The government of Australia economic policies is failing Australians
This has increased caused an increase in debt due to loss of employments.This has fur reaching effects in accounts of most institutions which those who are laid off have financial transactions with.
Most of those who are laid off are servicing loans or paying for goods or services which they got on credit now they can’t afford to pay.The loans will accrue interest for the months they will not be serviced and most of them would be difficult to be repaid hence financial institutions will report high rate of loan default.
Those who will manage to pay might pay it over a long period so they shall pay it with more interest.
Companies which have sold goods of on services will have to involve debt collectors who they have to pay commission which would be more than they had budgeted.
Companies which are lying of staff are being involved in calculations of benefits and other payments dues. They will also need to recalculate expenses to be incurred based on the staffs that are left such as office expenses.
The Australia government will loss on income tax and companies dealing with pension funds will pay more this financial year which would affect their books of accounts.
If the government will not put on measures to lower the unemployment rate it shall affect accounting records of different economic sectors. The effects will be realized in this financial year and subsequent years depending on how different sectors shall be able to adapt.
The Editor, 2009, Govt policies costing jobs, Available at http://www.wabusinessnews.com.au/en-story/1/71103/Govt-policies-costing-jobs-Turnbull