Tuesday, 17 March 2020 14:31

Wage subsidy focus of Government’s $12.1b coronavirus scheme

Written by  Staff Reporters
Finance Minister Grant Robertson presented the scheme around 2pm today. Finance Minister Grant Robertson presented the scheme around 2pm today.

The Government has announced a massive $12.1 billion scheme to protect businesses and workers amid the Covid-19 outbreak.

Under the scheme, businesses hit worst by coronavirus may be given a wage subsidy of up to $585.80 a week for each full-time worker and up to $350 per week for each part-time worker.

Making up almost half of the scheme, the $5.1 billion wage subsidy takes a central focus in the Government’s coronavirus response.

Businesses wanting to take part in the wage subsidy will have to prove they are losing a large amount of income due to the pandemic.

The wage subsidy, which kicks in today, will enable businesses to receive up to $150,000 over the next 12 weeks.

$126 million has also been allocated for Covid-19 sick leave and self-isolation. 

The funding will enable employees to be paid for the entire time they are sick with Covid-19.

Businesses will also benefit from a $2.8 billion package of tax changes. 

A higher provisional tax threshold will kick in, interest will be waived on some late tax payments, depreciation deductions will be allowed for commercial and industrial buildings, and businesses will be able to take more deductions for low value assets.

A $2.8 billion package will also go towards beneficiaries and superannuitants. 

Focal to the package, is an increase in weekly benefit payments. 

Beneficiaries will get an extra $25 in their pocket each week and the Winter Energy Payment will be doubled for both beneficiaries and superannuitants to $900 for singles and $1400 for couples.

The health and aviation sectors are also getting a boost, with $500 million and $600 million respectively. 

More like this

Sorry, not sorry

OPINION: Did former PM Jacinda Ardern get fawning reviews for her book?

Every exhibitor with something valuable to offer for farmers

OPINION: Welcome to the second annual NZ Dairy Expo at Matamata – an event created to bring together the best of the New Zealand dairy industry in a focused, grassroots environment where dairy farmers and rural professionals can meet, talk, compare products, and make smart decisions for their farms.

Featured

Horticulture exports hit $8.4B, surge toward $10B by 2029

A brilliant result and great news for growers and regional economies. That's how horticulture sector leaders are describing the news that sector exports for the year ended June 30 will reach $8.4 billion - an increase of 19% on last year and is forecast to hit close to $10 billion in 2029.

National

Machinery & Products

Calf feeding boost

Advantage Plastics says it is revolutionising calf meal storage and handling, making farm life easier, safer, and more efficient this…

JD's precision essentials

Farmers across New Zealand are renowned for their productivity and efficiency, always wanting to do more with less, while getting…

» Latest Print Issues Online

The Hound

Be afraid

OPINION: Your old mate hears some of the recent uptick in farmer confidence has slipped since the political polls started…

Trust us!

OPINION: Ther'es a reason politicians rank even lower than John Campbell in the most trusted profession surveys.

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter