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Support Payments Needed Or Aviation Sector Will Be Crippled

Workers have warned that Australia's aviation industry will be debilitated without targeted support from the government.

Workers have warned that Australia’s aviation industry will be debilitated without targeted support from the government.

The International Transport Workers’ Federation will today sound the warning to a Senate inquiry, which has been tasked with looking at the future of Australia’s aviation sector in light of the pandemic. 

The inquiry will hear from numerous industry groups and government agencies across two days of hearings in Canberra.

Workers’ federation spokesman Scott McDine will present a report to the inquiry, which calls for targeted supported and compares the nation’s wage subsidy system to Singapore’s.

What’s going on?

South Australia Qantas

The group is calling for an “AviationKeeper” payment to apply after JobKeeper ends on March 31.

The Business Council of Australia has urged the government to introduce targeted support for sectors still hurting from the ban on international travel.

The organisation also says restrictions should be eased in line with the vaccine rollout.

READ: Qantas Reports $1 Billion Plus Loss, Flags October For International Restart

The plan has been backed by the Australian Airports Association, whose chief James Goodwin says restarting international travel is crucial to help the economy, which travellers inject $60 billion into.

“Keeping COVID out and maintaining safety is a top priority but let’s start to look at a plan to reopen Australia to other COVID-safe countries where we already have strong links,”

James Goodwin, Australian Airports Association Chief

“This would help to continue our economic momentum and assist in getting more of the 41,000 stranded Australians home from overseas,” Mr Goodwin said.

Earlier this week, the federal government extended the international border ban until June.

The extension, announced on Tuesday evening, will make it 15 months that Australia’s borders have been shut to the rest of the world, and citizens banned from leaving unless they seek an exemption.

What’s happening in Singapore?

Singapore-Airlines

Singapore’s aviation and tourism workers were considered the top tier for income support, and were given 75 per cent of their wage as a subsidy.

The subsidy has since dropped to 50 per cent but has been extended until September, while Australia’s is due to wind up at the end of this month.

According to the analysis, Singapore had half as many aviation job losses as Australia during COVID-19. Singapore’s major carriers saw 15.6 per cent of its jobs lost, compared to Australia’s 31.1 per cent.

“If (Singapore’s) success had been replicated here, 6000 more people would be in work today,” Mr McDine said in a statement ahead of the hearing.

“Despite our relatively small population – but because of our ‘tyranny of distance’ – we are home to some of the busiest and most lucrative air routes in the world.

“But those lucrative routes have flatlined.”

Source: AAP

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