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JobKeeper to cost us $60 billion less

Line of people with red X. Loss of jobs and massive staff employees job cuts. Reducing staff to maintain business. Work layoffs due pandemic quarantine. Far-reaching consequences of crisis lockdown

The federal government's JobKeeper wage subsidy program is now expected to cost $70 billion instead of $130 billion.

In a joint statement on Friday Treasury and the tax office revised its figures for the program, with the number of employees forecast to be assisted now 3.5 million instead of six million.

About 1000 businesses made "significant errors" when reporting the number of employees estimated to receive help.

The most common error was reporting the amount of assistance they expected to receive rather than the number of employees expected to be eligible.

For example, instead of writing one eligible employee businesses wrote 1500 - the amount received each fortnight through the program.

© AAP 2020

Image: Bigstock

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