COVID-19 wage subsidy and other support available for Coromandel businesses

Earlier this week Finance Minister Grant Robertson advised that income support mechanisms would be triggered by the August 2021 seven day lockdown at alert Level 4. Coromandel businesses may be eligible to apply for Government assistance as a result of the COVID-19 alert level rise including the:

• Wage Subsidy Scheme
• Resurgence Support Payment
• Short-Term Absence Payment
• Leave Support Scheme.

To see an overview of support available to businesses and employees at different alert levels go to the Ministry of Business, Innovation and Employment information pages. 

Wage subsidy scheme open now

The Wage Subsidy Scheme allows eligible employers to apply for support if they expect a loss of 40 percent of revenue as a result of the alert level increase. The Wage Subsidy is a payment for employers to keep paying staff and protect jobs. Businesses will be eligible for:

• $600 per week for full time employees
• and $359 per week for a part time employee.

Work and Income will be handling the applications for the wage subsidies from Friday 20^thAugust. It is expected that payments to businesses will be made within a three day period of the application.

Covid Resurgence Support payment

The Resurgence Support Payment will be open for applications 8am on the 24 August. This payment is available for small businesses as a result of the alert level increase to level 2 or higher. Eligibility applies to businesses that due to the increased COVID-19 alert level have experienced at least:

• a 30% drop in revenue
• or a 30% decline in capital-raising ability over a 7-day period,

Eligible businesses can apply to receive the lesser of  $1500 plus $400 per full-time employee up to a maximum of 50 full time employees or four times the actual revenue decline experienced by the applicant.

The Inland Revenue Department will be managing these payments. To get more information about eligibility, how to apply and to use the Resurgence Support Payment calculator go to the Inland Revenue information pages.

Other COVID-19 lockdown payments and schemes available

The Short-term Absence Payment is available for payment of employees while they are at home awaiting a COVID-19 result. 

The COVID-19 Leave Support Scheme is a payment to businesses to pay their workers who meet certain health criteria, e.g. they have COVID-19. This payment is also available if you’re self-employed. 

Tool to help businesses assess what financial support is available 

A COVID-19 financial support tool has been developed by the New Zealand Government to assist businesses to assess what financial help may be available to them.

For up to date information on subsidies, schemes and to access the financial support tool please see the financial support for businesses page on the New Zealand Government COVID-19 website.  

Free national COVID-19 Business helpline

A national helpline is available to all New Zealand businesses (including sole traders) for advice on:

• government financial support, eg Wage Subsidy Scheme, Resurgence Support Payment
• what different alert levels mean for your business
• business continuity
• finding free or subsidised expert help, eg a business mentor or advisor
• people challenges, including staffing changes, employee wellness, and meeting your health and safety obligations.

Businesses in the Coromandel can call staff on the North Island helpline on 0800 500 362.