PM: Budget 2020 will be about jobs, jobs, jobs

14th May 2020 By Shannon Williams | shannon@tourismticker.com | @tourismticker

A ‘relentless focus’ on jobs will be at the forefront of the Government’s Budget 2020 announcement, says prime minister Jacinda Ardern.

Speaking at Wednesday’s 1pm Covid-19 update, Ardern said the Government’s number one priority under the Budget would be jobs.

“That means doing all we can to support people staying in their current job, or moving to a new one if needed,” she said.

Jacinda Ardern

“A relentless focus on jobs, economy and businesses is what is required now for the wellbeing of New Zealanders.”

Budget 2020 would be delivered by finance minister Grant Robertson at 2pm today.

“Our plan is to invest. By investing we will create jobs to get the economy moving again,” Ardern said.

“I know the last seven weeks have been a huge challenge to business, which has been why our first phase in our response has been entirely focused on assisting businesses to stay afloat and supporting New Zealanders to stay connected to their jobs.

“Sitting alongside the wage subsidy has been the largest suite of tax changes modern history, aimed at freeing up cashflow when businesses could not trade. While these measures have worked so far, our employment rate will sadly increase.”

The prime minister said the global economy was predicted to contract by 3% in 2020, much worse than during the Global Financial Crisis of 2007-2008.

“Around the world unemployment will rise significantly, businesses will fail and close. Government revenue will decline and we will feel the pain here too. If we make the right choice, we can get New Zealanders back to work and our economy moving quickly again.”

Ardern added the Government’s quick response to the virus had allowed for other economic opportunities.

“A possible trans-Tasman bubble, when safe, could see New Zealand and Australia opening great tourism and trade opportunities, while our borders have to stay closed to the rest of the world, offering some additional reprieve for our tourism and hospitality industries,” she said.

“It is not business as usual. There is no playbook for the recovery we are about to embark on.

“The next stage of our rebuilding journey together is recovery. Our focus now is the jobs and incomes of businesses and New Zealanders. Budget 2020 is the first step in this phase.”