Senate debates

Wednesday, 8 April 2020

Bills

Coronavirus Economic Response Package (Payments and Benefits) Bill 2020, Coronavirus Economic Response Package Omnibus (Measures No. 2) Bill 2020, Appropriation Bill (No. 5) 2019-2020, Appropriation Bill (No. 6) 2019-2020; Second Reading

7:53 pm

Photo of Mathias CormannMathias Cormann (WA, Liberal Party, Vice-President of the Executive Council) Share this | Hansard source

Firstly, I would like to thank all those senators who have contributed to this important debate. I will take this opportunity to briefly address the various second reading amendments that have been circulated. Firstly, the government will oppose the second reading amendments on sheets 8939, 8945, 8949, 8950, 8951 and 8952. In relation to the opposition's second reading amendment on sheet 8947, let me note the following. It essentially just notes a power available to the Treasurer in this legislation and encourages him to use this power. It doesn't mention any specific ways that the Senate feels the Treasurer should use this power other than to protect more jobs. The Coronavirus Economic Response Package (Payments and Benefits) Bill 2020 establishes a framework for coronavirus economic response payments. Under this framework, the Treasurer will be able to make rules to provide for new payments administered by the commissioner. This is a deliberate feature of this legislation which allows for flexibility of the payment arrangements and ensures that the payments can be quickly introduced and revised to appropriately respond to the evolving impact of the coronavirus. And, in so doing, we will be protecting more jobs, as this second reading amendment encourages us to do.

However, let us also make very clear the government's position in relation to temporary visa holders, local government employees and casual workers who have worked for businesses for less than 12 months and other groupings covered in those various second reading amendments that I have listed as being opposed by the government. We have no plans to extend the JobKeeper payments to those groups. Local council workers are the responsibility of state and territory governments, who understand that this is the case. Government schools and TAFEs are also the responsibility of state governments. The government has ensured that charities will be able to access a lower turnover decline test of 15 per cent for the JobKeeper payment. We will not extend the JobKeeper payment to temporary visa holders. Temporary visa holders are expected to support themselves while in Australia. The government has announced that it will allow temporary visa holders with work rights to access their superannuation funds to help them buffer the economic impacts of the coronavirus outbreak. Those unable to support themselves over the next six months, through work, savings or access to superannuation, are strongly encouraged to return home. The time to go is now and they should make arrangements as quickly as possible. The situation will be periodically reviewed and further changes may be made if and as required.

The definition of casuals used for this legislation is taken directly from the Fair Work Act, which defines a long-term casual employee as an employee who has been employed by the employer on a regular and systemic basis for a period of at least 12 months. The government has provided clear and consistent advice to employers and employees regarding eligibility for JobKeeper. This will give certainty to those facing the uncertain period ahead.

The proposed eligibility rules are appropriate for the conditions we face now, but the government acknowledges that there are likely to be currently unforeseeable issues which may be ahead of us and which will need to be dealt with. That is why the Treasurer has the discretion to amend JobKeeper eligibility in the future, to provide flexibility to deal with these issues as they arise. This power is not there to expand the eligibility of the JobKeeper program to local council workers, temporary visa holders, casuals who have worked for a business for less than 12 months or other categories covered by the second reading amendments in front of us. The Australians who find themselves out of work have the opportunity to apply for the significantly boosted jobseeker payment. The government has waived many of the usual eligibility requirements or waiting periods for those payments, but, yes, it is correct that some eligibility requirements do remain.

In relation to leave arrangements, these are matters to be resolved by agreement and subject to relevant agreements between employers and employees. An employer can request an employee to take paid annual leave under the provisions of this legislation and the employee cannot unreasonably refuse. Where the employee is of the view that they are being treated unfairly, there is the capacity to consult the Fair Work Commission to review any such arrangement. Importantly, while on leave, the worker would be paid their full wage, subsidised by the $1,500 per fortnight payment; whereas, depending on the circumstances, it may well be that the worker would only be able to receive the $1,500 payment per fortnight. So it may well be in the employee's interest, and his or her choice, to draw down on their leave while they can before going onto the JobKeeper payment only—so not just in the interests of the business. I commend the legislation to the Senate.

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