COVID-19 Lockdown - Financial Support Available

Updated 23 August 2021

For businesses who have been adversely affected by the Government lockdown put in place on 17 August 2021 there are a range of financial support schemes available and we strongly recommend employers make sure they have checked their eligibility.

Wage subsidy

Applications for the wage subsidy are open and businesses can apply on the Work and Income website.

The Wage Subsidy is available to employers to enable them to continue to pay employees if they have been affected by the Government Level 4 lockdown imposed on 17 August 2021. This includes those who are self employed and meet the criteria.

The eligibility criteria requires that the business has been affected by the Alert Level 4 imposed on 17 August 2021 and the business has, or predict will have, a decline in revenue that is at least 40% decline over the period 17 August 2021 to 30 August 2021.

The Wage Subsidy is $600 per week for full time employees, and $350 per week for part time employees. Subsidy funds should go directly to employees wages.

Check your eligilbility https://www.workandincome.govt.nz/covid-19/wage-subsidy/how-to-apply.html

Resurgence Support Payment

The Resurgence Support Payment is available to businesses who have experienced a 30% drop in revenue or capital raising ability over a seven day period due to the Government Alert level 4.  This payment is not a loan and does not need to be repaid.

The payment must be used to help cover fixed costs or wages.

The Inland Revenue website has all the information regarding eligibility and how to apply: https://www.ird.govt.nz/covid-19/business-and-organisations/resurgence-support-payment/eligibility

Resurgence Support Payment applications open nationally from 8am on Tuesday, 24 August 2021.

Short-term Absence Payment

A payment is available at all Alert Levels to employers to enable them to pay employees who are staying at home waiting for a COVID-19 test. To be eligible, workers need to be unable to work from home.

There is a one-off payment of $350 for each eligible worker. From 24 August 2021, this payment will increase to $359 for each eligible worker.

Check your eligibility https://www.workandincome.govt.nz/covid-19/short-term-absence-payment/how-to-apply.html

Leave Support Scheme

The Leave Support Scheme provides a payment to businesses to pay their employees who have been told to self-isolate or meet the health criteria and cannot work from home.  

This support will be paid as a lump sum covering two weeks (and can be reapplied for if required) being $585.50 per week for full-time employees and $350 per week for part-time employees.

Check your eligibility https://www.workandincome.govt.nz/covid-19/leave-support-scheme/index.html

If have are an employer and have questions about the financial support available and how this may apply to your business then please contact one of our employment team on enquiries@toddandwalker.com or on 03 441 2743.