JobKeeper 2.0: extended, tightened, reduced.
JobKeeper, the most expensive fiscal measure in Australian history, will be extended by another six months at a cost to the budget of roughly $16.6 billion.
The scheme will be scaled back and include tighter eligibility requirements where businesses must meet the 30% turnover decline in both the June and September quarters.
The wage subsidy will be split into two payment tiers with full-time workers earning more than part-time employees. From October, those working more than 20 hours per week will receive $1200 a fortnight, while those working less than 20 hours per week will receive $750. From January, the rates fall to $1000 and $650 per fortnight respectively.
Speaking with Money News host Brooke Corte, Treasurer Josh Frydenberg says it’s a delicate balancing act.
“At a cost of around $86 billion, this is the biggest income support program Australia has ever seen,” Mr Frydenberg tells Brooke Corte.
“It’s really important for your listeners, whether they are workers in business or business owner themselves, to understand that JobKeeper is just one aspect of a broader suite of measures that we have introduced as a government.”
Click play to hear the full interview: