Australian Finance Minister Josh Frydenberg has declared that the government cannot continue to permanently support the unprecedented level of financial support provided in the last two years.
Frydenberg spoke with the Australian Industrial Group on February 7, seven weeks after the announcement of the pre-election budget on March 29, saying that federal intervention has not remained rooted.
“Continuous support at the crisis level will bring more financial damage than profit,” he said.
Although the country has experienced the biggest economic shock since the Great Depression, the Reserve Bank is confident that Australia is heading towards an unemployment rate starting at “3” compared to the current 4.2%.
“This will be the first time since 1974,” Frydenberg said. “Unlike some other countries, we see a” major remodeling “rather than a” major resignation. ” “
According to a Treasury analysis, more than one million workers have started new jobs in the three months to November 2021. This number was about 10% higher than the average data for the pre-COVID period.
In the last three months, a record number of about 300,000 workers have said they have quit their jobs in search of better employment opportunities. This trend has occurred in all industries of the economy.
“By switching jobs, workers can move their work ladders up to get better wages,” Frydenberg said.
“According to the latest Treasury analysis using’single-touch salary’data, workers who changed jobs typically experienced a salary increase of 8 to 10 percent. “
He said the pandemic has brought about a fundamental shift in the Australian economy as a whole, providing a unique opportunity to assess Australia’s productivity challenges and opportunities.
Therefore, the Productivity Commission has begun a second five-year productivity review at the request of the Treasurer.
“With a post-pandemic economy, PCs are tasked with developing a working roadmap to help governments make productivity-enhancing reforms,” Frydenberg said. ..
“Identify reform priorities such as data and digital innovation and workforce skills.”
The committee will complete the review in the next 12 months.
Meanwhile, the Australian Bureau of Statistics (ABS) also updated its December 2021 retail report on February 7, adding quarterly spending results.
According to an ABS report, retail sales fell 4.4% last December, but economists predict that the sector increased 8.1% during the quarter.
Also, most of the results of quarterly economic growth are from household spending. This data will be included in the December quarter national accounts, which will be released on March 2.
Key indicators of future employment were also released on February 7, and ANZ Report January job advertisement series.
Overall, ANZ Job Ads fell 0.3% in January. However, as is usually the case with holiday periods, this number has increased exponentially on a weekly basis throughout the month.
This trend occurred despite the high number of cases of Omicron reported in the community. This reflects the resilience of labor market demand.