Regional wage subsidies possible The next set of National Accounts are due to be released on September 17 – two days before election day – and will show the extent of New Zealand’s … This means the wage subsidy should be spread over a 12-week period in recognition of when it would have been earned had the self-employed person been able to operate as usual. "The extension of the wage subsidy scheme was a recognition that, for some industries — retail, hospitality, tourism — it would take longer. A further 437,000 New Zealanders were on the extended wage subsidy as of mid-July. No double dipping You can apply for the extension even if you didn’t apply for the original wage subsidy. The wage subsidy scheme will end three weeks before the election. The original wage subsidy expires 12 weeks from when you submitted your application. "He says the improved business environment has allowed businesses and companies to rehire staff.Mr Robertson says the idea of a trans-Tasman bubble was not the reason behind the decision to extend the wage subsidy, but "more about the fact that we recognised that the ramping up of business was going to take a bit longer". The wage subsidy extension has not been taken up to its full extent in a positive sign for the New Zealand economy, according to Finance Minister Grant Robertson.The wage subsidy saw 1.7 million New Zealanders receive extra cash from the Government as businesses struggled to stay afloat amid the Covid-19 pandemic. Applications close 1 September 2020 at 11.59pm.Work and Income has more information on the wage subsidy extension.You can apply for the wage subsidy extension if your business or you, as a contractor or sole trader, has experienced a continued loss of income due to COVID-19. Wage Subsidy Extention. Wage Subsidy Scheme: Complaints about employers - Employment New Zealand For employers Employers who would like more information regarding the Wage Subsidy and Wage Subsidy Extension, including making an application, should visit Work and Income .
"I’ve often said the economy is more like an oven than a light switch; if you turn it off, it takes a while to warm back up again. 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,” Carmel Sepuloni says. The new eight-week scheme is available from 10 June 2020. "There will, however, be some businesses where they won’t be able to keep all of their staff on. Source:
"According to data and forecasts, Mr Robertson said projections indicate the June quarter will be the "worst" of the economic impacts, before the country comes out of it in September and December.However, there will "still be pressure" on our economy as the rest of the world continues to struggle to stop the spread of the virus.He said the economic situation will "probably balance out" to be "about where we are" in the first half of next year. Applications have now closed for the wage subsidy. 1 NEWS The extension to the Wage Subsidy Scheme is estimated to cost up to $3.2 billion. Work and Income has more information on the wage subsidy extension. Grant Robertson says the June quarter is forecast to be the worst of the economic impacts. New Zealand's wage subsidy scheme began in March and was extended for a further 12 weeks in the May budget. Get support from people who can drive your business forwardInsights and articles on the latest business topicsInsights and articles on the latest business topicsInsights and articles on the latest business topicsUse this tool to better understand your eligibility and how to apply for the COVID-19 wage subsidy extension scheme.A wage subsidy extension became available on 10 June 2020. "But that will depend a lot on what happens with the virus, which, of course, as we know, is unpredictable." 15 May 2020. Source: Q+A "I certainly think that the vast bulk of those people will continue and work, even though their businesses have taken the Wage Subsidy Extension on. Where possible, your decline in revenue should be compared to the closest period last year. The wage subsidy extension has not been taken up to its full extent in a positive sign for the New Zealand economy, according to Finance Minister Grant Robertson. However, if you’re still significantly affected by COVID-19, you may be able to get the wage subsidy extension. Content Sourced from scoop.co.nz Sweetman said even though it's costing $500 million a month now, about 2 percent of GDP, New Zealand can afford to keep the wage subsidy going a bit longer if we have to. 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,” Carmel Sepuloni says.
High-growth firms or those operating for less than a year are able to use different comparison periods. The Wage Subsidy Extension will be available from 10 June 2020 until 1 September 2020 so employers can keep paying their employees. To date 1.705 million jobs have been cushioned by the wage subsidy at a cost of $12.3 billion. Of course a trans-Tasman bubble would’ve been great in terms of that, but, actually, that wasn’t the determining factor. "While helpful, the subsidy won't be enough to save every job, especially in the tourism and international education sectors, Mr Robertson admits.However he couldn't make any projections to the number of jobs that will be lost after the subsidy ends, saying it's "extremely difficult to be able to get that down to particular numbers".Some of the impacted companies have been able to keep trading and do "relatively well" during June and July, "so I expect those people will keep their staff on", Mr Robertson says.