Covid-19 Wage Subsidy

 

Covid-19 - Wage Subsidy

COVID-19 Wage Subsidy

As you will be aware, the New Zealand Government is offering a wage subsidy for businesses that are
affected by coronavirus COVID-19.

Businesses that can show they have had a 30% decline in revenue for any month between January and June
2020 compared to the year before can claim wage subsidies. Applications can also be made on the basis of
forecast revenue loss within that period.

Employers who claim the subsidy will be paid NZD585.50 per week for full-time staff and NZD350 per week
for part-time staff. The pay-out will be a one-off lump sum, covering a period of 12 weeks. This means
NZD7,029.60 for a full-time employee and NZD4,200 for a part time employee. The maximum amount any one
employer can receive is NZD150,000.

Affected employers can make applications to the Ministry of Social Development (MSD) from 17 March 2020
until 9 June 2020 and, as noted above, can be on the basis of a projected loss of revenue over the 12 week
period.

LMI has already been approached to assist clients with their calculation of a forecast loss and we are
available if any of your clients also require some assistance. Our fee for this service will be a flat $1,000.00
plus GST.

If you have any queries or have clients who would like our assistance, please contact us on 09 414 6330 or by
email at nz@LMIGroup.com.


09 414 6330
www.lmigroup.com
“Managing the World’s Risk”