The JobKeeper provisions in the Fair Work Act were extended recently along with the passing of the JobKeeper 2.0 legislation.  These extended provisions take effect from 28 September 2020 and include some changes for employers.

The extended provisions allow qualifying and legacy employers to continue to access temporary Fair Work Act provisions for a further six months, until 28 March 2021.  For qualifying employers, those employers whose businesses are eligible for JobKeeper 2.0, access to these provisions allows for increased flexibility to help manage their business and their employees.

A significant change to the provisions include the recognition of legacy employers.  Legacy employers are those businesses that previously qualified for JobKeeper but are now unable to qualify for JobKeeper 2.0, and have suffered a 10% decline in turnover for the relevant test quarter.

Notably, legacy employers must have a ‘10 per cent decline in turnover certificate’ confirming, based on the information provided, that the specified employer satisfies the 10 per cent decline in turnover test for the designated quarter.  These ‘certificates’ must be provided by an eligible financial service provider.  Alternatively, for small business employers with less than 15 employees a statutory declaration can be provided.  Please note that Kelly & Associates can assist clients with the provision of a certificate or statutory declaration as appropriate.

Importantly for employers, these temporary Fair Work Act provisions enable qualifying employers and legacy employers to:

  • change an eligible employee’s usual duties
  • change an eligible employee’s location of work
  • agree with an eligible employee to change their days and times or work; or
  • reduce an eligible employee’s hours or days of work in certain circumstances.

Any agreements that legacy employers already have in place will effectively end on 27 September 2020.  All legacy employers will need to reissue or make new directions and agreements with their employees.

Currently, the Fair Work JobKeeper provisions also allow a qualifying employer to make agreements with their employees to take annual leave (including at half pay).  However, from 28 September 2020, these provisions will stop applying and employers will no longer be able to make such agreements under the provisions.

Please contact our office if you require any further assistance regarding these provisions or if you require a 10 per cent decline in turnover certificate or statutory declaration.