Subsidy
Information
To assist with placements there are some Government subsidies that may be available to subsidise the person’s wages.
These are:
Mainstream Funding
Administered by MSD, this is a fund where the Government funds 80% of the salary/wages of the client in their first six months of work and then 50% of salary/wages in the second six month period. Placements are for one year and the job must be an additional “created” position within the workplace. The hope is that the person being funded is able to then either compete for work in the same organisation or the position created for the person is funded fully by the employer. This funding is very limited, is not guaranteed, and the client must be working for more than 5 hours per week.
Job Streams Funding
Also administered by MSD, this funding is available to subsidise the amount that the employer pays the person in salary/wages up to a capped level. It is targeted to those most at risk of long-term benefit dependence and the person must be working more than 15 hours per week. It generally covers a 6 month period, but in special circumstances, can be extended for a further 6 months.
Productivity Allowance
Administered through MSD support funds, the subsidy is paid to assist employers while the employee gains skills and establishes the types of supports available to any employee starting a new job. Productivity Allowances have a “fade out” plan whereby the subsidy reduces by 5% after every 6 months.