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Calls to bring back JobKeeper are slapped down despite expectations Sydney will extend lockdown as outbreak grows

Federal Treasurer Josh Frydenberg has slapped down calls to bring back JobKeeper as Sydney faces another lockdown extension.

The NSW Coalition government, Labor and unions have called for a re-introduction of the wage subsidy scheme which paid struggling companies $1,500 per worker per fortnight in 2020.

But Mr Frydenberg said the federal government's $600 per week pandemic disaster payment was faster and better targeted to people who need it.

Josh Frydenberg has slapped down calls to bring back JobKeeper as Sydney faces another lockdown extension. Pictured: A Coles worker

Josh Frydenberg has slapped down calls to bring back JobKeeper as Sydney faces another lockdown extension. Pictured: A Coles worker

'The payments are being made in about 40 minutes,' he said.

'They are also targeted because they are based on the number of hours lost rather than the turnover reduction of the business that you work for. 

'Also, the net has been cast wider with all casuals being eligible for these payments,' he said.

The payments of $600 a week for people who lose more than 20 hours and $375 for people who lose 8-20 hours will continue as long as lockdowns last, the government has said.

Mr Fyrdenberg said JobKeeper was a national scheme set up in early 2020 when the unemployment rate was expected to skyrocket to 15 per cent.

It required companies to take out loans from banks, pay their workers and then get re-reimbursed by the government weeks later. 

By contrast, the pandemic disaster payment goes straight into the workers' bank accounts. 

On top of that payment, there is business financial support worth up to 40 per cent of a company's wage bill that requires companies to maintain headcount. 

NSW Treasurer Dominic Perrottet wants JobKeeper back because it keeps employees tied to their companies. 

'As case numbers escalate or remain stubborn, there will need to be extra financial support from the federal government,' he told the Sydney Morning Herald on Sunday.

'We believe that Jobkeeper was instrumental in keeping the nexus between workers and businesses. This won't be forever, but we do need it now because when NSW goes well, the country goes well.'

NSW Treasurer Dominic Perrottet wants JobKeeper back because it keeps employees tied to their companies. Pictured: A Sydney barista during lockdown

NSW Treasurer Dominic Perrottet wants JobKeeper back because it keeps employees tied to their companies. Pictured: A Sydney barista during lockdown

Prime Minister Scott Morrison said he was open to considering further support if the situation gets worse.

The government is 'very open to consider how we deal with the situation as it further evolves,' he said.

NSW recorded 145 Covid cases on Monday as Sydney's prospects of finishing lockdown on July 30 diminished even further.

Australia's biggest union, the ACTU, wants immediate cash grants for small businesses and says current assistance measures are 'confusing, inadequate and often administratively burdensome'.

It dismissed the disaster payments dismissed as 'grossly inadequate'

ACTU Secretary Sally McManus said the government should add casuals to JobKeeper, a 'tried and tested system'.

'The current disaster payment is less than the minimum wage and less than what workers received during lockdowns in 2020,' she said.

How to claim the $600 lockdown payment if you lose work 

Australians who lose more than 20 hours of work a week can claim a $600 disaster payment from the federal government, and those who lose less than 20 hours can claim $375. 

To claim the cash you'll need a Centrelink online account linked to your myGov. It's easy to set these up.

Once you're logged in, you will be asked a few questions about your situation to see if you're eligible.

Officials need to know if you lived or worked in a Covid-19 hotspot that's under lockdown or restricted movement.

Once you've completed your claim, hit submit and officials will process it for you.

You don't need to call them, they'll send you an SMS when you successfully submit your claim.

If you are eligible, officials will make a payment into your bank account and send you a letter with the details.

For more information click here 

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