30 March 2020 - Stage 3 Stimulus Package
The government has just announced a $1,500 per employee per fortnight Jobkeeper payment. The main headlines are:
- The payment will be made to businesses to keep employees on their payroll.
- The payment will last for at least 6 months.
- There will be no higher payment made for higher earners.
- The amount works out to be approximately 70% of the average Australian wage.
- The payment will be available to full time and part time workers, sole traders, and casuals who have been with their employers for more than twelve months.
- The payments will flow from the first week of May, and will be backdated to today. The onus will be on employers to keep people on the payroll and then the government will pay back the employer.
- The Jobkeeper payments will be administered by the Australian Taxation Office.
- Employers will be legally obligated to ensure the payment does flow back to the employees.
- The legislation will take time to draft and as usual there will be conditions to be met. As soon as we know these conditions we will advise clients.
This is the biggest of the three packages announced to date costing around $130bn. It is designed to see business through these uncertain times, to keep the flow of money moving through the economy.
At PKF Perth we are here to help you navigate through this unprecedented situation. We have implemented policies consistent with Government recommendations. We have infrastructure in place to enable staff to work from home and are currently doing so. We are open for business and here to support our valued clients.
Please contact your relationship partner if you have any queries on (08) 9426 8999.