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Supporting NSW Businesses Through to Reopening

Media Releases

Date : 30 September 2021

Author: The Hon Josh Frydenberg MP

THE HON JOSH FRYDENBERG MP

Treasurer

THE HON DOMINIC PERROTTET MP

New South Wales Treasurer

JOINT MEDIA RELEASE

30 September 2021

SUPPORTING NEW SOUTH WALES BUSINESSES THROUGH TO REOPENING

The Morrison and Berejiklian Governments will continue supporting thousands of small and medium-sized businesses until New South Wales is expected to reach 80 per cent vaccination.

Consistent with the National Plan, the Commonwealth will continue to co-fund the JobSaver program, with funding to taper when New South Wales meets its vaccination targets.

When the state’s vaccination rate reaches 70 per cent of the eligible population, JobSaver payments will taper from the current payment rate equivalent to 40 per cent of weekly payroll to 30 per cent of weekly payroll. This is anticipated to occur by 10 October.

From 10 October to 23 October, the minimum and maximum weekly payments for employing businesses will be reduced by 25 per cent to $1,125 and $75,000 weekly and grants to be 30 per cent of weekly payroll. The grant for sole traders will reduce to $750.

Once New South Wales reaches a vaccination rate of 80 per cent, the Commonwealth’s contribution to the JobSaver program will cease, in line with the National Plan for Reopening. This is anticipated to occur by 31 October.

The New South Wales Government will later today announce details of further support to businesses beyond this period.

The Federal Treasurer Josh Frydenberg said the ongoing support comes on top of the Morrison Government’s more than $52 billion in direct economic support to New South Wales households and businesses since the start of the pandemic.

“The Morrison Government understands the significant impact lockdowns and border closures have had on small and medium businesses across New South Wales and we are encouraged by the State Government’s reopening roadmap in line with the plan agreed at National Cabinet.

“The jointly funded JobSaver program tapers as the state reaches 70 per cent full vaccination rate, consistent with the easing of restrictions.

“The Commonwealth will cease funding state business support programs, including JobSaver, at 80 per cent full vaccination in line with the National Plan for Reopening.

“At this point it will be incumbent on the states to provide any necessary targeted business support needed in their jurisdictions relevant to any health restrictions they elect to impose.

“We can’t eliminate the virus, we need to learn to live with it in a COVID-safe way. Our economy has bounced back strongly before once restrictions are eased and is well positioned to do so again when lockdowns lift.”

The NSW Treasurer Dominic Perrottet acknowledged the Commonwealth collaboration on the JobSaver program, which had complemented the more than $38 billion in support provided by the NSW Government since the pandemic began in March 2020.

“JobSaver has helped tens of thousands of businesses weather the storm of the Delta outbreak and maintain the vital connection between employers and employees, which will lay the groundwork for our economic recovery as we pivot towards re-opening.

“The tapering of the program will ensure we continue to support businesses as we move from response to recovery, giving them much needed support as we focus on the reopening.

“The New South Wales Government’s roadmap has laid out a clear plan for getting back to life as we know it and ultimately this will help give businesses the confidence to open up. Sydney and NSW will bounce back, we’ve done it before and we will do it again.

“We will announce our comprehensive economic recovery plan in October and have more to say later today about support for NSW businesses as we transition to a brighter summer.”

Ends

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