No 72. COVID-19 Latest Updates – JobKeeper Extension further changes announced

In summary:

The changes announced today –

The relevant employment date for eligible employees moves from 1 March 2020 to 1 July 2020
To qualify for the first extension after 28 September 2020, employers now need to reassess their eligibility for the JobKeeper extension with reference to their actual turnover in the September 2020 quarter only. Organisations will need to demonstrate that they have met the relevant continuing decline in turnover test for the September quarter to be eligible for JobKeeper from 28 September 2020 to 3 January 2021 (previous announcement was to test against both June and September 2020 quarters).
Organisations will need to further reassess their eligibility in January 2021 for the period from 4 January to 28 March 2021. Organisations will need to demonstrate that they have met the relevant continuing decline in turnover test in each of the previous two quarters to remain eligible for the March 2021 quarter (previous announcement was to test against the previous three quarters).

The JobKeeper payment rate is to be reduced and paid at two rates (no change from previous announcement):

From 28 September 2020 to 3 January 2021, the payment rate will be $1,200 per fortnight for all eligible employees who, in the four weeks before 1 March 2020, were working in the business for 20 hours or more a week on average and for business participants who were actively engaged in the business for more than 20 hours per week, and $750 per fortnight for employees who were working in the business for less than 20 hours a week on average and business participants who were actively engaged in the business less than 20 hours per week in the same period.
From 4 January 2021 to 28 March 2021, the payment rate will be $1,000 per fortnight for all eligible employees who in the four weeks before 1 March 2020, were working for 20 hours or more a week on average and for business participants who were actively engaged in the business for more than 20 hours per week, and $650 per fortnight for employees who were working for less than 20 hours a week on average and business participants who were actively engaged in the business for less than 20 hours per week in the same period.

Further information is available in the Australian Government JobKeeper Payment extension fact sheet of 7 August 2020 –

Questions?

If you have any questions, please contact your Blaze Acumen adviser.