State Budget: Employers to receive grants for creating new jobs

Jul 11, 2016

The highlight of the recent SA State Budget was the creation of the Job Accelerator Grant Scheme. The scheme offers up to up to $4,000 per new full time employee for businesses who are under the payroll tax threshold ($600,000 p.a. in SA wages) or up to $10,000 per new full time employee for businesses who pay payroll tax (SA wages over $600,000 p.a.) and have total Australian wages under $5,000,000.

The first half of the grant will be paid at the first anniversary date of employment with the balance at the second anniversary.

The conditions for obtaining the grant are different depending on whether you are eligible for the smaller or larger grant:

Employers paying under $600,000 p.a. in SA wages

Employers may be eligible for a $4,000 grant for each additional position created between 1/7/16 and 30/6/18 for a person who works more than 22 hours per week. An additional position is created if the total number of employees working 22 hours or more per week for your business increases and that level is maintained for 12 to 24 months. If the number of employees drops below that level for more than 60 days in a 12 month period, the grant will not be given.

Employers paying over $600,000 p.a. in SA wages

Employers may be eligible for a $10,000 grant for each Full Time Equivalent (FTE) position created between 1/7/16 and 30/6/18. An additional position is created if due to the creation of a new position, the total of the number of full time employees plus the total hours worked by casual and part time employees during the past week divided by 35 increases and that level is maintained for 12 to 24 months.

Employees that are specifically excluded

  • the person engaged is not considered a common law employee (eg Contractors)
  • the person was employed by the employer claiming the grant in the previous 12 months (including other group members where the business forms part of a group for payroll tax purposes);
  • the job that has been registered as a new job existing in your business in the previous 60 days; or
  • the organisation is exempt from payroll tax (e.g. charitable organisation) and the new job(s) is being funded from additional grant revenue provided by the State Government

  • Registration

    Employers must register within 90 days of the new position being created or no grant will be paid.

    More Information

    For more information contact us or read in greater detail about the Job Accelerator Grant Scheme here