9 April 2020

Interview with David Koch, Sunrise, Channel 7

Note

Subjects: JobKeeper package and legislation;

DAVID KOCH:

We’re joined by Treasurer Josh Frydenberg. Treasurer thanks for joining us.

JOSH FRYDENBERG:

Good morning, Kochie

DAVID KOCH:

730,000 businesses already signed up, is that more than expected?

JOSH FRYDENBERG:

Look I think that’s consistent with what we see will be the demand for this program. As you say, Kochie, some six million Australian workers will benefit and with a $130 billion price tag, Australia’s never seen an economic rescue package the size of which we passed through the Parliament last night.

DAVID KOCH:

Yep, alright, now the money will be paid to employers backdated to March. $1500 a fortnight, if you’re paid less than that by your employer now, they’ve got to pass on this higher level, so bit of a windfall for you.

JOSH FRYDENBERG:

For some people that will be the case but what is most important here is to have an efficient and effective scheme that can get money to people’s pockets as quickly as possible. And the advice to Government was exactly that. That’s why we went with a flat payment. Our scheme is different, Kochie, to what you see in the UK, New Zealand or in Canada. This is an Australian scheme to deal with an Australian challenge and I think Australians will see it pretty fair, that the higher the income, you still get the same flat $1500 payment.

DAVID KOCH:

Yeah but that $1500, if you get paid more than $1500, that $1500 is just part of your normal wage isn’t it?

JOSH FRYDENBERG:

It’s a wage subsidy, exactly. And the whole idea behind that is to make it easier for the employer to keep you in a job. You see, we’ve been just focused through this crisis on keeping Australians in work and reducing the cost to business of keeping those employees on the books as well as maintaining that formal connection between the employer and the employee so that when we get to the other side of the coronavirus, our economy can bounce back stronger than ever.

DAVID KOCH:

And if you’re a casual that hasn’t been working for a year, you can apply for JobSeeker can’t you, which is $1100 tax free, so there’s still something for you.

JOSH FRYDENBERG:

That’s absolutely right Kochie. You’ve got to see these programs as being complementary. The JobKeeper program will provide support for around six million workers, part-timers, full-time workers, casuals who have been connected with their employer for more than 12 months, sole traders, you know the sparky, the plumber, the carpenter will all benefit. And of course the not-for-profit sector, they employ thousands of Australians, they're really important employers and they're also going to benefit from this scheme.

DAVID KOCH:

Alright Treasurer, appreciate your time, thank you.

JOSH FRYDENBERG:

Good to be with you Kochie.