Businesses are expected to be paid a wage subsidy of up to $1,500 per employee, under a Federal Government plan to keep thousands of Australians in work during the coronavirus crisis.
Under the plan, to be unveiled later today, big and small businesses would be given the fortnightly subsidy to help pay their workers' wages, while their revenue takes a hit.
It's understood the payments will be backdated, potentially helping the thousands of employees who have been stood down in the aviation, travel and retail sectors since the border closures and partial economic shutdown took effect.
Federal Treasurer Josh Frydenberg said the Government was determined to keep as many Australians in jobs during the health emergency as possible.
"The announcement today is all about providing additional income support and keeping employees connected to their employer, because once we get to the other side of this we want the recovery as speedy as possible," he told ABC News Breakfast.
"We want to work with you to keep your staff employed."
The Government has ruled out a UK-style subsidy — which involves paying up to 80 per cent of a person's wage — arguing it would be inequitable and difficult to administer within Australia's social security system.
Prime Minister Scott Morrison said yesterday the new scheme would form part of his Government's third economic assistance package which would be "bigger than anything you have so far seen".
Making a direct appeal to companies considering closing their doors, Mr Morrison urged them to hold off until the details have been announced.
"So I would say to employers, who I know are going through very difficult times, these changes will be announced soon," he said.
"I would ask that before you make any further decisions that you take the opportunity to see the further measures that the Government will be announcing, and we will be seeking to enlist you in that process."
In the past week, pubs, clubs, casinos, gyms, public pools, places of worship, beauticians and massage parlours have been forced to close, to stop the spread of the virus, putting up to a million Australians out of work.
