Scott Morrison and Josh Frydenberg expand JobKeeper as $12bn economic hit is revealed
About 1.5 million Victorians will receive JobKeeper wage subsidies during Melbourne’s six-week shutdown as the federal government expands the scheme so more businesses can get help into next year.
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About 1.5 million Victorians will be supported by JobKeeper during Melbourne’s six-week shutdown as the wage subsidy scheme is expanded to help businesses survive the crisis.
An extra 530,000 Victorians will receive the fortnightly $1500 subsidy over the next two months, costing $4.5bn, and 1.36 million Victorians will still be on the scheme by the end of the year.
Changes to JobKeeper rules, costing another $11.1bn, will make it easier for struggling Victorian businesses to receive the subsidies into next year.
“We’re doing whatever it takes to save lives and save livelihoods,” Scott Morrison said.
“This means more support for more workers and more businesses for longer, as we battle this latest Victorian wave.”
The Prime Minister and Josh Frydenberg will announce on Friday that businesses eligible for JobKeeper will be able to use the subsidies for full time, part time and long-term casual staff who were on their books on July 1.
This has been adjusted from March 1 so staff hired after the first lockdown remain tied to their employer.
The government is also simplifying the turnover test so businesses can stay on JobKeeper after September if their turnover was down 30 per cent in the September quarter, rather than in both the June and September quarters.
At the end of the year, businesses will remain eligible if their turnover was down in the December quarter, instead of the June, September and December quarters.
But the $1500 fortnightly rate will still drop to $1200 after September — or $750 for those working less than 20 hours a week — and then $1000 and $650 from January.
The Treasurer said 975,000 Victorians across more than 270,000 businesses were already supported by the scheme.
“The introduction of stage four restrictions by the Victorian government will have a severe economic impact,” Mr Frydenberg said.
He said expanding the scheme would “help keep more businesses in business and Australians in jobs through this incredibly challenging period”.
“We will continue to do what is necessary to cushion the blow and help Australians get to the other side,” Mr Frydenberg said.
For workers not eligible for JobKeeper, including tens of thousands of staff employed by national retail chains which do not qualify for the scheme, they can access the doubled Jobseeker unemployment benefit.
“Our social security safety net is not just for people who have lost their jobs, it is able to provide a cushion for people who have had or fear their hours or income will be reduced,” Social Services Minister Anne Ruston said.
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