Government Support

NZ Government Support Package Announced in Response to CoVID-19 Virus

17 March 2020

Today an announcement has been made as part of New Zealand’s Coronavirus Response, details on the Government’s ‘business continuity package’ have just been released.

A 12.1 billion dollar package over 4 years has been released to mitigate a coronavirus recession:


  • 5.1 B in wage subsidies over the next 12 weeks (CLICK HERE FOR DETAILS)
  • One off payment package equivalent to $585 per week full time employee and $385 per week part time employee for next 12 weeks.
  • 8.7 billion dollars for business and jobs
  • 126 million for leave and self-isolation support
  • 500 mil in health spend to do with covid-19
  • A permanent $25 a week to core benefits.

The Government has considered “Cash-flow and confidence”, “This is not a one off package” Grant Robinson Finance Minister – “We are intent to fight the virus, soften the blow and support business.”


Salon Owners, self-employed and contractors who have suffered a minimum of 30% in business decline over the last 3 months and/or do so into the future because of the Covid-19 virus can apply for their share of the subsidies announced.


In Essence:

(Extracted from work & income website)

If you’re an employer, contractor, sole trader or self-employed, you may qualify to get the COVID-19 wage subsidy.

To qualify:

  • your business must be registered and operating in New Zealand
  • your employees must be legally working in New Zealand
  • the business must have experienced a minimum 30% decline in actual or predicted revenue over the period of a month when compared with the same month last year, and that decline is related to COVID-19
  • your business must have taken active steps to mitigate the impact of COVID-19
  • you must make best efforts to retain employees and pay them a minimum of 80% of their normal income for the subsidised period.


For definitions of these qualifications, see the information under the Definitions for Wage Subsidy qualifications’ heading on the linked page.

How much you can get?

The COVID-19 Wage Subsidy will be paid at a flat rate of:

  • $585.80 for people working 20 hours or more per week
  • $350.00 for people working less than 20 hours per week.

The subsidy is paid as a lump sum and covers 12 weeks per employee.

This subsidy is for wages only. It is to help you keep your staff employed while you consider changes that may be needed while the disruption continues, and to ensure the future viability of your business.

The maximum subsidy that can be paid to a business is $150,000. Businesses can only get this subsidy once.

For further information and details visit Work & Income website.

(We thank the NZRAH for this information)