The government has basically confirmed that JobSeeker will stay at higher-than-usual levels into next year, as the economy remains crippled by the coronavirus pandemic.
Treasurer Josh Frydenberg told the ABC’s Insiders that the Coronavirus Supplement – which effectively doubled JobSeeker/Newstart/whateveryouwannacallit it to a living wage – won’t be scrapped anytime soon, as was previously planned.
However, the current $550 supplement will be cut to $250 in September. It’s this smaller sum which Frydenberg hinted the government is keen on extending into the future.
“We’re very favourably disposed to continuing it, but we’ve got to do an assessment of where the jobs market is at that time,” he said.
.@JoshFrydenberg: “It means we’re favourably disposed to continuing [an increased rate of JobSeeker], but we’ve got to do an assessment of where the jobs market is at that time. And obviously, it’s all about getting the balance right, David.” #Insiders #auspol pic.twitter.com/FmJ1JJnxUe
— Insiders ABC (@InsidersABC) July 25, 2020
“It’s all about getting the balance right so that there’re incentives for people to return to work, and at the same time providing a safety net to the blow of people losing their jobs,” he added.
Keep in mind, this is the guy who praised the notorious economic policies of Margaret Thatcher and Ronald Reagan in the same damn interview. This alone is enough to imply he’s more interested in that first part about pushing people back into work, rather than that second part about the safety net.
One of the causes for the extension is the fact that COVID-19 cases are up on the uptick in Victoria and NSW. This means more businesses will be forced to closed and fewer people will be employed.
So if you’re on JobSeeker (or if you reckon you might end up on JobSeeker before the year’s end), you can breathe a sigh of relief.
Just know the government will probably try and cut it as soon as things are back to normal.
