Extension to the Wage Subsidy Scheme
Budget 2020 provides for further assistance for businesses and their staff who have been affected by the COVID-19 pandemic.
Finance Minister Grant Robertson says the Wage Subsidy Scheme has been enormously successful, paying out more than $10 billion to support New Zealand businesses and jobs.
This Government is acutely aware of the impact the COVID-19 pandemic has had on our workers, which is why they have moved so quickly to get money out the door to help employers keep their staff on the books during lockdown.
“Many New Zealanders will be back at work now, but we know there will be some businesses that are still struggling, particularly in the tourism, hospitality and retail sector. This is why we are extending the Wage Subsidy Scheme,” Grant Robertson said.
From June 10, businesses that have suffered, or expect to suffer, revenue loss of at least 50 per cent for the 30-day period prior to the application date versus the nearest comparable period last year will be eligible for the extension of the scheme.
The subsidy will be open for applications for a 12-week period and will be paid as an 8-week lump sum to employers at the same weekly rates as the current scheme.
“I want to thank all New Zealanders for playing their part in the battle against COVID-19. Now we all have a part to play in rebuilding a New Zealand we can be proud of,” Grant Robertson says.
Applications for the extended subsidy will be able to be made through MSD’s website. Employers who have received money through the current Wage Subsidy will be able to apply for the extended subsidy if they meet the new eligibility criteria, but they will need to submit a new application.