JobKeeper cuts set to hurt McEwen

Member for McEwen Rob Mitchell.

NEW data reveals about 19,000 workers in McEwen could be worse off and almost $17 million will be taken out of the electorate’s economy each fortnight if the Federal Government proceeds with its cuts to JobKeeper at the end this month.

Member for McEwen Rob Mitchell said with nearly one million Australians unemployed and unemployment expected to increase, it made no sense for the government to withdraw support without a comprehensive jobs plan to replace it.

Mr Mitchell said an estimated 5000 businesses in McEwen would be impacted by the cuts, planned to start on September 28.

JobKeeper will introduce a two-tiered system, with full-time workers to receive $1200 and part-time employees $750 a fortnight. It was previously $1500 a fortnight for all workers whose employers were eligible.

He warned the cuts would 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,” Mr Mitchell said.

“From next Monday, 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,” he said.

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

“In recent days, concerns around compliance with JobKeeper’s rules by some businesses have surfaced, with 8000 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 Scott Morrison’s botched implantation, poor compliance enforcement, and premature cuts.

“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.”