Flexibility measures for “Legacy Employers”

With JobKeeper 2.0 commencing this week, some employers may find they are no longer eligible for the subsidy based on the new decline in turnover tests.

However, it is important to note that previously “eligible employers” who do not qualify for the JobKeeper subsidy after 28 September 2020 under JobKeeper 2.0 but are able to satisfy a 10% decline in turnover test will be considered to be “legacy employers”.

“Legacy employers” will still be able to access some flexibility measures. Specifically, a “legacy employer” will have the right to issue “eligible employees” with JobKeeper enabling directions in relation to changed duties and location of work and to reach agreements with those employees about days and times of work. However, the employee’s ordinary hours of work cannot be reduced to less than 60% of the employee’s ordinary hours as at 1 March 2020 and the employee cannot work less than two hours in a day.