Covid-19 business support: Wage support for apprentices

You have heard about the Apprentice Wage Subsidy and now the JobKeeper Payment. In this post Jennifer Lawrence our Senior Adviser, Industry Policy gives a quick overview of each and how they interact if you’re eligible for both. 

Also stay tuned for more in this series of business support blog posts, we’re covering topics to help your business survive COVID. Find out more about support for employers, cash flow, what’s available from the banks, tax relief and more.  

What wage support is available? 

Apprentice Wage Subsidy	JobKeeper Payment
50% reimbursement for small businesses on wages paid to apprentices	$1,500/fortnight reimbursement of wages paid to employees
1 January 2020 to 30 September 2020	30 March 2020 to 30 September 2020
Small businesses with less than 20 employees on 1 March 2020	Businesses that have experienced a minimum 30% decrease in turnover due to coronavirus
Apprentices employed or hosted by a small business on 1 March 2020	Full-time, part-time and long-term casual (min 12 months) employed on 1 March 2020
Payments made quarterly in arrears	Payments made monthly in arrears
Apply through your local Apprenticeship Support Network	Register your interest at www.atog.gov.au
Read our blog post on the Apprentice Wage Subsidy for more information.	Read our blog post on the JobKeeper Payment for more information.

 

Can I choose which support I want to receive? 

Yes. If you’re eligible for the Apprentice Wage Support and the JobKeeper Payment for an Australian Apprentice, you can choose which payment best supports your circumstances. 

Can I claim both? 

You can’t claim both at the same time. However, you can claim one and then transfer to the other.   

In other words, if you meet the eligibility for both your best option is most likely to seek the Apprentice Wage Subsidy for January to March and then transfer to the JobKeeper for April to September. To do this:   

Contact your local Australian Apprenticeship Support Network now to register for the Apprentice Wage Subsidy to receive a reimbursement of half of the wages paid to the apprentice for January to March 2020, and  

Register your interest for the JobKeeper Payment on the ATO website. The ATO will then contact you to apply for the Payment and nominate your eligible employees. JobKeeper Payments are paid to employers monthly in arrears with the first payment period commencing 30 March and the payment being made in early May. The payment is $1500 per employee per fortnight (noting that this will become the minimum before tax that you must pay any eligible employee).  

Want more information?  

Read the Department of Employment’s Questions and Answers.