ACTU

Act to save jobs now, Rudd, ACTU

Pressure is growing on the Rudd Government to fund a second economic stimulus package as recession looms, with the ACTU calling for urgent measures to save jobs .

Prime Minister Kevin Rudd warned yesterday that the economy would get worse before it gets better, adding the Government was planning "steely" economic management and compassion.

- Rudd pressured for new stimulus package
- ACTU says 200,000 jobs lost in 2009
- Stand-down days should be considered

The Government's first stimulus package - worth $10.4 billion - included one-off payments to families, pensioners and carers to boost spending in the lead-up to Christmas.

The ACTU predicts about 200,000 workers will be out of a job this year.

"We have got to really target with stimulus those jobs you can bring on stream from day one," ACTU president Sharan Burrow told 3AW.

One option was to bring forward an "emergency energy retrofit" to deal with climate change.

"That then flows out to produce demand, to manufacturing, to services and the like," she said.

Infrastructure upgrades at schools and hospitals should also be undertaken.

Ms Burrow urged employers to consider all options before laying off workers.

Stand-down days, where workers are paid 80 per cent of their wage to reskill under government-funded programs, should be considered "so that when the economy picks up those employees are there ready to work with enhanced skills".

Forcing workers to take unused leave was another option, Ms Burrow said.

Australian business is also preparing for the hard times ahead, as other countries head into a recession.

Australian Industry Group chief executive Heather Ridout says if the nation itself won't head into a recession in the near future, "it's going to feel like one".