JIM CHALMERS MP
SHADOW TREASURER
MEMBER FOR RANKIN

E&OE TRANSCRIPT
RADIO INTERVIEW
ABC FAR NORTH
MONDAY, 8 MARCH 2021

SUBJECT: Morrison Government’s JobKeeper cuts to leave 8,096 local workers and 2,361 small businesses behind in Far North QLD.

KIER SHOREY, HOST: Well, as I mentioned, Josh Frydenberg, the federal Treasurer, is in Cairns this morning meeting with local business and industry leaders. And I think we can assume hearing concerns about the end of JobKeeper. Right now though, we have the Shadow Treasurer, Jim Chalmers, in the studio with me. Very good morning to you, Mr Chalmers.

JIM CHALMERS, SHADOW TREASURER: Good morning, Kier. Thanks for having me on your show.

SHOREY: So, a coincidence that you're in town at the same time as the Treasurer?

CHALMERS: I'm not sure, to be honest. We come here a lot. I've been here five times since the election, talking with local businesses, local workers, stakeholders, and business groups in particular. I’m calling on Josh Frydenberg while he's here to announce a responsible, temporary, and targeted extension of the JobKeeper programme. There are 8,096 workers in Cairns and the surrounding areas relying on JobKeeper and 2,361 businesses. We don't want to see thousands of businesses hit the fence when Josh Frydenberg cuts JobKeeper this month. We want to see it extended.

SHOREY: We are of course seeing though, fewer and fewer businesses within the region being dependent on JobKeeper. That's the messaging that's been coming from the government?

CHALMERS: Yes, I mean the national economy is emerging from the recession, and some parts of Australia are doing better than others. But Cairns and the surrounding areas, as you know, is really reliant on international tourism. The international border will be closed for some time yet, and that means that there’ll be pain for local workers and businesses for some time yet. So, we just want the Morison Government to recognise that, to understand that. I'm worried that Josh Frydenberg has come here empty handed, when thousands of businesses and workers are still struggling. It shows that he just doesn’t understand the ongoing impact, the ongoing consequences, of those international border closures, and the consequences, which could be diabolical, for thousands of workers and businesses who will have their JobKeeper cut by the government at the end of this month.

SHOREY: And look, we should point out, there might be some kind of announcement later this morning from the federal Treasurer. JobKeeper does have to end at some point though, doesn't it Mr Chalmers?

CHALMERS: Nobody's arguing that JobKeeper needs to be there forever. We've never said that it needs to be a permanent feature in the budget. It's very expensive and we need to make sure that we're getting maximum bang for buck. But equally, we need the government to acknowledge that not all parts of the Australian economy are recovering as quickly as we would like. If we want the national economy to recover, regional Queensland and particularly the Tropical Far North, needs to be a bigger part of that story. That means recognising the challenges that many people are still confronting here.

SHOREY: Now, there have been some commentators and various politicians as well, pointing towards the fact that JobKeeper might essentially be propping up businesses that aren't actually viable and might not actually have work to do over the coming months based on the fact that, you know, there's not much going on at this point in time. Some people, like Alan Kohler from the ABC, has said maybe that money would be better spent being put into people's pockets, to do other work in the region rather than to go in and playing Solitaire, which is kind of what's happening in some locations, Mr Chalmers?

CHALMERS: A couple of things about that, Kier. I think JobKeeper is propping up a lot of good businesses as well. And what we don't want to see is, if we don't help the businesses of Cairns get through a difficult period like this, my fear is not just tourism businesses, but all of the businesses which rely on tourism and the other parts of the economy here, they'll get hollowed out. And so when the recovery comes, they won't be able to take advantage of that. Secondly, about the best way to spend this money. It is a lot of money and it needs to be spent responsibly. Right now, under Scott Morrison and Josh Frydenberg, money is more likely to go to puff-up executive bonuses in Sydney and Melbourne, than to see some of these small businesses in Cairns supported beyond this month. I think that's wrong. I talk to a lot of businesses, a lot of workers, a lot of community groups here in Cairns, with my colleague Senator Nita Green, and they all tell us the same thing - other kinds of support is welcome, but it's no substitute for a responsible extension of JobKeeper

SHOREY: Now, they've been pretty adamant that they're not planning on extending it, but they have certainly pointed towards there being some other forms of subsidy and support going forward, depending on what that plan is that ultimately gets announced. Will the Labor party be constructive in working with the government?

CHALMERS: We've been constructive at every point of this recession and its aftermath. We've said that support for local business is welcome, in whatever form it takes, but it's no substitute for an extension of JobKeeper. My fear is that the government will do as they always do when they come here, rarely, which is make the big announcement, and then not follow through. A lot of businesses are worried that when the government cuts JobKeeper and they announce some kind of other programme of support, that money won't actually flow into this local economy, into the pockets of workers and people who run small businesses - and we share that concern. That's why there's no substitute for an extension of JobKeeper. Other kinds of assistance will be welcome. We'll be constructive about it, as we have throughout, but JobKeeper is the main game here.

SHOREY: And are you taking the opportunity to meet with people during your time here?

CHALMERS: Yes, today we'll be meeting with some dive operators on the marina. But really over the last 9 to 12 months, I've met with the tourism representatives, the Chamber of Commerce, Advance Cairns, and local businesses. We really have tried to understand what's going on here. My fear is that the government hasn't. My fear is that they just don't get it. And that's why they're not extending JobKeeper on this visit.

SHOREY: Jim Chalmers, appreciate your time this morning.

CHALMERS: Appreciate your time, Kier. Thanks.

SHOREY: Jim Chalmers

ENDS