Overview of the Government Wage Assistance Scheme (GWAS) Extension for August 2020
The Mauritius Revenue Authority (MRA) has announced the extension of the Government Wage Assistance Scheme (GWAS) for the month of August 2020. This initiative aims to provide financial support to employees in the tourism sector who have been affected by the economic disruptions caused by the COVID-19 pandemic. The scheme is designed to assist eligible employers in paying their employees' basic salaries, thereby alleviating some of the financial burdens faced by businesses and workers during this challenging period.
Objectives and Scope of the Scheme
The primary objective of GWAS is to sustain employment within the tourism industry by offering direct financial aid to employers. This support helps ensure that employees receive their basic salaries despite reduced business activity or revenue declines. The scheme is applicable to a broad range of tourism-related businesses that hold the necessary licences or permits issued by relevant authorities. It covers both Mauritian and expatriate employees working in Mauritius, excluding certain public entities such as government ministries, departments, local authorities, statutory bodies, and government-owned companies.
Eligible Activities and Businesses
Businesses qualifying for GWAS must operate within the tourism sector and possess valid licences or permits. These include:
- Hotels, guest houses, tourist residences, and domains
- Tourist enterprises and attractions
- Pleasure craft engaged in commercial nautical activities
- Travel agencies, tour operators, tourist guides, and canvassers
- National airline companies including Air Mauritius Ltd and Airmate Ltd
- Businesses deriving at least 50% of their income from goods or services sold to tourism-related clients
- Restaurants, pubs, and tables d’hôtes holding a tourist enterprise licence
- Contract car and bus operators, event management companies
- Public attractions, amusement parks, natural sites, and museums
Note that self-employed individuals engaged in activities falling under the income criterion are also eligible for GWAS. However, certain categories such as restaurants and amusement parks are only eligible if their turnover has decreased by more than 50% in August 2020 compared to August 2019. This condition does not apply to enterprises established on or after 1 July 2019.
Financial Assistance Details
The scheme provides different levels of support based on the employee's basic salary in August 2020:
| Basic Salary (Rs) | Assistance per Employee (Rs) |
|---|---|
| From 9,700 to 25,000 | One month wage |
| From 25,000 to 50,000 | Fixed amount of 25,000 Rs |
| Above 50,000 | Nil |
Employers are advised to base their claims on the employees’ basic salaries as declared in their monthly National Pension Scheme (NPS) contribution returns. The MRA will verify the accuracy of the claims through internal checks before disbursing the aid. The approved amount will be credited directly to the employer’s bank account used for NPS contributions.
Application Procedure and Additional Information
Employers seeking support under GWAS must submit their applications online via the official MRA website (www.mra.mu). It is recommended to prepare all necessary documentation, including proof of the business licence/permit, employee salary details, and bank account information for smooth processing.
For further assistance or inquiries, applicants can contact the MRA helpdesk during office hours at +230 207 6000.
Implications for Employers and Employees
This extension of GWAS for August 2020 underscores the government’s commitment to supporting the tourism sector amidst ongoing economic challenges. Employers benefit from financial aid that helps maintain employment levels and ensure salary payments, thereby providing stability to employees during uncertain times. Employees, in turn, are assured of continued income support, which is vital for their financial well-being.
It is essential for eligible businesses to adhere strictly to the guidelines and submit accurate applications to benefit from this scheme. The MRA continues to promote the use of digital services to facilitate efficient and transparent processing of all claims related to GWAS and other fiscal measures.
