Following the Government’s announcement to support New Zealanders and their jobs from the impact of COVID-19, we have outlined essential information below surrounding the two payments available to support employers affected by COVID-19.
It is to help you keep your staff employed while you consider changes that may be needed while the disruption continues, and to ensure the future viability of your business.
To qualify for the COVID-19 wage subsidy:
The subsidy is paid as a lump sum and covers 12 weeks per employee. It will be paid at a flat rate of:
The maximum subsidy that can be paid to a business is $150,000.
Businesses can only get this subsidy once.
Employers can apply for this more than once.
It will be paid to employers who have eligible employees and they must pass the payment onto their employees in full.
COVID-19 Leave Payment covers full-time, part-time and casual employees, and contractors who are legally working in New Zealand and who:
The COVID-19 leave payment will be paid at a flat rate of:
As people may be required to self-isolate more than once, employers will be able to apply for this on an ‘as needed’ basis.
It can be paid for the entire period an employee is sick (or looking after a dependent person who is sick) with COVID-19 but the employer must apply every 14 days.
Using paid leave entitlements or COVID-19 Leave Payment when self-isolating?
You and your employee can agree to use any form of paid leave (e.g. annual leave) to cover their period of self-isolation. However, employees aren’t required to have used any or all their paid leave entitlements before they can receive this payment.
You will need the following on hand:
Work and Income are aiming to make payments five working days after they have all the information needed from employers, but this will depend on the volume of applications received. All payments will be subject to audits and reviews.
For latest details of the full range of support for businesses please visit:
A reminder that if you are changing an employees working hours even in response to the COVID-19 pandemic you are still required to consult with them.
If you have any questions, please contact EasyHR (027 530 1255 or firstname.lastname@example.org), and we will endeavour to point you in the right direction for assistance.
Tarryn has worked in HR for over 14 years and loves to solve problems. She is a self professed employment relations junkie! She lives in Auckland with her dedicated husband, tireless toddler and three special needs cats.