NT NEEDS MORRISON TO PROVIDE A LIFELINE TO VIRGIN

16 April 2020

Scott Morrison needs to guarantee Australias two major airlines will survive to protect the Northern Territorys jobs, services and ongoing access to regular and affordable flights to other parts of the country.

The Government must urgently extend a lifeline to Virgin Australia which directly and indirectly supports more than 16,000 workers across the country.

Warren Snowdon MP, Luke Gosling MP and Senator Malarndirri McCarthy are calling on CLP Senator Sam McMahon to pressure Scott Morrison to save Virgin Australia.

The NTs economy was already suffering before Covid-19, and now faces more setbacks due to this disease. We cannot afford to be hit by losing Virgin Australia, they said.

Our local economy and quality of life depend on a strong domestic aviation industry with two major airlines, as well as budget partners and a strong regional network to keep airfares affordable and ensure regular access to the NT.

Senator McMahon must pick up the phone and push Scott Morrison to urgently extend a lifeline to Virgin Australia to support jobs and livelihoods here in the NT.

Shadow Transport Minister Catherine King said the Morrison Government must stop its piecemeal approach to our aviation industry.

If Scott Morrison does not extend a lifeline to Virgin he is making an active decision to see one of our major airlines fail.

Such a result will have a devastating impact not just on the aviation industry, but also on regional businesses and access to services, and will slow our recovery once the Covid-19 outbreak passes.

The Morrison Government has already shown a willingness to provide direct support to airlines with a $100 million package to address the cash flow crisis of a dozen regional airlines, including majority foreign-owned Regional Express.

It must now provide direct support to large aviation companies, like Virgin Australia, through extending or guaranteeing lines of credit and taking an equity stake.

Such an intervention will give the Government the temporary ability to support the airline through this crisis before the industry bounces back - and it will - when the Government can recoup its investment, Ms King said.

Giving up on Australias aviation industry is not an option for Labor.

We will continue to play a constructive, responsible and supportive role through this crisis.

MEDIA RELEASE

CATHERINE KING MP
SHADOW MINISTER FOR INFRASTRUCTURE, TRANSPORT AND REGIONAL DEVELOPMENT
MEMBER FOR BALLARAT

HON WARREN SNOWDON MP
SHADOW ASSISTANT MINISTER FOR NORTHERN AUSTRALIA
SHADOW ASSISTANT MINISTER FOR EXTERNAL TERRITORIES
SHADOW ASSISTANT MINISTER FOR INDIGENOUS AUSTRALIANS
MEMBER FOR LINGIARI

LUKE GOSLING OAM MP
MEMBER FOR SOLOMON

SENATOR MALARNDIRRI MCCARTHY
DEPUTY OPPOSITION WHIP IN THE SENATE
SENATOR FOR THE NORTHERN TERRITORY