Covid-19 update from MBIE as of 15 March 2022

At the time of publication, the whole of New Zealand is at red under the traffic light system. To help guide businesses through the latest Covid-19 outbreak, the Government has published details of financial support schemes and provided clarity on isolation requirements

Workers will have to isolate if they exhibit symptoms of Covid-19, or are close contacts of confirmed cases. As this will impact businesses’ ability to carry out work and earn revenue, the government has made various Covid-19 financial support schemes available:

1) Short-term absence payment of $359 per eligible worker is available to employers to pay workers who stay home while waiting for a Covid-19 test result. It’s also available to eligible self-employed workers. This can only be accessed once per worker in any 30-day period, unless a health official or doctor tells the worker to get another test.

2) Leave support scheme of $600 per week for full-time workers and $359 per week for part-time workers is available to employers to pay employees who have been advised to self-isolate because of Covid-19 and can’t work from home. It’s also available to eligible self-employed workers.

3) Small business cash flow loan scheme (SBCS) can provide loans of up to $100,000 to small businesses (employing less than 50 full-time staff), including sole traders and the self-employed, impacted by Covid-19 to support their cash flow needs. Builders who have already used the SBCS and have fully repaid it can apply again. Applications are open until 31 December 2023. The SBCS can be applied for via myIR.

The financial support available to businesses is designed to help alleviate the shortfall in economic activity, but it’s also advised that everyone is double vaccinated and boosted, uses masks, scans in and practises physical distancing. Staying home if unwell is also recommended.

For more information on the three financial support packages, visit business.govt.nz/covid-19/financial-support-for-businesses .

Three phases to be aware of

Safety navigating staff returning to work will be a hurdle many builders will have to jump over at some point, especially as different isolation and testing requirements are dependent on which phase we’re in (phase three as of publication).

Phase One

• Anyone with symptoms must isolate and get a test.
• Confirmed Covid-19 cases must isolate for 14 days.
• Contacts of confirmed cases must isolate for 10 days, get tested on days five and eight. Symptomatic contacts must test immediately.

Phase Two

• Anyone with symptoms must isolate and get a test.
• Confirmed Covid-19 cases must isolate for 10 days, with self-release after day 10 if asymptomatic for 72 hours.
• Contacts of confirmed cases must isolate for seven days, with a test on day five.

Phase Three

• Anyone with symptoms must isolate and get a test.
• Confirmed Covid-19 cases must isolate for 10 days, with self-release after day 10 if asymptomatic for 72 hours.
• Household contacts of confirmed cases must isolate for 10 days, and test if symptomatic or on isolation day three and day 10.

Phase three business support

While work can continue under red, employers will likely experience staff shortages due to isolation and recovery.

New Zealand is currently in Phase 3 of its Omicron response. As a result, there are two new pathways to support business continuity.

• Close contact exemption scheme will allow workers at registered critical services, who are vaccinated and asymptomatic close contacts of a Covid-19 case, to continue working as long as they return a negative rapid antigen test before each day/shift they are at work during their isolation period.
• Bubble of one can be enacted by any business or sole trader where a worker who is a close contact of a positive Covid-19 case can return on-site if the worker is not customer facing, can maintain a ‘bubble of one’ at work (including travel to and from work), is vaccinated and asymptomatic. They are not required to take a rapid antigen test, and businesses do not need to register for a bubble of one.

The two pathways will help critical workers who are close contacts of a Covid-19 case return to work during their period of self-isolation. In some circumstances, construction businesses will qualify for these pathways.

Are you a critical worker?

Construction businesses can qualify for the scheme under certain circumstances.

• Any building, construction or maintenance services that are supporting or maintaining other critical services such as hospital repairs.
• Any building product supply or manufacturing work where the product is required for critical services.
• Any building, construction or maintenance services that are necessary for ensuring public safety or protecting people or property – such as essential repairs to a home.

Businesses need to register as a critical service. For more information, and further guidance on the close contact exemption scheme and bubble of one, go to business.govt.nz/covid-19/close-contact-exemption-scheme/