Steve and the employer worked out the business had missed out on over $600,000 worth of Federal Government incentives for the staff they’d already employed in the previous 12 months. Employing staff can be costly and time consuming at the best of times without missing out on Federal Government incentives you were entitled to receive.
Steve is constantly visiting employers and is surprised how many employers are unaware of available Federal Government incentives and who miss out on $6,500 to $10,000 when they hire staff who are eligible to attract a wage subsidy. Not every business is big enough to miss out on $600,000 of wage subsidies but $20,000 would no doubt be welcomed if you employed only two over the age of 50 job-seekers in one year.
Under the new ‘employer focused’ jobactive model there is now a vast pool of job ready candidates who attract a wage subsidy. Gone are the days of wage subsidies being reserved for only the very disadvantaged job-seekers. Today, the majority of jobactive candidates attract a generous wage subsidy:
- Over 50s ($10,000);
- Youth 15 - 29 ($6,500 - $10,000);
- Indigenous ($6,500);
- Parents returning to work ($6,500); and
- The longer-term unemployed ($6,500).
Employers should maximise their employee return on investment and implement a wage subsidy strategy to tap into job ready workers and reduce business costs. The first step is to make contact with their local jobactive provider who can confirm key eligibility requirements (including employing the staff member for an average of 20 hours per week, over a 6 month period). There is also a great social benefit to the new wage subsidies incentive. It provides a great start for someone entering the workforce or looking to increase their working hours while making it easier for employers to build job-seekers’ skills and help them develop valued employees.
Employers are now at the heart of the jobactive model and new wage subsidies are just one significant part of this employer focus. To ensure employers get the right employee fit from the start, the Government now pays jobactive providers on positive results. Those jobactive providers who stick square pegs in round holes will not survive. The new system only rewards successful long-term placements which benefit the employer, job-seekers and jobactive providers.
This stronger employer focus is a major change to previous models. Other significant advantages to employers include:
- The ability to pre-screen and job match candidates to employers’ needs;
- Pre-employment and staff development training to build day-one productivity;
- The revamped wage subsidy pool (both State and Federal); and
- Mentoring and post-placement support for improved staff retention.
An employer’s job is to run their business – a jobactive provider’s job is to fill their vacancies with the right candidate and make sure they thrive and want to stay in their job.
Help is out there! You just need to know who to ask. Let your local jobactive provider become your "backroom" employment and training partner to give you the best advice, just like your accountant or lawyer...potentially at NO COST!
For more information contact Brenden Brien:
0439 774 506
The views of the author and those who provided the responses to the comments posted on the Knowledge Centre are not necessarily the views of the Sunsuper Board. While Sunsuper attempts to make a wide range of information available via the Knowledge Centre it may not cover all the options available to you. We’ve put this information together as general information only and as such it doesn’t take into account your personal financial objectives, situation or needs. You should get professional advice before relying on this information.