Wage Subsidy Scheme for new employees
The Wage Subsidy Scheme is for businesses that give eligible job seekers a chance to show they are suitable for an ongoing job. The Wage Subsidy Scheme is only for new employees.
Who can use the Wage Subsidy Scheme
To be eligible for the Wage Subsidy Scheme, 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:
- be registered with a Disability Employment Services (DES) provider
- be of working age
- be a new employee
- not have a relationship with the employer
- not be getting help from Work Assist.
There may be other conditions, based on the job seeker’s situation.
What types of jobs are eligible
The job can be full time, part time or casual. It must:
- be for at least 8 hours a week over 13 weeks, and expected to keep going
- comply with all relevant laws and meet minimum standards, such as paying award wage, superannuation and insurance
- meet the employment standards for the position –for example, is suitable work and pays at least the national award wage
- not force another employee out of their job
- not be a commission based, subcontracted or self-employment position.
Apprenticeships and traineeships may also be eligible for the Wage Subsidy Scheme.
How to apply
To apply for the Wage Subsidy Scheme, 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 $1,650, 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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