On 7 August, the Government announced adjustments to JobKeeper 2.0 as a result of new COVID-19 restrictions introduced in Victoria.
The adjustments will apply to all businesses nationwide, not just to businesses in Victoria, and are summarised as follows:
- Employee Eligibility – from 3 August, the start date of employment will move from 1 March 2020 to 1 July 2020. This change will come into effect immediately and will therefore apply to both the current JobKeeper scheme as well as the extended scheme.
- Employer Eligibility – the turnover test for the extended scheme, which is divided into 2 periods, 28 September 2020 to 3 January 2021 and 4 January 2021 to 28 March 2021, has been adjusted so that only 1 quarters turnover needs to be satisfied as opposed to 2 quarters.
The turnover test for the first extension period, 28 September 2020 to 3 January 2021, originally required a business to show a 30% decline in turnover for both the June 2020 and September 2020 quarters however the update now only requires a business to show a 30% decline in turnover in the September 2020 quarter only.
Likewise, the turnover test for the second extension period, 4 January 2021 to 28 March 2021, originally required a business to show a 30% decline in turnover for both the September 2020 and December 2020 quarters however the update now only requires a business to show a 30% decline in turnover in the December 2020 quarter only.
Please note there have been no changes to the amount to be paid and therefore will remain the same as per the original JobKeeper 2.0 announcement.
The material and contents provided in this publication are informative in nature only. It is not intended to be advice and you should not act specifically on the basis of this information alone. If expert assistance is required, professional advice should be obtained.