21 September 2020

New numbers reveal that tens of thousands of workers in regional Victorian electorates could be worse off and millions ripped out of local economies every fortnight if the Morrison Government goes ahead with its cuts to JobKeeper at the end of September.

With nearly one million Australians unemployed and unemployment expected to increase, it makes no sense for the Morrison Government to be withdrawing support without a comprehensive jobs plan to replace it.

Federal Labor Senator Raff Ciccone has warned that Morrison’s planned JobKeeper cuts on 28 September will make the recession worse.

“Scott Morrison should reconsider his cuts to JobKeeper which are coming at the worst possible time for many workers, businesses and communities who are relying on it,” Senator Ciccone said

From Monday 28 September, cuts and changes to the JobKeeper scheme will see local businesses and workers lose access completely, while others will have their payments slashed by between $300 and $750 per fortnight.

In Gippsland, 15,109 workers could be worse off and $13,462,163 ripped from the local economy each and every fortnight. 18,084 workers in Monash could be worse off, while the local economy will suffer from $16,112,888 removed every two weeks.

In Wannon, 16,498 workers could be worse off and $14,699,588 ripped from the local economy each and every fortnight. 17,167 workers in Mallee could be worse off, while the local economy will suffer from $15,295,275 removed every two weeks.

In Indi, 20,688 workers could be worse off and $18,433,313 ripped from the local economy each and every fortnight. 18,899 workers in Nicholls could be worse off, while the local economy will suffer from $16,839,488 removed every two weeks.

The premature withdrawal of JobKeeper support follows the Morrison Liberal National Government’s decision to exclude millions of workers from the program, including over a million casual workers. 

In recent days, concerns around compliance with JobKeeper’s rules by some businesses have surfaced, with 8,000 tip-offs reported to the Australian Tax Office – many concerning deliberate underpayments of the wage subsidies.

“JobKeeper’s potential to do so much good and help protect Australians in the depths of this recession is being cruelled by the Prime Minister’s botched implantation, poor compliance enforcement, and premature cuts,” said Labor’s Senator Ciccone.

“The recession will be deeper and the unemployment queues will be longer because Scott Morrison is pulling support from the economy too soon and because he doesn’t have a plan for jobs.

“Our community needs and deserves a comprehensive jobs plan to set us up for the recovery and the future.”