The Victorian lockdown is the first COVID-related economic shutdown since the JobKeeper wage schemes and other government business subsidies closed at the end of March and Thursdays announcement plunged thousands of businesses and their employees into financial uncertainty.
In a phone call on Thursday, state Treasurer Tim Pallas appealed directly to his federal counterpart Josh Frydenberg for Commonwealth financial support.
But a joint approach to the economic aspect of the crisis is likely to be several days off, if it can be agreed at all, a senior government figure speaking on the condition of anonymity told The Age.
State government departments were still working on Friday to reach agreement on the size of the support package.
Martin Pakula, the Minister of Industry Support and Recovery said the government would be working on the new business support plan over the weekend, and once the package was announced, money would flow to business owners and sole traders generally within a week or two.
I think taking a day or two to try and get the package as targeted as possible is worth the time, he told Neil Mitchell on 3AW Mornings.
The industry groups Victorian director Tim Piper said on Friday that the state governments rescue package, when it comes, needed to cover more than just the small business sector.
The feds can step up and put something in place in relation to the JobKeeper, he said.
The state needs to be looking at well beyond just small businesses.
Some medium businesses are hurting off the back of what will be a significantly long lockdown for them, even seven days is a big issue.
Victorian Chamber of Commerce and Industry chief executive Paul Guerra in his office last month. Credit:Luis Ascui
Victorian Chamber of Commerce and Industry chief executive Paul Guerra urged the state and federal governments to move quickly.
Business is bleeding today, across the state, not just in the CBD, Mr Guerra said.
Its imperative that within the next 24 hours, businesses and workers know that they will get the support so that they dont go through the weekend wondering when their next dollar is going to come in or next bit of wage is going to come in.
Mr Frydenberg said that Victorias lockdown was a painful reminder that we are still in the midst of a global pandemic.
That is why in the budget we are continuing to provide record levels of support in order to secure Australias economic recovery.
Already $45.2 billion in economic support has been provided to Victoria during this crisis and more is flowing in the form of tax cuts to households and businesses.
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