NSW Job Keeper - Made to return to work and work up to the $1500 is reached..

[Williamdunn]

Hi,

Im looking for advice on how to handle the following please,

The situation is a business with 400 people stood down 300 people leaving 100. Since the Job Keeper stimulus package has been announced the employer has advised the 300 stood down employees that it is expected that they work 2-3 days per week (based on how their hourly rate fits into the $1500) at the business doing general warehouse work/cleaning duties/repairs etc.

To say no to this will severely put you at a disadvantage when work returns to normal.

Thoughts on this?

Thanks in advance, I appreciate any input.

WD

 

[WiserNow]

Hi,

Im looking for advice on how to handle the following please,

The situation is a business with 400 people stood down 300 people leaving 100. Since the Job Keeper stimulus package has been announced the employer has advised the 300 stood down employees that it is expected that they work 2-3 days per week (based on how their hourly rate fits into the $1500) at the business doing general warehouse work/cleaning duties/repairs etc.

To say no to this will severely put you at a disadvantage when work returns to normal.

Thoughts on this?

Thanks in advance, I appreciate any input.

WD

Interesting scenario.

With no response here try BANTacs on facebook. They are accountants but Julia is amazing and may be abke to shed some light re the hours worked

 

[Rod]

Under the new JobKeeper legislation much depends on how people are paid as to what happens.

Suggest you see an employment lawyer.

 

[WiserNow]

Why would it depend on how people are paid as to what happens?

 

[Tim W]

I am struck by the similarity of this question to one posted recently.
Oh, wait, that's because it's the same question, repeated....

 

[Tim W]

What's changed since last time you posted the same question?

 

[WiserNow]

What's changed since last time you posted the same question?

What? Your responses are quite rude!

I am simply interested on why Rod felt it would depend on how people are paid.

Jobkeeper the employee gets $1500 minus tax. Why would it depend on how people are paid to what happens with the hours worked?

If they only worked 20 hrs per fortnight @ $20 per hr then it is $400 plus a top up to $1500.

Based on the question above the employer is asking the employees to work 75 hrs per fortnight * $20 to make it up to the $1,500 and these were employees stood down (ie no work being available?)

When does Rod then think it depends on the payment?

William - the ATO does have a reporting line if you feel the employer is not doing the right thing.. not sure it would cover the scenario of hrs worked. Maybe fair work?

We are experiencing new legislation but ur story above feels like the employer is taking advantage.

Has the employees started receiving their jobkeeper payments. The first fortnight payment was 30 March to 12 April and must be paid by 27 april for the employer to obtain it from the ATO.

 

[Rod]

Jobkeeper the employee gets $1500 minus tax. Why would it depend on how people are paid to what happens with the hours worked?

No. The employee gets the greater of $1500 or their pay. Number of employees is irrelevant.

If they only worked 20 hrs per fortnight @ $20 per hr then it is $400 plus a top up to $1500.

Agreed.

Based on the question above the employer is asking the employees to work 75 hrs per fortnight * $20 to make it up to the $1,500 and these were employees stood down (ie no work being available?)

There is an assumption the rate of pay is $20/hr. It is unlikely everyone is paid the same rate.

And keep in mind the employer needs to qualify for jobkeeper before issuing jobkeeper stand-down notices.

 

[WiserNow]

No. The employee gets the greater of $1500 or their pay. Number of employees is irrelevant.



Agreed.



There is an assumption the rate of pay is $20/hr. It is unlikely everyone is paid the same rate.

And keep in mind the employer needs to qualify for jobkeeper before issuing jobkeeper stand-down notices.

Yes it is an assumption.. it was being used as an example.

And there is the risk re qualifying..

Employer has to pay 2 rounds of jobkeeper before they have been advised anytime from 4 May they qualify or receive any payments.

$3,000 x 300 employees is a lot.

As an employer you want to be sure. In fact why even risk $90,000 plus paperwork.. Employer would be best to keep the 300 stood down.

 

[WiserNow]

William : I am not sure if you are following this post anymore but in any event I personally was interested in your scenario. I posted to BanTacs and received the following response from BANTacs:

"You are certainly allowed to make them work for their $1,500 per fortnight but it must be at their already established hourly rate and means you will have to pay super. Note you have to pay those 300 employees job keeper or not receive job keeper for the 100 that are working (one in all in). If you can't afford to pay the 300 that are stood down their $1,500 a week then you have to sack them in order to qualify for the job keeper for the 100 that are working"

Source: BANTacs Accountants.

I thought the point re having to pay job keeper for all 400 was interesting and not just the 300. Plus for the 100 to qualify the 300 had to be sacked...

Plus the employer, as the employees are working for the whole $1,500, has the added expense of super for the whole of the $1,500. Super is only paid on the, using my example above, $400 as the remaining $1,100 is top up. Plus any other entitlements.

An employer who is already struggling financially.

If I was this employer I would not be applying for Jobkeeper and advising my employees to seek other avenues such as JobSeeker where the financial benefits could be more.