Andrews Labor Government gets Victoria back to work

12 February 2015

The Andrews Labor Government today took action to address Victoria’s jobs crisis, with the Back to Work Bill a step closer to becoming law.

The Bill creates the Back to Work Scheme, which will provide up to $100 million in relief to businesses hiring unemployed youth, the long-term unemployed and retrenched workers.

With the previous Liberal Government leaving behind an unemployment rate of 6.8 per cent – the highest in more than a decade – the initiative will help create at least 100,000 jobs.

Companies that hire eligible workers will receive fixed payments to offset the costs associated with hiring extra employees. These include state taxes, training, transport and tools.

All Victorian businesses will be eligible to participate in the scheme, except those with a poor workplace safety record. The scheme will apply to a broad range of eligible employees and it will not discriminate.

An eligible employer will qualify for the scheme after they employ an eligible person for three months. The employer cannot qualify again by terminating that employee and immediately rehiring them.

The State Revenue Office and the Department of Treasury and Finance will closely monitor take up rates and industry behaviour to make sure this doesn't happen.

Quotes attributable to Premier Daniel Andrews

“The Labor Government will get our state back to work, because every job is worth fighting for.”

“This plan is a path for young people who are out of work and a lifeline for loyal employees who’ve lost their job.”

Quotes attributable to Tim Pallas, Treasurer of Victoria

“The Liberals left Victoria with the highest unemployment rate since Ansett collapsed in 2001. In government they wouldn’t acknowledge the problem and in Opposition they have tried to stop the solution.”

“Unlike a payroll tax cut, the scheme will benefit all Victorian employers, including small businesses.“

Key facts Payment amounts will be fixed in dollar terms, rather than requiring proof of costs incurred. Employers may apply for payments after the eligible employee has passed a three-month probation.

The scheme will come into effect in April 2015, and the first payments will be available from July 2015.

The State Revenue Office will be responsible for administering the scheme.

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Reviewed 19 August 2020

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