On 1 September 2020, legislation passed to extend the JobKeeper scheme through to 28 March 2021.
The JobKeeper extension was initially announced by the Government on 21 July 2020, which included tiered payment rates for eligible employees, employed by eligible employers.
The Government has since made further announcements regarding eligible employment dates, renominating employees and the assessment periods for the decline in the turnover test.
In addition to the previous announcements, the new legislation under the Fair Work Act introduces the term legacy employer. A legacy employer is an employer who was eligible to receive JobKeeper for their employees, however, not for any fortnights after 28 September 2020.
Legacy employers who have a certificate stating they satisfy a 10% decline in turnover test can give a JobKeeper enabling stand down direction to an employee for whom they previously received a JobKeeper payment.
The direction can reduce that employee’s ordinary hours to a minimum of 60% of their ordinary hours as they were at 1 March 2020. Such a direction cannot result in the employee working less than two consecutive hours in a day.
A BAS agent, registered tax agent or qualified accountant must certify that an employer has met the 10% decline in turnover test for the relevant period.