The Covid-19 Government Package – A Business Guide for Hospitality
You will all be aware of the announcement of the Government’s plan to stimulate business, due to the Covid-19 pandemic, through a huge $12.1 billion injection into the economy.
What does this mean though, for hospitality businesses?
Basically, if you are expected to have a fall in trade by 30% or more (which the vast majority of hospitality businesses will, due to the likely significant drop in trade from the pandemic), then you can apply for wage subsidies from the government. These will based on either a comparison of any month between January and June and/or projected figures for the next 12 weeks. These are broken down to $585.80 per week for full time staff and $350 for part time staff, over a 12-week period.
So for example, the following roster would result in the corresponding payout:
According to the government, this will be paid in a lump sum upon your application being accepted. The application process is very straightforward: just a simple online form with some business details and then a portal to enter each staff member you are claiming for and whether they work more or less than 20 hours. You can find a link to the form and form declaration below:
Payments are said to be made within five working days, giving a much needed parachute to the hospitality industry when it needs it the most. This is the first phase of government support which may include further subsidies in the future, if circumstances develop and the 12-week cushion is seen to be insufficient. The subsidy is aimed at employers retaining their staff over this period and has a maximum payout of $150,000 per business.
If you need any help with your projected takings, we are currently offering a Free 60 day Live Sales and Projection service. Please get in touch with email@example.com