Leading labour market economist, professor Jeff Borland from the University of Melbourne, fears that the axing of the JobKeeper wage subsidy at the end of this month could scuttle 250,000 jobs. However, he does not believe that it will be enough to derail Australia’s economic recovery:
Based on estimates around how many are in both groups, Professor Borland said his best guess was 125,000 to 250,000 workers would become unemployed — or about 1-2 per cent of total employment…
“What that range is saying is the impact on employment will be observable, but it won’t be a decrease that sets back the recovery too far”.
