News - March 20

COVID-19 Wage Subsidy

The scheme is open to Sole traders and self employed as well as employers. You will have to declare: 30% or more decline in revenue compared with last year for any month between January 2020 and the end of June 2020. Applications can also be made on the basis of forecast revenue loss within the period of the scheme. Maximum claim is $150,000 for any one employer. Subsidy based on 20 hours or more of work is $585.80 per week or a total of $7029.60 for the 12 weeks. For part-time workers this figure is $350 per week or a total of $4200. Employer must pay a minimum of 80% of the employee’s normal wages to qualify for a claim. Employers must also have taken active steps to mitigate the impact of Covid 19. For example “engaged with their bank/financial adviser”. A declaration has to be signed to that effect. The scheme is administered by the Ministry of Social Development. MSD will aim to make first payments no later than 5 working days from when the applications are received. Covid 19 leave From 17 March 2020, there is financial support to businesses that have workers unable to work because they are in self isolation, are sick with Covid 19 or are caring for others with Covid 19. The scheme applies to employees, contractors and the self-employed. Payment rates of the same as above and the employee must be in a situation where they are not able to work from home.
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