DARWIN - 16 March 2021
ADAM STEER, HOST: Yeah, you might not be on the $1500 fortnightly JobKeeper payment, but some of your friends might be. And some of the businesses that you rely on might be keeping their head above water on JobKeeper alone. It will finish at the end of next week. The federal treasurer has even said that transition might be quote unquote “bumpy”.
AUDIO: TRASURER JOSH FRYDENBERG: “That's the key point, that even if JobKeeper comes off, it might be bumpy for a month or two. I'm not denying that at all. But the steady trajectory is going down.”
STEER: Solomon Labor MLA Luke Gosling is calling for an extension of JobKeeper. which is the Morrison Government initiative. Luke Gosling, welcome to the program. Why are you calling for an extension exactly?
LUKE GOSLING, FEDERAL MEMBER FOR SOLOMON: Well, Adam, there's a whole load of businesses in my electorate, Darwin and Palmerston, but the Territory more broadly, particularly those who are connected to the tourism industry that still need that support to stay viable and to keep their employees – Territorians who are working for them – connected to those businesses. So, it's too early. This arbitrary date of the end of March is much too early, given that the vaccine is being very slow to roll out and the dry season is some time away still.
STEER: The Federal Government has said they are winding up the JobKeeper program, but they are putting different stimulus packages into some industries, particularly into tourism and hospitality. What's wrong with that approach?
GOSLING: Well, we know how much of a crock it is, Adam. We know with these subsidised air fares program that they've just announced, we had to fight for Darwin to be included in the first place. And then when we see the detail, it's only for people who are going to get on a plane from Townsville to come to Darwin. So all it is, is assisting some airlines around the country when what should be happening is not more corporate welfare support. Instead, we need to be getting more support from JobKeeper to Territory businesses until the vaccine rolls out, until the dry season comes. So it needs to be extended.
And it's just more spin. It's just an announcement where the Prime Minister gets in a plane and says, ‘oh, I'm doing something for the tourism industry,’ where it's not at all that. And they need to get real, real quick.
STEER: So you don't support the idea of the Government offering half-price fares from certain destinations to Darwin?
GOSLING: Well, Adam, you tell me if there's more than Townsville as a destination. Let's have a look at how many people are coming from Townsville to Darwin. It could be one element if they were to expand it, to, say, people coming from Sydney to Darwin, people coming from Melbourne to Darwin, then that would be real. Of course, I would support more people coming to the Top End as tourists. But there's a lot of businesses in the Northern Territory that are dependent on JobKeeper to stay viable.
STEER: Well, let's get to JobKeeper, Luke Gosling. The aim of JobKeeper, according to the Treasurer, is to keep people in their jobs and restart when the crisis is over. Are we past that crisis yet?
GOSLING: Well, I think you need to talk to some Territory businesses, and there are a lot of them that are quiet because the Federal Government makes them feel like, you know, they're on some sort of government charity or government handout. The reality is, is we're still in a recession. And when it comes to the tourism industry in particular, the tourists are not returning from overseas. They are just not, yet. The borders are still closed for good reasons. And domestic tourism won't pick up until the dry season.
STEER: Is it the job of the Federal Government to prop up businesses indefinitely?
GOSLING: That is the whole idea of JobKeeper, Adam, is to provide a wage subsidy. That's why Labor pushed for it in the first place, because we didn't want to see Territorians lose their jobs and Territory – particularly small – businesses, go under for no reason. The role of the Federal Government here in JobKeeper is to extend it until the economy picks up, not to stop it at an arbitrary date, which is the end of March. That is going to see Territorians join the unemployment queue where they're going to be on JobSeeker anyway. So keep investing in Territory businesses and Territorians with those businesses by extending JobKeeper a bit longer.
STEER: There's been news about ghost companies and rorting. The ATO has been involved in JobKeeper criminal investigations. Some would suggest that they'll be glad to see the back of JobKeeper, it’s costing the nation a lot of money. What are your thoughts on that?
GOSLING: Well, let's have a look at what the Government refuses to do, the Federal Government refuses to make corporations that have done extremely well out of JobKeeper, made massive profits to pay that money back. Now, if the Federal Government was to say to, for example, automotive dealer AP Eagers, who have reported profits of $156 million, they took $130 million in JobKeeper. So if they were to even pay back some of that, that would keep some Territory businesses and other businesses around Australia that are connected to the tourism industry afloat for a bit longer to get them through to the return of tourists around the country.
STEER: Luke Gosling, good to hear from you. We're going to talk to one of those tourist businesses in just a moment. Appreciate your time. Thank you.
GOSLING: Thanks Adam.
ENDS