JobKeeper will continue until March, payments cut to $1200 a fortnight
Wage subsidies will be reduced to $1200 a fortnight for full-time workers after September as part of the federal government’s overhaul of coronavirus support.
Job advertisements have started to fall (Photo: ABC)
People working less than 20 hours a week will have their JobKeeper payment cut to $750 a fortnight.
Most businesses will have to requalify for JobKeeper by demonstrating a 30 per cent loss in revenue, with the threshold 50 per cent for major companies.
The new rates will run between September and March.
From March 2021, JobKeeper will be $1000 for full-time employees and $650 for people working less than 20 hours.
JobSeeker unemployment benefit recipients will be able to earn $300 a fortnight without it affecting their payment.
The coronavirus supplement for JobSeeker recipients will drop from a current $550 to $250 at the end of September, and remain at that rate until the end of the year.
Mutual obligation requirements for people on JobSeeker will return from August 4, with the assets test to be reintroduced from the end of September.
Prime Minister Scott Morrison announced the changes to virus economic support measures in Canberra on Tuesday.
As at July 15, payments have totalled $29.8 billion.
WHAT IS CHANGING IN CORONAVIRUS SUPPORT?
JOBKEEPER
* The $1500 fortnightly wage subsidy will continue until September 27
* From the end of September to January, JobKeeper will be reduced to $1200 for full-time workers and $750 for people working 20 hours or less
* From January to March, the full-time rate will be $1000 and part-time will reduce to $600
* Businesses turning over less than $1 billion will have to requalify for the program at both stages through showing a 30 per cent drop in revenue.
* Businesses with more than $1 billion in turnover have to demonstrate a 50 per cent fall
JOBSEEKER
* The elevated unemployment benefit will remain at $1100 a fortnight until September 27
* From that date until the end of the year the $550 coronavirus supplement will be cut by $300 to make the overall fortnightly payment $800
* People will be able to earn up to $300 without having their payment reduced
* The mutual obligation rules requiring people to search for four jobs a month will restart on August 4
* Penalties for people refusing a job offer will be reintroduced
* Job search requirements will increase in September when the assets test will also return
* The permanent JobSeeker rate to take effect from January next year will be announced in the October 6 budget.
-AAP
