The Government has unveiled a $12.1 billion support package for the New Zealand economy, with almost half of the cash to be spent on a wage subsidy package for all coronavirus-impacted businesses.
Those full-time workers eligible for the package will receive $585 per week from the Government, paid in a lump sum package of just over $7000 covering a 12-week period.
The flagship element of the Government’s package – the wage subsidy package – is for any employer which has suffered, or is projected to suffer, a 30 per cent decline in revenue compared to any months between January and June the year prior.
But to be eligible employers must have taken active steps to mitigate the impact of Covid-19, for example engaging with their banks or financial advisors.
Employers also need to declare that they will continue to employ affected employees at a minimum of 80 per cent of their income over the 12 months period.
Some $585.80 a week will be available for full-time workers (20 hours a week or more) or $350 a week for part-time workers (20 hours or fewer a week).
The maximum amount any one employer can receive is $150,000.
Employers are encouraged to apply for the subsidies – which will be made available today – as soon as possible.
Applications can be made from today to the Ministry of Social Development, at www.workandincome.govt.nz, with payment targeted within five days of application, for a total estimated cost to the government of $5.1 billion.
All businesses in all sectors in all parts of the country are eligible.
Other sources of up-to-date information on the COVID-19 coronavirus for businesses can be found here on our Coronavirus – Business Help page.
