$130 billion economic lifeline

The Federal Government’s third wave of fiscal stimulus announced today represents an extraordinary step to protect the jobs of Australians and the economy. The economic destruction being wrought on our businesses by COVID-19 is more severe than anything Australia has experienced since the Second World War.

It is critical that businesses facing months of hibernation receive the vital support they need to survive and recover. In these circumstances, wage subsidies help businesses keep their staff in employment until the virus is cleared. The Chamber of Commerce and Industry WA (CCIWA) welcomes the historic $130 billion package to shield Australian workers against job losses.

The package provides a fortnightly wage subsidy of $1,500 per worker to hard-hit local businesses. It will be paid for six months from the first week of May and equates to 70 per cent of the national median wage.

Businesses with a turnover of less than $1 billion per annum whose revenues have been reduced by more than 30 per cent by COVID-19 are eligible. Businesses with a turnover greater than $1 billion per annum with a revenue reduction of more than 50 per cent are also eligible. It applies to full time and part time employees, stood-down employees and casuals who have been employed for more than 12 months. It also applies to sole traders and not-for-profit organisations.

This powerful measure of support is comprehensive and well-targeted. It shows that the Government is carefully listening to business and scaling up the response in proportion to the magnitude of the challenge. CCIWA members and the business community face a profound loss of demand and income as a result of lockdowns and unprecedented global disruption. This package will help to shield Western Australian jobs and businesses against the worst impacts of this crisis.

Businesses will be able to apply for the subsidy online and can register at ato.gov.au.

For more: https://covid19.cciwa.com/

Chris Rodwell

CCIWA Chief Executive Officer

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