Financial incentives proposed ahead of Budget

Waziri Mkuu wa Australia Scott Morrison (kulia) na Mweka hazina wa Australia Josh Frydenberg wawasili bungeni

Waziri Mkuu wa Australia Scott Morrison (kulia) na Mweka hazina wa Australia Josh Frydenberg wawasili bungeni Source: AAP

With the Federal Budget announcement just over a fortnight away, speculation over how the government plans to lead the country out of recession is increasing.


Next week, the Federal Government's income support payments will be reduced.

 

JobKeeper will decrease from $1500 per fortnight to $1200.

More than one million Australians relying on the JobSeeker payment will see that support be reduced also.

While an overall increase from the old rate will remain until the end of the year, Social Services Minister Anne Ruston won't say whether there will be permanent rise.

"We'll continue to monitor the economic conditions and most particularly the state of the jobs market going forward, and we'll make some decisions about what we may do post 31 December, closer to that date. But I want to assure all Australians if elevated supports are continued to be needed, they'll be available"

With the budget just a fortnight away, businesses may be given wage incentives as a reward for hiring new workers.

Income tax cuts are also expected to be brought forward.

Meanwhile, a new advertisement campaign has been launched, warning the gap between the rich and poor is set to widen.

40 prominent Australians are publicly supporting the campaign including former Secretary of the Department of  Prime Minister and Cabinet Michael Keating.

"These tax cuts which essentilly flow to the top twenty per cent of high income house holds are not going to be spent  you know they're not the people who are struggling.

All the evidence is they'll be saved we know that extra financing directed particularly at the service industry will do far more in terms of getting employment back and helping the people who have become unemployed"

Prime Minister Scott Morrison has already flagged a called gas-led recovery effort out of the economic recession. 


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