Wage subsidies

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What are Wage Subsidies?

A wage subsidy is an employer incentive of up to $10,000 (GST inclusive) to encourage businesses to hire, train, and retain eligible job seekers.

The payments seek to assist employers to expand their businesses and provide eligible job seekers with a job.

Employers can access a wage subsidy if they:

  • have an Australian Business number
  • have not previously received a wage subsidy for the same job seeker
  • are not an Australian, state or territory government agency
  • offer a job that is expected to be ongoing and for an average of 20 hours per week, over the six months of the agreement
  • offer a job that complies with employment standards for the position (for example, is suitable work and pays the national award wage as a minimum).

Apprenticeships and traineeships are also eligible for a wage subsidy.

Employers who decide to hire a job seeker after his or her National Work Experience Programme ends, may also be eligible for a wage subsidy.

Some jobs are not eligible for a wage subsidy, including commission based, subcontracting or self-employment positions, as well as work for an immediate family member.

For the employer to receive a wage subsidy, the job seeker must be registered with an employment services provider (ie jobactive, Transition to Work, Disability Employment Services and Community Development Programme providers), for six months or more. Other eligibility requirements also apply based on the job seeker’s circumstances. Talk to your local provider to find out more.

If you would like more information about the ways you can manage your wage subsidy agreement please see the Managing Wage Subsidies document found here:

For a printable version of this information see here:

More Information

If you have any questions or would like to apply for a wage subsidy, contact a local employment services provider.

You can find your local provider by calling the Employer Hotline on 13 17 15 or through the provider search on the jobactive website.

Note that call charges apply for calls to ‘13’ numbers from mobile phones.