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JobKeeper Update - May 2020

5/5/2020

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JobKeeper May 2020 - changes explained by HR Staff n' Stuff

​The JobKeeper Scheme is an extremely important piece of the survival puzzle for many businesses and, as with many decisions occurring during the pandemic, adjustments and updates have occurred along the way.   There have been a few – mostly helpful – updates to the JobKeeper Scheme that have come into play as it goes live.  To make it easier for you, we have a quick overview. 

As of this week, you can submit your claim for JobKeeper payments (the system opened on Monday 4 May 2020).  

JobKeeper - Enrolment Extension
  • The enrolment deadline has been extended from 30 April 2020 to 31 May 2020.
  • As long as you meet all of the eligibility criteria and enrol by 31 May 2020, you will still be eligible for the payments made throughout April and May.
  • Remember – you must have paid your employees by the appropriate date for each fortnight as this is part of the eligibility criteria.  

JobKeeper Payments – Extension
  • You now have until 8 May 2020 to ensure all eligible employees have received a minimum of $3000 in gross wages for the first two fortnights of the JobKeeper support period.
  • The first two fortnights of the JobKeeper support period are:
    1. 30 March 2020 to 12 April 2020
    2. 13 April 2020 to 26 April 2020
  • If you pay less frequently than fortnightly, you can allocate between fortnights as is practical.  For example, those on a monthly pay cycle must pay employees the monthly equivalent of $1500 per JobKeeper fortnight.  

JobKeeper – Alternative Test 
Not every business meets the basic test for comparing turnover to the same period last year and this was causing many business owners considerable stress.  As a consequence, there are now seven classes as determined by the Commissioner of Taxation:
  • Business commenced within the last 12 months
  • Acquisition or disposal changed turnover within the last 12 months
  • Business restructure changed turnover within the last 12 months
  • Business had a substantial increase in turnover
    • 50% or more in the 12 months immediately before the applicable turnover test period; or
    • 25% or more in the 6 months immediately before the applicable turnover test period, or
    • 12.5% or more in the 3 months immediately before the applicable turnover test period.
  • Business has irregular (but not cyclical) turnover
  • Business has been affected by drought or natural disaster
  • Business is a sole trader or small partnership with no employees and had sickness, injury or leave

JobKeeper – ‘One in, All In’ Principle
An employer can not pick and choose which employees will participate in the scheme.  Once you decide to participate and all eligible employees have agreed to be nominated, you must ensure all of these employees are covered by the scheme.  

JobKeeper – Disputes Benchbook
Any changes to employee rights can be challenging to enact, even when the law is on your side.  To that end, a dispute process to address JobKeepers issues that arise due to any of the short term changes enacted in the Fair Work Act (e.g. JobKeeper enabling directions).  If you require additional support in managing a Fair Wok matter, HR Staff n’ Stuff can provide support so please contact as a matter of urgency. 

COVIDSafe App
Outside of JobKeeper, we wanted to make a quick point about the COVIDSafe App launched by the Federal Government that will allow them speed up the contact they have with those exposed to the coronavirus.  From an employment perspective, you can not require your employees to download the app to a mobile device even if you provide them with a company owned phone.   It is a completely voluntary process.  

Safe to say that as the time progresses, more changes and updates will be required.   Contact our team of awesome HR consultants for any support or questions you may have regarding these changes or any other HR matters.
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