New Zealanders who lose their jobs because of the ongoing COVID-19 pandemic may soon be eligible for a new 12-week payment that could provide more money than the existing JobKeeper Support.
The COVID-19 Income Relief Payment covers people who became unemployed after March 1st, and will remain available for people who lose their jobs before the end of October. The application period will run from June 8th to November 13th.
Weekly payments of $250 will be given to those who lost part-time jobs, while former full-time workers will receive $490.
People who have a partner earning more than $2,000 a week (gross) will be ineligible. Unemployed workers receiving redundancy payments exceeding $30,000, earnings-related ACC payments, or income protection insurance payments will also be ineligible.
The current JobSeeker payments provide $250.74 per week to single people over 25 years of age, and $428.06 to couples with children.
Unlike the JobSeeker Payment, the COVID-19 Income Relief Payment will be tax-free.
While they are receiving the payments, recipients will need to prove that they are actively seeking employment or training.
The global economy is facing a “1-in-100 year recession,” said Finance Minister Grant Robertson.
“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,” he said.
Opposition Leader Todd Muller has criticised the scheme, saying spending should be more focused on keeping businesses alive.