Calls for COVID cash to continue

SHADOW treasurer Jim Chalmers has criticised the Federal Government’s decision to end COVID-19 support payments when states and territories reach their vaccination targets.

Treasurer Josh Frydenberg announced last Wednesday the COVID-19 disaster payment will be phased out over two weeks after a state or territory has 80 per cent of its over 16 population fully vaccinated.

A flat payment of $450 available for those who lose more than eight hours of work, and those on income support receive $100 in the first week after the target is reached, and in the second week the payment will drop to $450 and end for people on income support.

After the second week, the disaster payment will end.

The Pandemic Leave Disaster Payment, for workers who must self-isolate or quarantine will remain until 30 June next year.

Mr Chalmers said the decision will “pull the rug out” from beneath small businesses in regional communities.

“Just because we hit a vaccination target doesn’t mean all of a sudden all the small businesses and workers in local communities are fine,” he said.

“We’ve said all along the economic support needs to match the economic conditions and we fear the government doesn’t understand that.”

According to the Federal Government, about two million Australians have been supported by over $9 billion in payments since it was announced in June.

Mr Chalmers said he has been in talks with Federal Member for Bendigo Lisa Chesters, about how local businesses are recovering from COVID-19 restrictions.

“Even if we hit these vaccination targets, some businesses will still be doing it tough,” Mr Chalmers said.

“Whether it be restrictions made necessary by the Federal Government’s failures or other reasons, it will take a while for businesses to get back on their feet.

“Nobody knows when the economy will be back up and running at full capacity again, so we need to maintain that flexibility.”