JobKeeper Update - New Employees

Posted 18 Aug

JobKeeper Update

A legislative instrument was registered on 14 August 2020 amending the JobKeeper rules to allow businesses to claim the subsidy in respect of new employees. The changes apply to JobKeeper fortnights beginning on or after 3 August 2020.


Under the changes, the reference date for assessing which employees are eligible for the JobKeeper payment is now 1 July 2020.


Another very positive change relates to the ability for an employee to re-nominate with a new employer (which was previously not allowed). Broadly, if an individual was a 1 March 2020 employee of another entity but is not employed by that entity at any time from the start of I July 2020, then the individual is now permitted to give a nomination notice to a new employer. The same applies for eligible business participants, as applicable.


The ATO has also confirmed that for fortnights commencing on 3 August and 17 August 2020, employers will have until 31 August 2020 to meet the wage condition for all new eligible employees who are now included in the Jobkeeper scheme under the 1 July 2020 eligibility test.


What to do now.
If you have employees that fall into the categories mentioned above, you will need to enrol them as you did previously when you commenced JobKeeper, and ensure you meet the wage conditions for these new employees. 

The following list provides a summary of the key dates (and actions) that participating JobKeeper employers must consider in relation to their newly eligible employees as a result of the new 1 July 2020 eligible employee test.

  • By Monday 24 August 2020 (this coming Monday)
    Provide all newly eligible employees under the 1 July 2020 eligible employee test with an employee nomination form.
  • By Monday 31 August 2020
    Satisfy the $1,500 'wage condition' for each newly eligible employee (where they have nominated with the employer) for JobKeeper fortnights commencing 3 August 2020 and 17 August 2020 (i.e., JobKeeper fortnights 10 and 11).
  • From 1 September 2020 (the August monthly declaration must be lodged by 14 September 2020)
    Claim JobKeeper payments for the newly eligible employees who have agreed to be nominated for the JobKeeper scheme with the employer (along with existing employees) by lodging the August 2020 monthly declaration.


If you require assistance with this please do not hesitate to call our office on 07 4041 6188 and our team will be able to help.

Regards
Trinty Accountants Team 


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