Following the government’s “Job” policy series of JobSeeker and JobKeeper, you may have heard about the JobMaker Hiring Credit scheme that has been re‐introduced and updated for 2025. The JobMaker Hiring Credit scheme is a programme designed to help employers create new jobs for young people.

While the programme is aimed at benefiting young people, there have been concerns in the community about older workers being disadvantaged.

If you run a business and are thinking of accessing the scheme, you might have some questions about discrimination laws – for example, whether it is legal to advertise for roles targeting staff in a certain age bracket without breaching fairness requirements.

What Is The JobMaker Hiring Credit?

The JobMaker Hiring Credit is a government initiative that was initially launched in 2020 and has since been updated to meet the evolving challenges of the modern job market. In its current form for 2025, the programme continues to encourage businesses to hire young people, particularly those who have experienced economic disadvantage over recent years.

For each employee hired under this scheme, eligible businesses can receive:

  • $250 per week for each new employee aged 16 to 29, and
  • $150 per week for each new employee aged 30 to 35.

The aim of this scheme is to create new employment opportunities for young people. To qualify, candidates must typically be recipients of Youth Allowance, JobSeeker, or Parenting Payments at the time of hiring.

The JobMaker Hiring Credit is not designed to replace existing workers but rather to encourage the creation of new jobs. To be eligible, the new position must commence after the scheme’s effective date outline in the current legislation.

Understandably, many businesses have begun tailoring their recruitment efforts to meet the JobMaker criteria. However, there remains some uncertainty about how these targeted recruitment practices align with the requirements of anti‐discrimination laws.

At Sprintlaw, we regularly receive queries about whether it is lawful to focus recruitment on specific age groups, as well as broader questions regarding age discrimination. In this article, we explore these issues with particular reference to the updated JobMaker scheme.

What Is Discrimination?

To begin with, various Australian laws prohibit discrimination in the workplace. These laws require that employers do not discriminate on the basis of age, gender, race, disability, and other attributes.

It is unlawful for employers to make hiring, promotion, or other employment decisions based solely on a person’s age. Age-related discrimination can affect various aspects of employment, including:

  • Decisions about hiring
  • Terms and conditions of employment
  • Promotion opportunities
  • Employee benefits
  • Termination practices
  • Workplace bullying and harassment

How Do Discrimination Laws Work With The JobMaker Hiring Credit?

Since it is unlawful to discriminate on the basis of age, there are significant implications for hiring decisions made under the JobMaker Hiring Credit scheme.

Ordinarily, it would be unlawful for a business to refuse to hire candidates solely on the basis of age, as this would contravene the Age Discrimination Act 2004.

However, the Age Discrimination Act does allow certain exceptions, including what is known as ‘positive discrimination’.

An action qualifies as ‘positive discrimination’ if it meets one of the following criteria:

  • It provides a real benefit to people of a particular age;
  • It is intended to meet a need arising from disadvantages experienced by that age group;
  • It helps to reduce a disadvantage affecting individuals of a certain age.

This approach – sometimes referred to as ‘affirmative action’ – involves taking proactive steps to enhance employment opportunities for groups who have been traditionally underrepresented.

Examples of positive discrimination include offering discounts to seniors or providing additional support to older workers during organisational restructuring. In the context of JobMaker, given that economic challenges over recent years have disproportionately impacted young jobseekers, prioritising this cohort can be viewed as a form of positive discrimination.

Another exception within the Age Discrimination Act pertains to government-run employment programmes. These schemes are exempt from certain discrimination restrictions in order to meet broader social policy objectives. In response to a recent Senate inquiry, a Treasury official clarified that employers may focus their recruitment on candidates who meet the criteria of such exempted programmes.

Can Employers Directly Advertise For Workers Of A Certain Age?

Recent clarifications from Treasury to the Senate Committee offer guidance on how discrimination laws apply to recruitment advertising under the scheme.

If you’re uncertain about the best way to advertise a role, aim for a generic approach that emphasises the employment programme rather than specifying an age bracket. For more detailed guidance, check out our article on employment restrictions and explore our employment law services.

That said, because the JobMaker scheme continues to generate significant public and political attention, it’s crucial to ensure that your recruitment methods are fully compliant with the latest discrimination laws. Every business is unique, so if you have any doubts, consult an employment lawyer.

Can A Business Dismiss Older Workers To Hire Younger Workers Through The Scheme?

As of 2025, the government has not altered the fundamental protections for existing employees. A business cannot dismiss or reduce the hours of current staff in order to take advantage of the JobMaker Hiring Credit scheme.

Under the current provisions, the scheme explicitly requires an increase in the overall headcount; this means that substituting or replacing current roles is not permitted.

Moreover, the robust safeguards contained in the Fair Work Act continue to protect employees from unfair dismissal. There is ongoing debate in parliament regarding whether additional explicit protections for older workers should be incorporated in future amendments, so it is important to stay updated.

How Do I Calculate Headcount?

For existing businesses, the employee headcount as at 30 September 2023 now serves as the baseline. This means that even if you already have staff within the eligible age range, only new hires added after this date will qualify under the JobMaker scheme.

For new businesses established after 30 September 2023, your first employee will not be eligible for the scheme; however, any subsequent eligible hires may qualify.

If you’re reviewing your business structure in light of these changes, consider exploring our Business Set-Up Guides to ensure you meet all legal and compliance requirements in 2025.

I Want To Get The JobMaker Hiring Credit: What’s Next?

The updated legislation continues to be refined, and the government is currently accepting submissions on the draft rules until 27 July 2025. For now, we know that payments under the scheme will be processed via the ATO system, similar to previous wage subsidy initiatives.

Recent government announcements indicate that payments should commence from 1 March 2025. As detailed regulations are finalised, we recommend keeping an eye on updates via our blog and e‑newsletter. You can also follow us on LinkedIn for the latest industry news.

It’s important to remember that the JobMaker Hiring Credit scheme is just one part of a broader government effort to stimulate job creation and address workforce challenges. If you’re considering employing staff under this programme, take the time to review your recruitment policies to ensure they comply with both current discrimination laws and the specific guidelines of the scheme. Our team at Sprintlaw is here to help you interpret these regulations and adjust your hiring practices accordingly – see our Employment Contract services for further assistance.

The Takeaway

While the JobMaker Hiring Credit scheme offers attractive incentives for businesses, it is vital to ensure that your recruitment practices fully comply with anti‑discrimination laws. Adopting a careful, legally informed approach will help you maximise the benefits of the scheme without compromising fairness or legal compliance.

For further insights into managing discrimination risks and ensuring your business complies with the latest employment regulations in 2025, check out our detailed guides on Online Business Privacy and Contracts. In the meantime, if you need expert advice on structuring your recruitment process or managing your business legals in this dynamic environment, don’t hesitate to get in touch. Our dedicated team of employment lawyers are available to assist. Contact us on 1800 730 617 or email team@sprintlaw.com.au for a free consultation.

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