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Employment Guaranteed Phase II | 20,000 employer applications have been approved; 23% of the first phase violations require subsidies and fines

2020-09-17T03:04:57.055Z


The government launched the second phase of the "Ensure Employment" program earlier, and received 185,000 applications. A government spokesman said today (17) that the first batch of 20,000 employers who successfully applied for the second phase of wage subsidy had been notified yesterday (16th). Almost all of them were approved in the first phase, but 23% of them were employers. Violations include failing to use all the subsidies to pay employees' wages. The government will retrieve the subsidy amount not used to pay wages, or require the employer to pay a fine. The relevant amount will be directly deducted when the second subsidy is issued.


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Written by: Huang Yongyu

2020-09-17 10:54

Last update date: 2020-09-17 10:55

The government launched the second phase of the "Ensure Employment" program earlier, and received 185,000 applications.

A government spokesman said today (17) that the first batch of 20,000 employers who successfully applied for the second phase of wage subsidy had been notified yesterday (16th). Almost all of them were approved in the first phase, but 23% of them were employers. Violations include failing to use all the subsidies to pay employees' wages. The government will retrieve the subsidy amount not used to pay wages, or require the employer to pay a fine. The relevant amount will be directly deducted when the second subsidy is issued.

The first batch of employers who applied for the second wage subsidy involved 7.2 billion yuan in wage subsidies and promised nearly 290,000 salaried employees.

The spokesperson said: "If the applicant has no objection to the result, please confirm the acceptance of the application result through the inquiry webpage within two days after the notification is issued, so that the secretariat can arrange the payment of wage subsidies as soon as possible."



In addition, the first batch of subsidized employers almost All subsidies were approved in the first phase, 77% of which did not violate the two commitments of the first phase of the "Ensure Employment" program, so there is no need to pay fines to the government or recover subsidies.

However, if a total of 23% of the subsidies were not used to pay employees' wages in June or July, or the number of paid employees was less than the total number of employees in March this year, the government will take back the unused wages Or require the employer to pay a fine, and the relevant amount will be directly deducted when the second subsidy is issued.

The government stated that 97% of the first batch of employers who needed to deduct subsidies accounted for less than 5% of the subsidies they received in June or July.

A government spokesman said today (17) that the first batch of 20,000 employers who successfully applied for the second wage subsidy had been notified yesterday (16).

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The spokesperson reminded that if employers have any questions about the results of the application, they must request to review the results of the application through the above enquiry page within 7 days of the notification.

Once a request for review of the application result is made, the salary subsidy will be suspended until the review is completed.

If the applicant does not submit a request to review the application result on time, the application result will become the final result, and the Secretariat will not accept any late request for reviewing the application result.



In addition, with regard to the mandatory contributions for the last month of the first subsidy period, that is, August this year, according to the MPFA’s requirements, employers must make contributions for their employees on or before September 10.

However, considering the impact of the new crown pneumonia epidemic, the government will accept MPF trustees to use the employer's August MPF contributions paid on or before September 30 or relevant information submitted as MPF records Certificate records to check whether there are layoffs.

▼Reopening of premises and relaxation measures starting on September 18▼

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As the MPF trustee needs time to process the relevant information, the employer must contact the MPF trustee to ensure that the MPF trustee can complete the processing of the employer’s MPF contributions and other matters before September 30 Relevant information so that it can be reflected in the August certificate.

If the employer fails to make mandatory contributions or submit relevant information to the MPF trustee in time, the relevant employee will not be included in the total number of salaried employees and "relevant income"/relevant wages shown in the August certificate.

If the certificate shows that the employer’s "relevant income"/relevant wages in any month during the subsidy period are less than the subsidy amount for the current month, or the total number of paid employees is less than the "promising number of salaried employees", the employer will have to report to the government Refund the amount of subsidies not used to pay wages or pay fines.



As for the second subsidy period, that is, mandatory contributions from September to November, the MPFA requires employers to make contributions to employees on or before October 12, November 10, and December 10, respectively.

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Source: hk1

All news articles on 2020-09-17

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