Do you know the eligibility requirements for Australians to receive the JobKeeper wage subsidy? This new payment scheme will help curb the rising unemployment caused by the coronavirus pandemic.
Last week, the Australian Prime Minister, Scott Morrison, announced a new JobKeeper wage subsidy to help Australians keep their jobs. The federal government will release a support package, worth $130 billion, for six million workers. The beneficiaries will receive a flat rate worth $1,500 every fortnight.
The stimulus would be around 70 per cent of Australia’s median wage. Furthermore, the JobKeeper scheme will have an additional $400 per fortnight compared to the previous JobSeeker payment, which was at $1,100 a fortnight.
Eligibility Requirements for the Jobseeker Wage Benefit
To receive the new wage subsidy, employees and employers must meet the following criteria for eligibility. For employers, you must be either a company, corporate trust, sole proprietor, a partnership, a non-profit, or charitable foundation.
Furthermore, employers must have either: a turnover worth $1 billion or more with a 50 per cent revenue reduction or a turnover worth less than $1 billion but with a 30 per cent loss. You must compare the current company data to last year at a comparable time.
For government-registered charities, the baseline would be a 15 per cent decrease in turnover or over. The federal government announced these changes in eligibility requirements as of April 6.
Major financial institutions subjected to the bank levy system will not be qualified for the subsidy. On the other hand, employers in the public sector and their employees by extension will not be eligible for the JobKeeper wage payment. On April 3, the federal cabinet also announced that local councils would not be part of the eligibility criteria as well.
Local government and state employees are not qualified to receive commonwealth JobKeeper subsidy. However, they will be eligible for state subsidies.
Employees must also meet the qualification requirements listed below.
- Employment started with a qualified employer by March 1, 2020.
- Full-time, part-time, sole trader, or long-term casual workers who began regular work status for more than a year as of March 1, 2020.
- An employee aged 16 years or over.
- A person with either Australian citizenship, a permanent visa, or a protected special category visa.
- A non-protected special category visa holder will also be eligible if he or she can prove continuous residency of over ten years in Australia.
- A New Zealand citizen will be qualified if he or she has a special category visa (subclass 444).
The JobKeeper wage subsidy will also cover gig workers as they are considered sole proprietors.
Morrison also announced that tourists could prolong their stay in the country. Additionally, temporary visa holders will have access to superannuation benefits.
On the other hand, seasonal employees can now extend their contracts with their employers beyond the prescribed six-month limit. However, they must self-isolate for two weeks before working.
Prescribed Payment Method
If you meet the eligibility requirements listed above, here is how the government will subsidise you. For the next six months, you will receive a minimum rate before tax of $1,500 every fortnight from your employers.
Employers will have the choice to top up the financial aid too. They will still have to pay employee wages regularly. The Australian Tax Office, on the other hand, will pay employers every month in arrears.