JobKeeper is a wage subsidy to help businesses to retain employees during the COVID-19 period. Eligibility criteria apply for both the business and employees for whom the payment is claimed. In May 2020, employees whose wage was supported by the JobKeeper payment were required to be paid wages of at least $1,500 per fortnight (or $750 per week). This included employees who were stood down and did not work any hours.

Employees whose earnings were supported by JobKeeper payments and who would normally receive more than $750 per week may have received a reduction to $750 per week. However, as the $750 per week payment was the minimum payable wage for an employee supported by JobKeeper, some lower paid employees (particularly part-time and junior employees) received an effective increase in their wages. The impact of JobKeeper on average earnings therefore varied across industries based on a range of factors including the numbers of employees supported by it, whether wages were "topped up" above the minimum $750 per week amount, and how the JobKeeper-supported wage compared to previous earnings.

As outlined in the Spotlight Average Weekly Earnings survey methods during COVID-19, adult employees who had a reduction from full-time hours and an accompanying change in earnings in the May 2020 reference week (compared to the pre-COVID-19 period) were not categorised as full-time in May 2020 estimates. This includes employees who were stood down and receiving only the JobKeeper payment as wages.

Given the May 2020 AWE data reflects a combination of earnings that were not supported by JobKeeper, that were partially supported by JobKeeper and that were entirely supported by JobKeeper, it is not possible to estimate the direct impact of JobKeeper on average earnings, or to differentiate it from other compositional changes discussed earlier.