The government on Saturday (16 July) agreed to reinstate the Pandemic Leave Disaster Payment to 30 September 2022. Eligibility for the payment that will be backdated to 1 July 2022 ensures that anyone unable to work owing to isolation requirements in this period, without access to paid sick leave, is supported.
Access to these payments will commence from Wednesday (20 July), with existing eligibility requirements to continue.
In addition, the Commonwealth government will also reinstate the Crisis Payment – National Health Emergency (COVID-19) until 30 September 2022, with eligibility also to be backdated to 1 July 2022. This will ensure people affected by COVID-19 isolation requirements who receive an income support payment or ABSTUDY Living Allowance, and who are in severe financial hardship, continue to receive support through the winter period.
However, while the reinstatement of payments has been seen as a sensible move, business and industry groups said there needs to be plans set in place to find solutions to the chronic skills shortages Australia is experiencing.
Alexi Boyd, chief executive of the Council of Small Business Organisations Australia, said anything that supports small-business workers, supports small business.
“In that way it is a positive move,” she said.
“But we are still seeking an alleviation to pressures of workers shortages. Not enough has been done to address this. Work is underway to bring in more skilled and unskilled migration but we need something in the short-term.
“What the government needs to be looking at is a way to get more people engaged in work, trying to find out what the impediments are that are stopping people from finding enough work and then removing them.
“Small businesses need access to those people that want to work.”
Andrew McKellar, CEO of the Australian Chamber of Commerce and Industry, said the reinstatement of the pandemic leave payment is a common-sense step forward.
“This payment supports workers with no access to paid leave as well as sole traders and microbusinesses who have to shut down,” he said.
“Maximum effort must go to ensuring that the take-up of booster vaccinations is high. Advice on mask wearing, and working from home, must also be consistent.
“The last thing we need is an uncontrollable spread of illness that would put even more pressure on businesses already struggling with labour shortages.”
Australian Retailers Association chief industry affairs officer, Fleur Brown, said the reinstatement of the pandemic leave disaster payment will come as a welcome relief for workers who are left out of pocket when they’re forced to isolate with COVID.
“The pandemic leave payments were a valuable measure to support people in isolation when they couldn’t work, and the timing of their removal was problematic – in the heart of winter when infections were spiking, contributing to staff shortages across the economy,” she said.
“We’re pleased to see the restoration of the scheme and appreciate that emergency supports like this are not meant to last forever. The next couple of months will be challenging with daily caseloads set to remain high, so it’s appropriate this safety net remained in place. It will also reduce the risk of infected workers being at work.
“If you get Covid, that means seven days of isolation. And unfortunately for some, who are not eligible for sick leave, that means seven days of no income. We’re pleased to see the actions taken today by the federal, state and territory governments to ensure our most vulnerable workers continue to be supported.”
