The expansion of the Reserve Bank’s economic support is in stark contrast to the Morrison Government’s decision to withdraw support in coming weeks.
 
Unemployment is rising while economic support from the Morrison Government is falling.
 
The Reserve Bank today announced an increase to the size of the Term Funding Facility, with banks now able to access extra funding up until June 2021.
 
The RBA noted that “it is likely to be some months before a meaningful recovery in the labour market is under way” and that “In the Bank's central scenario, the unemployment rate rises to around 10 per cent later in 2020 and then declines gradually to be to still around 7 per cent in two years' time.”
 
The Governor again said “fiscal and monetary support will be required for some time given the outlook for the economy and the prospect of high unemployment.” 
 
Australians already know that the country is experiencing a deep recession, with one million workers already unemployed and another 400,000 more expected to join the jobless queues by Christmas.
 
Australia is in the grips of a jobs crisis, but the Morrison Government doesn’t have a jobs plan.
 
Instead of a jobs plan, Scott Morrison and Josh Frydenberg want to wind back JobKeeper, cut super, freeze the pension, point the finger and shift the blame.
 
This recession will be deeper and unemployment queues will be longer because the Morrison Government is leaving too many people behind in this first recession in three decades.
 
TUESDAY, 1 SEPTEMBER 2020