The Government has announced the $2.5bn JobTrainer package to retrain, upskill and open new job opportunities.

JobTrainer for job seekers and school leavers

An additional 340,700 training places will be created to provide no or low cost courses into sectors with job opportunities. The Government is working with the States and Territories to develop a list of qualifications and skill sets to be covered by the program.

JobTrainer for employers

The JobTrainer package has expanded the number of businesses that can access the 50% apprentice wage subsidy and extends the subsidy until 31 March 2021 (from 30 September 2020).

Originally, only businesses with less than 20 employees or larger employers employing apprentices/trainees let go by a small business were able to access the subsidy (for wages paid to apprentices employed by them as at 1 March 2020).

Now, businesses with under 200 employees can access the subsidy for apprentices employed from 1 July 2020.

Employers will be reimbursed 50% of an eligible apprentice’s wage up to a maximum of $7,000 per quarter per apprentice.

Employers will be able to access the subsidy after an assessment by the Australian Apprenticeship Support Network.

You will need to provide evidence of wages paid to the apprentice. If the business subsequently is unable to retain the apprentice, another business can access the incentive if they then employ and pay wages to the apprentice.

Final claims for payment must be lodged by 30 June 2021.

How does the apprenticeship subsidy and JobKeeper work together?

They don’t. It is one or the other.

An employer will not be eligible to claim the apprentice wage subsidy for any period where they choose to claim the JobKeeper payment for the same apprentice.

An employer or Group Training Organisation will not be eligible for the JobKeeper payment where theemployer is in receipt of an Australian Government wage subsidy for the same Australian Apprentice (for example Supporting Apprentices and Trainees and the Australian Apprentice Wage Subsidy).

Eligibility remains the same. That is, those receiving:

• JobSeeker Payment (and all payments transitioning as a result of JobSeeker Payment)
• Youth Allowance
• Parenting Payment (Partnered and Single)
• Austudy
• ABSTUDY Living Allowance
• Farm Household Allowance
• Special Benefit
• Eligible New Enterprise Incentive Scheme participants
• Department of Veterans’ Affairs Education Schemes

The eligibility criteria and some of the tests for access to income support is changing.

Eligibility and access

The expanded eligibility criteria for the Jobseeker Payment and the Youth Allowance Jobseeker will continue to apply until 31 December 2020:

• Permanent employees who have been stood down or lost their jobs (and are not receiving payments from an employer or through insurance),
• Sole traders, the self-employed, casuals or contractors who meet the income and assets tests.

In addition, if you receive JobSeeker or Youth Allowance payments, the amount you can earn before impacting income support has been increased to $300 per fortnight from 25 September 2020 until 31 December 2020.

However, a number of restrictions have been reintroduced.

Reintroduction of assets and partner income tests

From 25 September 2020, the assets test and the Liquid Assets Waiting Period (applies to those with assets such as cash savings worth over $5,500 for singles or $11,000 for singles with children and partnered people) will be reintroduced for access to income support payments.

In addition, partner income testing will resume from 25 September, albeit with higher thresholds than those pre coronavirus. That is, you will not be eligible for income support if you are not earning an income but your partner earns $3,086.11 per fortnight or $80,238.89 per annum. The partner income test taper rate will increase from 25 cents for every dollar of partner income earned over $996 per fortnight to 27 cents for every dollar of partner income earned over $1,165 per fortnight.

Reintroduction of job seeking requirements

Job seeking requirements that were suspended from 24 March 2020 have been introduced from 9 June

2020. The mutual obligation requirements include:

2021. Voluntary job searches

2022. At least one phone or online appointment with a jobseeker’s employment services provider
2023. Voluntary participation in activities, either online or in person, and
2024. No payment suspensions or penalties for failure to comply.

Waiting periods continue to be waived

Some waiting periods for access to income support will continue to be waived until 31 December 2020:

• The one-week ordinary waiting period is waived.
• The newly arrived resident’s waiting period for new migrants (previously four years). Claimants will still need to meet residency requirements, that is they will need to hold a permanent visa. Affected claimants will need to serve the remainder of this waiting period at the end of the period the Coronavirus Supplement is paid for.
• The Seasonal Work Preclusion Period for those who are eligible for the Coronavirus supplement - this applies to those who finished seasonal, contract or intermittent work in the six months prior to claiming income support.