The Australian federal government as part of its review of the JobKeeper program has announced payments will be split into two tiers and payments will be gradually reduced from the end of September.
JobKeeper was initially slated to end 27 September 2020. Prime Minister Scott Morrison and Treasurer Josh Frydenberg announced today that JobKeeper will continue past this date
, with payments split into a tiered system for eligible full-time employees and those working fewer than 20 hours a week.
Full-time employees eligible for JobKeeper payments will receive a reduced amount of $1,200 a fortnight. Eligible employees working fewer than 20 hours per week will receive $750 a fortnight.
The Prime Minister and Treasurer also announced that payments will be reduced again for the January to March 2021 period – to $1,000 and $650 a fortnight, respectively.
The ‘fewer than 20 hours per week’ criteria will be assess based on the average hours worked in the four weekly pay periods before 1 March 2020.
The turnover test for employers will need to be reapplied from 28 September 2020, showing a sustained reduction in their turnover from the beginning of the initial JobKeeper assessment period through September. Employers will need to reassess their eligibility once again to show a sustained loss in turnover from the previous three periods ending 31 December 2020 to remain eligible until 28 March 2021.
Businesses who become eligible at any time throughout the extended JobKeeper period will still be able to apply.
Sybiz will provide more clarity around all of these announcements when information becomes available.