Income Relief Payment to Support Kiwis
The COVID-19 Income Relief Payment provides up to 12 weeks of financial support to people who have lost their job or business (including self-employment) from 1 March 2020 to 30 October 2020 due to the impacts of COVID-19.
The Government’s attempt to respond, recover and rebuild the economy by introducing various schemes the wage subsidy, business tax refunds and interest-free loans for small businesses, now their new temporary relief payment support aims to support people who have suddenly lost their jobs to retrain themselves or to adjust and find new employment.
A new COVID Income Relief Payment is being introduced, alongside a wider work programme on possible future employment insurance as we rebuild our economy in a way that supports workers and businesses together.
Payment will be available from 12 weeks from 8th June 2020 for anyone who has lost their job due to the impact of COVID since 1st March 2020.
Those who have lost their full time work will be paid $490 a week and part timers will be paid $250 a week. These payments will be tax free.
People with partners who are still working may be eligible for this payment, as long as their partner is earning under $2000 per week.
Students who have lost part-time work as a result of COVID-19 may also be eligible for the part-time rate.
Finance Minister Grant Robertson said the payment acknowledges that the global economy is facing a 1-in-100 year recession, which is impacting on New Zealand, and supports the Government’s priority of protecting jobs where possible and supporting workers back into jobs where necessary.
“The Government’s priority is making sure people are in work and able to find new work if their job has been impacted by COVID. That’s why we made a $1.6 billion investment in the Budget to help people retrain. The Budget also invested to create practical jobs for New Zealanders through environmental work, construction and infrastructure. This payment will help Kiwis as they make these transitions.
We’ve always acknowledged that we won’t be able to save every job or every business and we have not hidden the fact that this is a global economic crisis and things are likely to get worse. But the Government is investing to cushion the blow on households and businesses to make sure we’re in the best position to respond, recover and rebuild,”
Grant Robertson said.
Those who will receive the COVID-19 payment will be required to:
Be available for, and actively seeking, suitable work opportunities while they receive the payment
Take appropriate steps towards gaining new employment; and
Identify and take opportunities for employment, re-deployment and training.
The 12-week scheme is forecast to cost about $570 million. This incorporates $1.2 billion of payments offset by $635 million of saved benefit payments, with small administrative costs. This fits with the Government’s intention for COVID response spending to be targeted, temporary and timely. It will be funded from the COVID Response and Recovery Fund.
Click Here to check if you’re eligible for this.
Source: https://www.beehive.govt.nz/