Oceania

Up to 250,000 workers could lose their jobs when the JobKeeper wage subsidy ends this month as insolvency data reveals just three companies have used the Australian federal government’s new rules to help struggling employers restructure to avoid shutting down, the Sydney Morning Herald reported. The end of the $90 billion JobKeeper program on March 28 is expected to result in thousands of businesses failing, pushing 125,000 to 250,000 people out of work, University of Melbourne Professor Jeff Borland estimates.

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Lex Greensill’s ambitious plan to transform his arcane trade-finance business into a global lending force is rapidly falling apart, Bloomberg News reported. From Credit Suisse Group AG to SoftBank Group Corp., Greensill’s most ardent supporters have signaled doubts about the loans made by his supply-chain finance business, upending his multi-billion dollar empire. Greensill Capital, which as recently as last year was seeking a valuation of $7 billion and planning to eventually go public, is now discussing options including insolvency.

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Member countries of the World Trade Organization are aiming to resurrect a dormant system for resolving trade disputes that has been a point of friction between the U.S. and other nations, the Wall Street Journal reported. The WTO’s Appellate Body, the apex of the Geneva-based group’s dispute-settlement system, has been effectively shut down since 2019 after the Trump administration blocked the appointment of new judges. U.S. complaints about the system, which predate the Trump presidency, center on Appellate Body rulings against tariffs and other remedies, limiting what U.S.

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The New Zealand Civil Aviation Authority (CAA) has suspended the certificates of Pacific Aerospace, after it told the regulator it is insolvent, but operators of aircraft made by the New Zealand aircraft manufacturer may continue flying, Smart Aviation reported. The CAA says the aircraft manufacturer notified it on 10 February that it was insolvent, “and as a result, we suspended Pacific Aerospace’s certificates which had previously allowed it to design, manufacture and maintain aircraft,” the CAA says in a statement.
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Australia’s unemployment rate declined in January as a second round of central bank stimulus combined with a big-spending government budget accelerated the economy’s recovery and further boosted hiring, Bloomberg News reported. The jobless rate fell to 6.4% from 6.6% in December, versus economists’ estimate of 6.5%, data from the statistics bureau showed Thursday in Sydney. Employment advanced by 29,100 in January, compared with an expected 30,000 gain, driven by the state of Victoria that’s still rebounding from its second lockdown.
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More than 100 million workers across the world’s top eight economies may be forced to change occupations by 2030 due to the effects of the coronavirus pandemic, according to a report released by consultant firm McKinsey & Company on Thursday, The Hill reported. The COVID-19 crisis has accelerated globally trending changes in the workplace, prompting McKinsey to raise its prediction for how many workers will likely need to switch jobs in the top eight economies by 12 percent.
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The COVID pandemic has added $24 trillion to the global debt mountain over the last year a new study has shown, leaving it at a record $281 trillion and the worldwide debt-to-GDP ratio at over 355%, Reuters reported. The Institute of International Finance’s global debt monitor estimated government support programmes had accounted for half of the rise, while global firms, banks and households added $5.4 trillion, 3.9 trillion and $2.6 trillion respectively.
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A 70-year-old New Zealand planemaker has had its Civil Aviation Authority (CAA) certificates suspended after declaring it’s now insolvent, Australian Aviation reported. Pacific Aerospace, which employs 100 people in Hamilton on the North Island, manufactures aircraft popular for skydiving and the aerial application of fertiliser.

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The New South Wales (NSW) state gambling watchdog considers Crown Resorts unfit to hold a gaming license for its flagship Sydney casino, Crown said on Tuesday, a week after an inquiry found widespread money laundering and governance issues, Reuters reported. The casino operator said the state gambling watchdog gave it a notice in a letter after its Sydney casino breached a clause of the VIP Gaming Management Agreement. The watchdog has now begun a consultation process and invited Crown to address the authority, it said.
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Soar Aviation’s directors have denied claims by KPMG that the firm could have been insolvent for up to a year before it entered administration, Australian Aviation can reveal. A new note to creditors authored by the professional services firm also said the flight school’s directors maintained they “sought and obtained funding” required to run the company in January 2020. Australian Aviation reported last week that KPMG believed the firm was insolvent “from as early as” January 2020, despite only entering voluntary administration in December 2020.
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