$15 billion JobKeeper backflip to kick in from September
Employers will gain easier access to the JobKeeper wage subsidy from the end of September in a $15 billion federal backflip to deal with the economic damage from sweeping Victorian shutdowns.
Treasurer Josh Frydenberg will reverse the strict eligibility criteria which were announced less than three weeks ago.
This means more companies will be able to qualify for the payment, which drops to $1200 a fortnight from September.
Hours after predicting another spike in unemployment due to lockdown restrictions, Frydenberg gained cabinet approval to add to the $85.7 billion cost of the scheme.
The government informed employers on July 21 that it would impose tougher measures to JobKeeper for the second phase of the scheme by requiring them to show a fall in turnover in the two quarters to the end of September.
The Treasurer will confirm on Friday that the eligibility test will shift to an easier test so employers only need to present a fall in turnover in the quarter to the end of September, compared to the same period last year.
Employers that hope to qualify for JobKeeper in the final stage, from January to the end of March, would need to show their turnover has declined in the quarter to the end of December compared to the same period last year.
The JobKeeper payment rate will decrease from $1500 to $1200 from the first week of October.