ActivePaper Archive State Libs may apply for JobKeeper - The Age, 4/25/2020

State Libs may apply for JobKeeper

The Victorian Liberal Party may have to resort to JobKeeper payments to keep its workers employed after donations to the party ‘‘fell off a cliff’’ amid the coronavirus crisis.

The Liberals, who say they are considering their options, may lodge the claim for economic hardship despite selling their former headquarters for $37 million less than two years ago.

The party’s key decision-making group agreed on Thursday to allow state director Sam McQuestin to explore access to the payments despite some senior figures conceding it was a ‘‘bad look’’.

The JobKeeper allowance, a $130 billion plan hatched by the federal Liberals as part of a massive financial response to the COVID-19 crisis, is designed to keep workers attached to their jobs, even if they are stood down by employers who cannot afford to pay them.

Mr McQuestin told The Age yesterday he was exploring all ways available to preserve the jobs and incomes of the party’s 12 employees.

The Victorian Labor Party’s secretary did not return calls yesterday. But ALP sources said there were no immediate financial worries at the party’s Docklands headquarters, where about 20 backroom workers are employed, because the union affiliation fees which underpin Labor’s finances were so far unaffected by the pandemic.

The state Liberals’ ruling administrative committee discussed the party’s parlous finances on Thursday night with sources confirming the committee had voted in favour of allowing Mr McQuestin to examine whether the party was eligible for the JobKeeper payments.

But one administrative committee member, who asked not to be named, questioned the political wisdom of accessing the payments even if the party was eligible.

‘‘This is a very bad look,’’ the senior Liberal said.

‘‘This isn’t meant for businesses with millions of dollars in the bank.’’

The sharp decline in donations is among the factors that has damaged the party’s finances, prompting the decision to consider asking for government support.

Mr McQuestin said that any application would comply with the eligibility requirements that applied to all employers. ‘‘Like all employers, the Liberal Party is examining all available ways to preserve the jobs and income of as many of its employees as possible during this unprecedented crisis,’’ the state director said.

‘‘Any application that is made will be in accordance with the eligibility and other requirements applicable to all employers.’’

The JobKeeper payment allows businesses to access federal government subsidies of $1500 a fortnight for each of their workers.

The payments will flow to businesses monthly from May.