JobKeeper Update Released 7 August 2020

You may have heard in the media there have been a couple of changes to the eligibility criteria for the extended JobKeeper payments.

Businesses

The JobKeeper payments, originally due to finish in September 2020, have been extended over two stages to eligible businesses until up to 28 March 2021.
 
From 28 September 2020, businesses are required to reassess their eligibility with reference to their actual GST turnover in the September 2020 quarter (previously it was both the June and September quarters) and demonstrate that they have suffered an ongoing significant decline compared to the same quarter in 2019.  If businesses can prove they have suffered a decline (generally > 30%) they may be eligible for JobKeeper Payments from 28 September 2020 to 3 January 2021.
 
From 4 January 2021, businesses are required to reassess their eligibility with reference to their actual GST turnover in the December 2020 quarter and demonstrate that they have suffered an ongoing significant decline compared to the same quarter in 2019.  If businesses can prove they have suffered a decline (generally > 30%) they may be eligible for the JobKeeper Payment from 4 January 2021 to 28 March 2021.
 
If a business does not meet the turnover test for the extension periods, it does not affect their eligibility prior to 28 September 2020.  The JobKeeper Payment will continue to remain open to new recipients, provided they meet the eligibility requirements and the turnover tests that apply during the relevant JobKeeper payment period.

Employees

From 3 August 2020 the relevant date of employment will move from 1 March 2020 to 1 July 2020.  Full time or permanent part time employees employed during this period may become eligible.  Casual employees would still need to have been employed for greater than 12 months on a regular and systematic basis.
 
The eligibility for existing employees remain unchanged, however the amount of JobKeeper payments will decrease as follows:
 
From 28 September 2020 to 3 January 2021, the JobKeeper Payment rates will be:
• down from $1,500 per fortnight to $1,200 per fortnight for all eligible employees who were working in the business for 20 hours or more a week on average in the four weeks before either 1 March 2020 or 1 July 2020; and
• down from $1,500 per fortnight to $750 per fortnight for all other eligible employees (generally casuals).

From 4 January 2021 to 28 March 2021, the JobKeeper Payment rates will be:
• $1,000 per fortnight for all eligible employees who were working in the business for 20 hours or more a week on average in the four weeks before either 1 March 2020 or 1 July 2020; and
• $650 per fortnight for all other eligible employees (generally casuals).
 
Businesses will be required to nominate which payment rate they are claiming for each of their eligible employees.
 
For more information please click here.