4 years ago
“SNAPBACK” A RISK TO RECOVERY: OECD
JIM CHALMERS MP
The OECD has warned against Scott Morrison’s reckless “snapback” strategy which will cost jobs and leave people behind.
Echoing concerns raised by the Reserve Bank, the IMF, private forecasters and Labor about the rapid withdrawal of support in September, the latest Economic Outlook noted that:
Echoing concerns raised by the Reserve Bank, the IMF, private forecasters and Labor about the rapid withdrawal of support in September, the latest Economic Outlook noted that:
- “The authorities should be considering further stimulus that may be needed once existing measures expire at the end of the third quarter 2020”; and
- “In particular, some income support measures may need to be extended beyond their September expiry date.”
The OECD makes it clear that much more needs to be done to support jobs and secure a strong, inclusive and sustainable recovery, including investment in social housing, highlighting a major failure of the Government’s HomeBlunder program.
The less done to protect jobs and support vulnerable workers, business and communities in the coming months, the harder and longer the recovery will be.
The virus struck an economy experiencing slower investment and the effects of severe drought and catastrophic bushfires, ending a 29-year economic expansion.
Having introduced support for the economy too narrowly and too slowly, Australians can't afford for the Government to withdraw that support too quickly or too bluntly.
Australia desperately needs an effective, well-executed response to this crisis, and a plan that bolsters the recovery and sets Australia up for the future.
Australians have worked together to combat the virus, but more work must be done by the Morrison Government to ensure that our hardest-hit Australians are not left out and left behind in the recovery.