Australian PM Scott Morrison might ditch JobKeeper plan sooner than expected

Amid the unprecedented coronavirus pandemic, the Australian government is reportedly considering switching up the JobKeeper payment plan. According to an international media report, Australian Prime Minister Scott Morrison is looking at options for the $1,500 a fortnight payment and whether it could be changed or ditched sooner than expected. 

Last month, Morrison had announced a $130 billion JobKeeper payment plan to provide wage subsidy to around six million workers amid the coronavirus pandemic. The Australian government, in a statement, said that the workers will receive a flat payment of $1,500 per fortnight through their employer. The plan was aimed at tackling the economic impact due to the deadly virus and help Australians keep the jobs. 

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‘Temporary lifeline’ 

However, as the Australian government recently unveiled its three-step plan to come out of the pandemic, the authorities are contemplating whether the payment is needed for several more months. While addressing the daily news conference, Morrison said that the JobKeeper program will be reviewed before the end of June. He also called the plan a ‘temporary lifeline’ which was put in place to help Australian through the ‘worst crisis’. 

He said, “The JobKeeper and the JobSeeker program, as you note, have a legislative life which was set out over a six-month time frame. There's a review built into JobKeeper to be done before the end of June. Treasury will be doing that, they've been doing a lot of work on that just over the last week or so”. 

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He added, "So, look, we'll take that one step at a time. But I need to stress again that that was a temporary lifeline put in place to help Australians through the worst of this crisis. It comes at a very significant cost, not just to current but to future generations as well. And it will be there to get us, to meet that objective, but it's not envisaged - never was - to be a longer-term arrangement”. 

Meanwhile, on May 8 Morrison revealed the three-step plan to ease down social distancing measures which are expected to end in July. Morrison highlighted that there were fewer than 20 infections each day adding the Australian states and territories had agreed on a road map to remove the curbs. He added that each step would likely be separation by four weeks. Furthermore, he said that states and territories would decide when to implement each step. 

(Image credit: AP) 

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