NT hospo and tourism businesses in jeopardy if JobKeeper pulled too early industry bodies say

MANY more hospitality and tourism businesses in the NT will ‘cease to exist’ if JobKeeper isn’t extended past late September, industry bodies have warned

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MANY more hospitality and tourism businesses in the NT will “cease to exist” if the Federal Government doesn’t extend its $70 billion JobKeeper program past late September, industry bodies have warned.

And mass job losses could lead to the exodus of a large number of families, and their skill sets, from the NT, slowing down economic recovery.

It comes as the NT News yesterday revealed 18,303 Territory workers spread across 4777 businesses were at risk of losing their jobs if JobKeeper ended too early.

This equates to 1 in every 10 employed Territorians, adding to the NT’s already dire 7.9 per cent unemployment rate.

Prime Minister Scott Morrison, following a blast from Federal Labor, maintained JobKeeper would be extended but has declined to say how until later this month.

“The details of our decisions will be set out at the time of releasing the economic statement (on July 23), as I have been saying for some weeks and there is no change to that timetable,” he said.

“Regrettably … the Labor Party has engaged in fear mongering during a pandemic. I think this is disgraceful.”

Hospitality NT chief executive Alex Bruce said the peak body had been calling on JobKeeper to be extended to December 21 for tourism and impacted hospitality businesses since early June and it was clear with the situation in Victoria that support was needed.

“Locally if JobKeeper isn’t extended many more tourism and hospitality businesses will cease to exists and so will the jobs they provide,” he said.

Croc Cove General Manager Penny Eckel (L) , with recipient of job keeper Animal Manager Charlotte Price. Picture GLENN CAMPBELL

But Penny Eckel, of Darwin’s Crocosaurus Cove, home of the world’s largest display of Australian reptiles, said she hoped JobKeeper could be extended to the end of April or May 2021 to assist NT businesses that would otherwise suffer through the low season.

“For us (losing JobKeeper) would certainly mean that we would have to sit down and have a good look at how we proceed into dry season next year,” she said.

So far Crocosaurus Cove, which employs 22 people in the off season and 30 in the high season, has kept job losses to a minimum.

Chamber of Commerce NT Greg Ireland said the business community was “fully aware” of the potential outcomes of the end of JobKeeper and preparations were in place.

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While firm that businesses could not live in the “JobKeeper bubble” forever, Mr Ireland said mass job losses would result in a “huge number” of families and skill sets leaving town.

“It will be very detrimental to the overall chances of the NT (for recovery) I think,” he said.