Opposition front bencher Kristina Keneally is sceptical the Australian economy can make a rapid recovery from the impact of the coronavirus given forecasts of unemployment remaining high for some time.
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She also believes the Morrison government needs to come to the table with an open mind when it talks about the need for reform rather than sticking to its previous "ideological positions".
"Labor does want to see a rapid recovery if it is possible," Senator Keneally told ABC television on Sunday.
"But we are sceptical about that, given the RBA and the IMF's projections for protracted high unemployment and given the Morrison Government's decision to exclude workers from JobKeeper."
Reserve Bank of Australia governor Philp Lowe last week predicted the jobless rate hitting 10 per cent by June as the economy suffers its worst recession since the 1930s and the rate staying above six per cent for the next couple of years.
The rate was 5.2 per cent in March.
The International Monetary Fund expects the Australian unemployment rate will average 7.6 per cent this year, rising to 8.9 per cent in 2021.
The government has repeatedly ruled out raising taxes to pay for the $230 billion of spending to help shield the economy from the impact of COVID-19.
Instead, it talks about lowering taxes to boost economic growth.
Labor fought against cutting the company tax rate for big business last year and hasn't changed its view.
"We know that a company tax rate is more likely to see the benefits go overseas in the form of share buybacks, increased dividends and executive salaries," Senator Keneally, who is Labor's home affairs spokeswoman, said.
"There are better ways to support business, such as an investment allowance, and we encourage the government to look at that."
She said when it comes to industrial relations, Australia was not a great place for Australian workers prior to the outbreak of COVID-19.
"There was rampant wage theft, there was stagnant wages, there was increasing casualisation," she said.
"The Australian Government should not come into this reform process with old ideological anti-worker, anti-union agendas. They should see the unions, they should see working people as their partners, as they did with JobKeeper. "
Australian Associated Press
