The federal government will pay eligible employers $1,500 per fortnight for each eligible worker, about 70% of the national median wage.
JobKeeper is about $400 a fortnight more than the $1,100 Jobseeker payment with the coronavirus supplement for those out of work.
In order to receive a payment, both the employer and employee must meet eligibility criteria.
Eligible employers are businesses (including companies, partnerships, trusts and sole traders), not-for-profits and charities:
With a turnover of less than $1bn that have lost 30% or more of their revenue compared to a comparable period a year ago.
With a turnover of $1 billion or more and with at least a 50% reduction in revenue compared to a comparable period a year ago.
The big banks subject to the banking levy are not eligible.
Were employed by an eligible employer at 1 March 2020
Can be sole traders, full-time, part-time, or long-term casuals employed on a regular basis for longer than 12 months as at 1 March 2020.
Are at least 16 years of age.
Are an Australian citizen, the holder of a permanent visa, a protected special category visa, a non-protected special category visa who has been residing continually in Australia for 10 years or more, or a New Zealander on a special category (subclass 444) visa.
Eligible employers will be paid $1,500 per fortnight per eligible employee from 30 March 2020, for a maximum of six months.
Eligible employees will receive from their employers a minimum of $1,500 per fortnight, before tax. Employers are able to top up the payment.
Employers will pay employees as usual and payments will be made to the employer monthly in arrears by the Australian Tax Office.
If an employee ordinarily receives less than $1,500 in income per fortnight before tax, their employer must pay them, at a minimum, $1,500 per fortnight, before tax. It is therefore possible for a long-term casual or part-time worker to receive more than their ordinary pay.
If an employee was employed on 1 March 2020, subsequently ceased employment with their employer, and then has been re-engaged by the same eligible employer, the employee will also receive, at a minimum, $1,500 per fortnight, before tax.
The subsidy will start on 30 March, with the first payments to be received by employers in the first week of May. In the meantime, employers must continue paying their employees and then claim the money from the first week of May.
Businesses will be able to register their interest in participating in the payment from 30 March on the ATO website.
Employers must continue to pay the superannuation guarantee on regular wages but it is up to employer whether they pay superannuation on additional job keeper payments.
For example, a worker who ordinarily receives $1,000 a fortnight plus superannuation will receive the $1,500 JobKeeper payment, with superannuation paid on the first $1,000 and the employer able to decide whether to pay it on the last $500.
A person receiving the JobKeeper payment cannot also receive the JobSeeker payment (formerly Newstart). People who have already applied for JobSeeker can withdraw and shift to job keeper payments if they are re-engaged by their employer.
A person cannot be in receipt of JobKeeper payments from two or more employers.
Eligibility has been expanded. At the moment, under changes made on Monday 30/03/2020, people will be eligible for job-seeker payments unless their partner earns $79,762 or more.
What is the Coronavirus Supplement?
It's an additional top-up payment for people on welfare.
How much is the Coronavirus Supplement?
It is worth $550 a fortnight ($275 a week). It means the JobSeeker Payment, which used to be known as Newstart, will effectively double.
Who is eligible for the Coronavirus Supplement?
It goes to anyone receiving:
· JobSeeker Payment (formerly known as the Newstart Allowance)
· Sickness Allowance
· Youth Allowance for jobseekers
· Parenting Payment Partnered
· Parenting Payment Single
· Partner Allowance
· Farm Household Allowance
When does it start?
Payments will begin on April 27 and will be available for at least six months.
Are small business owners and casual workers eligible?
Yes — if they suddenly find themselves earning less than $1,075 a fortnight.
Treasurer Josh Frydenberg said the Government would ensure people who had their business closed, saw customers disappear, or had casual shifts cut could access the Coronavirus Supplement.
How to claim the Coronavirus Supplement:
If you're already receiving one of the welfare payments listed above, you don't actually have to do anything.
Services Australia will automatically pay the Coronavirus Supplement to eligible recipients each fortnight.
If you're not currently receiving welfare, you'll need to apply.
Remember, the Government has temporarily expanded eligibility for the JobSeeker and Youth Allowance payments, meaning you may be eligible if you're:
A permanent employee who has been stood down or lost your job
A sole trader, self-employed, a casual or contract worker whose income has reduced
Caring for someone who's affected by coronavirus
Income testing will still apply but if you're earning less than $1,075 a fortnight, Centrelink should approve your claim, meaning you would get the supplement.
How do I apply for JobSeeker or Youth Allowance?
You can apply online at MyGov using a Centrelink account, or contact Services Australia by phone for more details.
Is there a waiting period for the Coronavirus Supplement?
The ordinary waiting period has been waived.
Can I still access annual leave or income protection?
No. You can't access employer entitlements, such as annual leave or sick leave, at the same time as getting JobSeeker or Youth Allowance payments.
You also can't receive the payments if you're accessing income protection insurance.