Those on JobKeeper will see a reduction in their payment from $1,500 to $1,200 a fortnight from September 28 to January 3, with a further reduction to $750 if they worked less than 20 hours a week.
In January 2021, the full JobKeeper payment will fall to $1,000 a fortnight until March 28. For people working less than 20 hours a week during the first three months of 2021, this payment will fall to $650.
For those on JobSeeker, the Coronavirus Supplement will be cut from $550 a fortnight to $250 after September, in an extension of the supplement that will run until December 31. Additionally, those on JobSeeker will now be able to earn up to $300 a fortnight compared with the present $106 before their income support is reduced.
From late September, these cuts mean that those unemployed and on JobSeeker will only have around $400 a week to live on. For many Victorians, this is simply not enough to cover rent, utilities, food, and other living expenses.
Additionally, the current ban on evictions is set to end on 31 December, around the same time the JobSeeker/JobKeeper payments will be cut.
With such a high number of Victorians being forced to relocate in the midst of this crisis, the need for an extension on the eviction ban will be absolutely crucial. Without an extension of this ban, many Victorians will be kicked out of their homes and left to face potential homelessness during this lockdown period, a truly terrifying thought.
While it may seem like there isn’t much you can do to improve your circumstances right now, applying for a rent reduction can make a big difference if you are out of work or struggling financially.
Our free online rent reduction support service is designed to help renters negotiate a rent reduction with their landlord. While every case is different, 75% of our clients have received a successful rent reduction (of up to 50% off).
In our experience, a formal letter from a legal service provider can help in getting a quick and successful outcome from your landlord. If in your case a formal letter does not result in an agreement, we can speak to your landlord directly on your behalf, or help you with your VCAT & CAV applications if you need to take things further.
To read about one of our successful client stories, click here.
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