The Wage Subsidy Scheme is a key disability employment support. It aims to encourage employers to offer substantial and sustainable employment to disabled people through a subsidy.
Last year, my Department published a review of the Wage Subsidy Scheme. In April 2024, based on the findings of that review, the minimum required hours for the scheme was reduced from 21 hours per week to 15 hours per week.
This change sought to make the scheme more accessible and flexible to disabled people. However, it also sought to ensure that the Wage Subsidy Scheme maintains its key aim to encourage employers to provide substantial and meaningful work to disabled people.
In August 2025, the percentage of employees working the maximum hours of 39 was 36% while those working the minimum hours of 15 accounted for 6%. The average hours worked by employees on the Wage Subsidy Scheme is 29.4 hours.
The scheme needs to operate with the new 15-hour minimum requirement for a period before my Department can assess the impact this change has had on the scheme. This reduced requirement has been in place for slightly more than a year. Once a sufficient period of time has passed, I have asked my officials to conduct an analysis on the recent reduction in hours in a timely manner. This analysis will inform any further reduction in the minimum hours.
I trust that this clarifies the issue for the Deputy.