Question :
We have wage subsidy for a staff member who needed to take leave, so we gave him as much paid leave as he had. He has now run that leave out so is on leave without pay for a few weeks, and will then return to work. Can I use the wage subsidy for this staff member for other staff members, for whom we also have wage subsidy, so that we can increase their hours. Note we only have a few weeks left on this wage subsidy. 

Question submitted 10/06/20 @ 01:50pm
Industry: People & Culture
  • Up

    HI there -what I would say is this:
    – the Wage Subsidy is a payment to the Company to keep your Workers employed – it is not a payment to the employee.
    – If you are keeping your people employed through the use of the subsidy, then it is certainly open to you as an employer to utilise the subsidy payment you received, and for the business if you pay people more for their hours worked, then that should be fine, recognising that you can’t apply for more subsidy
    – What happens is that you get the ‘bulk’ payment from MSD for the number of FTEs – you then keep them employed and productive and connected to the business – that is what the subsidy is for

    Hope that helps. A

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