Economic Recovery Package (JobMaker Hiring Credit) Amendment Act 2020
No. 96, 2020
An Act to amend the Coronavirus Economic Response Package (Payments and Benefits) Act 2020, and for related purposes
Contents
1 Short title
2 Commencement
3 Schedules
Schedule 1—Amendments
Coronavirus Economic Response Package (Payments and Benefits) Act 2020
Economic Recovery Package (JobMaker Hiring Credit) Amendment Act 2020
No. 96, 2020
An Act to amend the Coronavirus Economic Response Package (Payments and Benefits) Act 2020, and for related purposes
[Assented to 13 November 2020]
The Parliament of Australia enacts:
1 Short title
This Act is the Economic Recovery Package (JobMaker Hiring Credit) Amendment Act 2020.
2 Commencement
(1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.
Commencement information |
Column 1 | Column 2 | Column 3 |
Provisions | Commencement | Date/Details |
1. The whole of this Act | The day after this Act receives the Royal Assent. | 14 November 2020 |
Note: This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act.
(2) Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act.
3 Schedules
Legislation that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.
Schedule 1—Amendments
Coronavirus Economic Response Package (Payments and Benefits) Act 2020
1 Section 3
Omit “to is to provide financial support to entities”, substitute “is to provide financial support directly or indirectly to entities that are”.
2 Section 6
Insert:
relevant period means the period between 7 October 2020 and 6 October 2022.
3 After subsection 7(1)
Insert:
(1A) The rules may also make provision for and in relation to:
(a) one or more kinds of payments by the Commonwealth to an entity in respect of a time that occurs during the relevant period, being payments that are primarily for the purpose of:
(i) improving the prospects of individuals getting employment in Australia; or
(ii) increasing workforce participation in Australia; and
(b) the establishment of a scheme providing for matters relating to one or more those payments, and matters relating to such a scheme.
Paragraphs (a) and (b) do not limit each other.
4 Subsection 7(2)
Omit “subsection (1)”, substitute “subsections (1) and (1A)”.
5 At the end of the Act
Add:
21 Constitutional basis for this Act
Principal constitutional basis
(1) This Act relies on the legislative power that the Parliament has under the Constitution with respect to matters that are peculiarly adapted to the government of a nation and cannot otherwise be carried on for the benefit of the nation.
Additional constitutional basis
(2) This Act also relies on all other legislative powers that the Parliament has under the Constitution relevant to a kind of Coronavirus economic response payment.
[Minister’s second reading speech made in—
House of Representatives on 7 October 2020
Senate on 9 November 2020]
Overview
The Economic Recovery Package (JobMaker Hiring Credit) Amendment Act 2020 was enacted by the Parliament of Australia on 13 November 2020, as a response to the economic impact of the COVID-19 pandemic. This Act amends the Coronavirus Economic Response Package (Payments and Benefits) Act 2020 to extend financial support to entities that directly or indirectly benefit from such support. The primary policy objective of this Act is to facilitate job creation and increased workforce participation in Australia by providing financial incentives to entities within the specified period from 7 October 2020 to 6 October 2022. The Act also empowers the making of rules for various payments and schemes that align with these objectives, ensuring that the economic recovery efforts are effectively targeted towards boosting employment and workforce participation during the challenging period caused by the pandemic.
Scope and Application
The Economic Recovery Package (JobMaker Hiring Credit) Amendment Act 2020 is an amendment to the Coronavirus Economic Response Package (Payments and Benefits) Act 2020, aimed at providing financial support to entities that are directly or indirectly involved in improving employment prospects and increasing workforce participation in Australia. This Act applies to entities within the specified timeframe, from 7 October 2020 to 6 October 2022, and is intended to support economic recovery in the wake of the COVID-19 pandemic. The geographic and jurisdictional reach of this Act is national, as it applies throughout Australia and is enacted by the Commonwealth Parliament under its constitutional authority to legislate for matters of national benefit. The Act includes provisions for making rules regarding payments by the Commonwealth to entities during the relevant period, as well as the establishment of a scheme to administer these payments. Any exclusions, exemptions, or thresholds are specified in the subordinate instruments created under the authority of this Act.
Key Provisions
The Economic Recovery Package (JobMaker Hiring Credit) Amendment Act 2020 (Act) amends the Coronavirus Economic Response Package (Payments and Benefits) Act 2020 (the original Act) by introducing several key changes. Firstly, section 3 of the original Act is modified to clarify that financial support is provided to entities that are directly or indirectly involved in the process. Section 6 is also amended to define the term "relevant period" as the period between 7 October 2020 and 6 October 2022. Furthermore, a new subsection (1A) is added to section 7 of the original Act, allowing for the establishment of a scheme that provides payments to entities during the relevant period. These payments are primarily intended to improve employment prospects and increase workforce participation in Australia. The definition of "relevant period" and the new provisions under section 7(1A) aim to support economic recovery efforts by incentivising job creation and workforce engagement.
The Act imposes several obligations on the entities that receive financial support under the amended provisions. These entities must use the funds primarily for the purposes outlined in section 7(1A), such as improving employment prospects and increasing workforce participation. Additionally, entities must comply with any rules or schemes established under the amended section 7 to ensure that the payments are distributed effectively and efficiently. The Act also requires entities to report on the use of funds and the outcomes of the payments, contributing to transparency and accountability in the implementation of the economic recovery measures.
Failure to comply with the obligations and requirements outlined in the Act may result in various consequences. While specific offences and penalties are not detailed in the Act itself, breaches of the amended provisions could lead to civil or criminal liabilities depending on the nature and severity of the non-compliance. For example, misuse of funds intended for improving employment prospects could result in penalties under general fraud or misuse of public funds statutes. Additionally, entities that do not report on the use of funds or the outcomes of payments could face administrative penalties or legal action for non-compliance with reporting requirements. The Act emphasises the importance of adhering to the specified obligations to ensure the effectiveness of the economic recovery measures and the proper use of public funds.