On 23 March 2020, the Government announced significant further support for the economy, businesses and self-employed, in light of New Zealand preparing for Alert level 4 at midnight 25 March 2020.
In preparation for alert level 4 the Government has injected a further $4 billion into the wage subsidy scheme, and extended the eligibility guidelines. We are urging employers to apply for the subsidy if they haven’t already, it is expected that most businesses and self-employed people will now be eligible, in light of the upcoming alert level 4.
The important changes to the wage subsidy scheme, that you should be aware of:
It is important to be aware that all other eligibility criteria still applies, including the 30% revenue reduction and for businesses, on their best endeavours, to pay their subsidised employees at 80% of their income. Please see our earlier article regarding criteria and how to apply for the wage subsidy.
Please note that we are expecting the Government to release more comprehensive information and guidance on the scheme this week. We are also hopeful that further support will be announced and available soon. We will report further once this information is to hand.
For more information on the Government’s announcement of further support, go here or to view the Ministry of Developments information sheet go here.
For more information on COVID-19 and its impact on your organisation, please contact our Employment Team (Troy Wano, Rebecca Eaton and Rochelle Farmer) on 06 768 3721