Covid-19 Impact Still To Hit Oz Business: Report
CANBERRA: Some 72 percent of Australian busnesses expect reduced cash flow to have an adverse impact on their business over the next two months, according to a new report from the Australian Bureau of Statistics (ABS) on the effect of Covid-19.
Observers say many businesses are looking to the Government’s JobKeeper program as a possible lifeline.
ABS head of industry statistics John Shepherd said reduced demand for goods and services is expected to impact about 70 percent of businesses over the next two months, while 41 percent expect a reduced ability to pay operating expenses.
The survey, dubbed Business Impacts of Covid, found 61 percent of businesses had registered, or intended to register, for the JobKeeper payment scheme, seen as a possible lifeline.
“Of those businesses registered or intending to register, 73pc expected more than half of their employees to be eligible for the scheme,” Shepherd said.
“The survey also found that, of the businesses that did not intend to register for the JobKeeper payment scheme, 55pc reported that this was because the business involved was not eligible.
“Less than one in 10, or seven percent, reported not registering due to insufficient cash flow to continue paying staff before JobKeeper payments commence.”