reimbursed from the beginning of May
• Employees can only receive this payment from one employer
• The Government is due to announce further support for business cashflow in coming days

 

Eligible Employers:

• A business that is structured through companies, partnerships, trusts, and sole-traders
• Not-for-profit entities, including charities
• A business with an annual turnover of less than $1 billion who self-assess that they have a reduction in revenue of 30% or more since 1 March 2020 over a minimum one-month period or
• A business with an annual turnover of $1 billion or more who are able to demonstrate that they have a reduction in revenue of 50% or more since 1 March 2020 over a minimum one-month period
• A business subject to the Major Bank Levy will not be eligible

How to claim

Eligible businesses can apply for the payment online.  Click here to register with the ATO

New measures are being announced by the Government almost on a daily basis so if you want to find out how the latest measures impact your business, please get in touch!