Tuesday 14 July 2020

Patience with Australian Prime Minister Morrison and Treasurer Frydenberg’s ducking and weaving on JobKeeper support beyond September is "wearing mighty thin"


The Monthly, 8 July 2020:

Amid mounting criticism on social media that he’d again gone AWOL during a crisis, Prime Minister Scott Morrison showed his face this afternoon at a well-timed Canberra press conference, in which he killed two birds with one stone. 

As Morrison expressed his manifest sympathy for Victorians returning to lockdown, he also knocked out the broadcast of an unwelcome National Press Club speech by ABC managing director David Anderson. The PM had little to announce – an extra 6105 home-care packages for the elderly at a cost of $326 million – but he was flanked by Aged Care Minister Richard Colbeck, who mouthed all of 180 words (including “Thanks, PM”) and received no questions. The press gallery was mostly interested in the implications of Victoria’s second wave for the federal government’s recovery plans. Morrison suggested there would not be an extension of the JobKeeper program on a geographic basis – just for Victorians, say – making the point that the government would extend support for businesses or industries in need beyond September, and saying, “this is about tailoring a national program to provide support where the support is needed”. The PM also refused to be drawn on reports [$] that the personal income tax cuts slated for 2022–23 might be brought forward to stimulate the economy, saying, “That’s a matter that the treasurer and I will address in the context of the budget, not today”..... 

Millions of Australians are doing it tough. Some are surviving without any income at all, while 2.4 million people have raided [$] their super early, in withdrawals totalling $27 billion. And, with the federal budget heading for a deficit next financial year (which Westpac estimates at $240 billion), it is hard to see how the top economic priority right now is bringing forward income tax cuts that will favour the wealthy. Victoria’s return to lockdown highlights the uncertainty of the situation confronting the federal government as it prepares the July 23 economic statement. But as shadow treasurer Jim Chalmers said at a doorstop interview today, “If the banks can provide some certainty with this announcement, the Morrison Government can too – by releasing their secret report into the JobKeeper payments … We need the government to come clean.” Chalmers expressed support for the idea of bringing income tax cuts forward, saying that the Opposition would “engage with that constructively and responsibly”, adding, “Labor has been calling for that to be considered for some time. The working families of middle Australia need help now, not later.” 

It would be an understatement to say that patience with the PM and treasurer’s ducking and weaving on support beyond September is wearing mighty thin.


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