The Federal Government is expected to confirm that Australia has entered its first recession in 30 years with figures for the June quarter expected to show a contraction of around six per cent because of the coronavirus pandemic.
Treasurer Josh Frydenberg is expected to confirm a 0.3 per cent decline in gross domestic product in the March quarter, but says the figures compare well against the toll taken on other countries.
With Victoria’s lockdown almost guaranteeing no short term rebound for the economy, extensions of the JobKeeper and JobSeeker COVID-19 packages beyond September were also approved by parliament.
JobKeeper will extend for another six months, with the $1500 flat fortnightly rate to end later this month and be replaced with a two tier system. People who worked less than 20 hours a week before the crisis struck will be paid $750 a fortnight from the end of September, while all others will receive $1200.
The maximum payment will come down to $1000 from December to March.