The outgoing Cabinet of the Dutch government has increased the maximally possible percentage of financial compensation of an organization’s wage bill from 80% to 85% in an attempt to provide additional financial support to organizations which see their revenue decline as a result of the coronavirus protocols. Moreover, the Cabinet announced they have revoked the reduction of the NOW subsidy which was planned for the second quarter of 2021.
What exactly are the changes made to the NOW scheme?
- the maximally possible percentage of financial compensation of your wage bill is 85% in both the first and second quarter of 2021;
- the percentage by which your wage bill can be reduced without affecting the amount of subsidy remains 10%;
- the rule that the decline in revenue must be at least 20% will also apply to the second quarter. It will not go up to 30%, as was originally planned;
- the maximum wages payable per employee remain twice the daily wages;
- as of February 15, you can apply for NOW subsidy for January, February and March. Because of the increase in the maximally possible percentage of financial compensation of an organization’s wage bill, it may take a bit longer before the advance payment of the subsidy is made.