Business
For some companies, JobKeeper has become DividendKeeper. They are paying out, even though the future looks awful – The Conversation AU
Wages are going backwards, loans are in arrears, companies are being kept alive by government support and an exemption from insolvency rules, yet still they are paying out dividends.
In this recession, unlike in previous ones, governments have chosen to help pay salaries to keep workers in work rather than pay unemployment benefits when they laid off.
It means that the July unemployment rate revealed on Thursday was 7.5% instead of the 8.3% it would have been had those working zero hours but being paid by JobKeeper been counted as out of work.
This approach has kept employees and firms ready for work at a time when it is far from clear when things will improve.
Implicit i…
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