Insurance companies are expecting huge fallouts from the impending changes to the JobKeeper scheme. Every month a Sensis Business Index survey is completed which aims to gauge the current situation for businesses around the country across all sectors.
JobKeeper was introduced by the federal government as a major cost program to mitigate the effect that Covid had on the economy. Businesses that have a 30% or more drop in revenue can apply for the program which assists by paying a portion of the employees salary.
Focusing on the Insurance and Finance industry has shown some concerning results from the survey. 47% off the businesses that responded to the survey from the Insurance and Finance industry said that they were utilising the JobKeeper program for their employees. A similar percentage have said that the JobKeeper program is crucial for their company’s survival. 42% of the businesses that were interviewed expect that should JobKeeper change, there will be a major impact to their business.
As expected, businesses in Melbourne, who are harder hit by the pandemic, have placed a substantially higher level of importance on the program for their businesses survival.
Despite the doom and gloom in the economy and the recession we are currently experiencing, most industries have a positive and confident outlook for the next 12 months.
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