Unlike the incredibly influential and well regarded JobKeeper program, the Federal government’s JobMaker program has not been given its justified lime-light and has been nearly forgotten by businesses.

Announced in last October’s budget, the scheme was designed to create jobs, more specifically, for younger Australians. Yet to date, according to a recent Australian Financial Review report from late March, it has failed to deliver more than 609 jobs in a 7-week period since claims opened on 1 February. Corporate leaders across the country have ignored the scheme and managing directors of well-known companies have openly disclosed their lack of interest in the program.

The scheme will remain available to businesses to October 2022, and despite its apparent policy shortcomings so far, JobMaker still has the potential to deliver some value for small business employers.

The scheme is split into two tiers depending on the age of employee hires: providing $100 per week for employees aged 16 to 29, and providing $200 per week for employees aged 30 to 35. To be eligible employees need to be additional (i.e. need to increase the total headcount and total payroll) of the employer’s workforce, have started on or after 7 October 2020 and before 7 October 2021, and have worked or been paid for an average of 20 hours per week during the ‘JobMaker period’. Headcount is calculated with reference to a baseline number of employees including casuals (with some conditions) established initially on 30 September 2020.

The program also contains a careful exclusion for certain employees like contractors or employees performing substantially similar functions prior to joining the payroll. These employees will not be eligible for the subsidy.

In another policy twist designed to reduce joblessness, new employees need to have received Commonwealth income support – in the form of either JobSeeker, parenting payment, or youth allowance – for a minimum of 2 fortnights in the 6 fortnights prior to commencing their new employment. An employee can still be considered to have received income support if on a nil payment rate whether due to a waiting period, suspension, or a nil rate period due to reporting other income above the cut-off.

Closely held employees, which includes relatives, shareholders, directors, and trust beneficiaries are also all excluded from eligibility.

With JobKeeper now concluded, JobMaker may be used as another lifeline for employers to utilise in the next quarter which will hopefully see more jobs created for young Australians.