Senate debates

Thursday, 10 December 2020

Bills

Social Services and Other Legislation Amendment (Extension of Coronavirus Support) Bill 2020; In Committee

5:19 pm

Photo of Matt O'SullivanMatt O'Sullivan (WA, Liberal Party) Share this | Hansard source

The coronavirus pandemic has very significantly impacted people right across the country, but we are now seeing the recovery starting to come in quite strong—though that is mixed across the country. There were states that were able to open up more quickly because their health measures were dealt with quite swiftly and comprehensively, but then in other states and regions across Australia there has been a delay in their opening. That of course is creating an environment where we have a really mixed response in the economy. But we are seeing some communities recovering and the labour market picking up.

In my home state of Western Australia, in speaking to a lot of small businesses that operate across Western Australia, I have discovered that things are going quite well. In fact, some businesses are even saying that things are better than before. There is some real stimulus out there, possibly because of the stimulus that the Morrison government has brought in as part of the overall package to deal with the coronavirus pandemic and the related recession that we were in for a moment—which, thankfully, as a country we have emerged out of. Nonetheless, the impact has been felt. But there are businesses across Western Australia that are actually recovering—for example, a plumbing business in my patch, in the southern section of Perth, where I live. This plumbing business is run by Brad and Trudy. They're working in the residential market, which of course has been stimulated because of the housing support that we brought in. That's enabled their business to grow. They've also been able to hire a new apprentice in the last couple of months, because they've taken advantage of the incentives that we've provided.

But some employers are having difficulty attracting the staff that they need to meet the demand that they've actually got, and we're seeing that in agriculture. It is harvest time in Western Australia and, as my good friend and colleague Senator Brockman will be able to attest—because of his vast experience, knowledge and background in the agricultural sector—Western Australia is going through a good season. But some employers are struggling to find the workers necessary to take up these jobs and to take up the fantastic opportunities that are available, particularly for young people, to go out to the regions. There are incentives for people to go to the regions. For example, under one program, an individual can get up to $6,000 in reimbursements if they relocate, and you only need to work a minimum of six weeks to take up those opportunities. But we have seen through this pandemic and the resulting economic shock that employers say that they are not able to attract staff, and I believe there's a whole bunch of reasons why that has happened.

Of course, with the pandemic, we necessarily had to put a pause on mutual obligations, because the last thing we wanted was for people to turn up to their employment service provider, their jobactive provider, or maybe, in a regional or remote area, their Community Development Program, or CDP, provider. Because of the health restrictions that were put in place, you couldn't expect people to turn up and engage in activities—in training and job search requirements. That pause, which was absolutely necessary, meant that, while in some cases there were actually jobs available, some people chose not to take it on themselves to get out and search for jobs, because there wasn't that requirement. We hear of employers saying they advertise but then no-one's applying.

The other aspect was that, at the time when the coronavirus first hit us as a nation and we were dealing with the impacts of that, the government saw fit, and it was absolutely right, to provide the coronavirus supplement payment to people so they were able to deal with the shock of being told to stay at home. Some people, as we know, were stood down from their jobs. As we know, many, many Australians, sadly, even lost their jobs. That is a big impact. That's a big impact not just on individuals but, of course, on their families. So the support that has been there has been really profound, and it's been a real game changer for many individuals and many families.

But we've heard feedback within the community that there has been an disincentive to get out and search for work, and it was important that we follow through with what we said at the beginning. When the Morrison government implemented the coronavirus supplement, we said it was a temporary program. It wasn't to go on forever; it was short and it was sharp. This was absolutely necessary because, if we baked in certain elements, those disincentives for individuals and also the impact that it would have upon the budget position would be ongoing. It would be something that future generations, for many generations, would have to deal with. So following through with that commitment that we made that it was just a temporary program has been important. So the stepping down of the coronavirus supplement payment is, I think, a very necessary thing to ensure that people are active in taking up the many, many opportunities that are available.

My question to the minister is along these lines: if someone is able to maybe pick up a little bit of extra work—there may not be a full-time job that's available to them at the same level that they were at prior to the pandemic, but there may be some part-time work and opportunities—I understand that this bill amending the coronavirus supplement will enable individuals to earn up to $300 per fortnight and still receive JobSeeker or the youth allowance. Minister, how will that work in practical terms? People will be able to go and maybe get some part-time work and earn that money before it starts to impact them, and I'm interested in understanding what happens if they earn over that and what impact that would have on their take-home pay.

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