Bendigo JobKeeper: Businesses call for extension as economic cliff looms
About 6000 workers set to lose their income as the end date for JobKeeper looms and not all industries are bouncing back.
Bendigo
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Bendigo businesses and leaders are warning the region could be on the precipice of an economic cliff, with the JobKeeper payment about to expire.
The emergency employment assistant package gave businesses impacted by the pandemic money to cover lost revenues help pay workers.
Sharon Moore is one of 2000 business owners in the region who will lose their payments on March 28.
The Lockwood resident said her business, Petcarers Bendigo, was still dealing with the economic aftershocks of the pandemic.
Ms Moore said before covid hit most of her business was looking after pets while their owners were on overseas holidays.
But without international travel, and with people still not heading interstate, Ms Moore said demand had not recovered.
When the pandemic hit Ms Moore was able to access JobKeeper payments while her contracted carers were put on Jobseeker.
Ms Moore said she used her payments to keep her staff in work – even sending out highly qualified animal carers to hand out flyers.
But even so she was unable to keep all her contractors, cutting down from five to three full time workers and a part time contractor.
Ms Moore said she was not sure how many she could afford to keep once JobKeeper dropped as she was operating at 60 per cent of the pre-pandemic demand.
Ms Moore is worried not all of her carers will find work, as the animal management training industry didn’t directly translate to a job in hospitality.
She said once the industry bounced back, it may have lost those qualified and skilled workers.
“They’re doing this because they have a passion for animals,” she said.
“Without that expertise with the animals, thing might get missed.
“You do worry.”
Ms Moore said these concerns were not unique to her industry, with sectors from welding to weddings to be impacted by the JobKeeper suspension.
Bendigo federal Labor MP Lisa Chesters said she was very concerned for the estimated 6000 workers and 2000 Bendigo region businesses still on JobKeeper.
“People will be struggling to pay the bills,” Ms Chesters said.
Ms Chesters said while some industries were bouncing back, others including hospitality, accommodation, travel and events were still exposed.
“We are still in the pandemic,” Ms Chesters said.
“It’s one of those payments that should be in place for as long as it is needed.”
Ms Chesters said an extended program could be partially funded by recalling JobKeeper payments to large companies that recorded a profit during the pandemic, like Harvey Norman.
“If you over claim on Centrelink … and you earn more than you said you would you have to hand back that money,” she said.
She said like individuals, the profitable companies should be required to pay back their JobKeeper payments.
But Federal Treasurer Josh Frydenberg pledged the government would “continue to provide significant support to the community post JobKeeper”, mentioning new measures were being worked on in addition to previous efforts from the last budget.