Wage subsidy for the long-term unemployed
The Wage Start subsidy is for businesses that hire eligible job seekers who are long-term unemployed. The subsidy can pay up to $6,000 over a 6 month period.
There’s a limit on how many jobs can get the Wage Start subsidy each year.
Who can get Wage Start
To be eligible for a Wage Start subsidy, the business must:
- have an ABN
- not have had a wage subsidy for the same job before
- not have recently cut back its number of employees, or be planning to
- not do anything that might damage the reputation of the wage subsidy or the Australian Government for example, having a history of wage theft or illegal activities
- not be getting another government wage subsidy for the same job seeker or position.
The job seeker must:
- have been registered with a Disability Employment Services (DES) provider for at least 12 months
- be under 50 years old
- not be an immediate family member of the employer.
There are other conditions. Contact a local DES provider for more information.
What types of jobs are eligible
The job can be full time, part time or casual. It must:
- be for at least 15 hours a week on average over the 26-week subsidy period
- be ongoing
- comply with all relevant laws and meet minimum standards, such as paying award wage, superannuation and insurance
- not force another employee out of their job
- not be a commission based, subcontracted or self-employment position.
How to apply
To apply for Wage Start, employers need to contact a local DES provider before starting their new employee. The DES provider will help manage the process and payments.
- The employer contacts a DES provider.
- The DES provider checks if the business, job seeker and position are eligible.
- The DES provider and employer discuss the wage subsidy payments and sign an agreement.
- The DES provider pays the wage subsidy to the business.
For more information, get in touch with a DES provider or contact JobAccess.
How the payments work
The DES provider pays the Wage Start subsidy to the employer. Employers can arrange with their DES provider how often they get a payment. The full rate of the subsidy is $6,000, including GST.
The DES provider can claim the payments back through the Department of Social Services (DSS). Providers need to show proof of the payments and that the employer and employee are eligible for the subsidy.
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