The Minister of Finance, Grant Robertson released the following press release:
COVID-19 resurgence support payment proposed, 15 December 2020
On 15 December 2020, the Minister of Finance, the Hon Grant Robertson, announced that, in the event of a resurgence of COVID-19, a new resurgence support payment is being introduced to help businesses directly affected when there is a move to Alert Level 2 or above for a week or more. The Minister said that this will particularly help sectors like hospitality and events, who face particular disruptions as Alert Levels change.
Businesses can apply to Inland Revenue for the one-off resurgence support payment. The package includes a one-off payment of $1,500 plus a $400 payment per employee up to a total of 50 FTEs. Businesses will need to declare a drop of 30% or more in income over a 14-day period as a result of an increase from Alert Level 1 to Alert Level 2 or higher. They must have been in business for at least 6 months in order to apply. Legislation containing the measure is expected to be introduced early next year.
The Minister said that the Government is also committed to the Wage Subsidy Scheme where there is a regional or national move to Alert Levels 3 and 4.
The Government is also keeping the Leave Support Scheme and adding to it by introducing a new short-term absence payment to cover eligible workers needing to stay at home while awaiting a COVID-19 test result. This will be a one-off payment of $350 to employers to pay workers who need to stay home while awaiting a test or while someone who is their dependent is doing so in accordance with public health advice.
The Minister noted that other supports retained include the loan products Business Finance Guarantee Scheme, which is being extended to June 2021 with additional availability and flexibility, and the Small Business Cashflow Scheme, which has also recently been extended.
Source: Hon Grant Robertson, Govt ready to back business if there’s a COVID resurgence.