Prime Minister Anthony Albanese has reversed his decision to scrap the pandemic payments in a last-minute National Cabinet meeting, after facing strong criticism from states and advocacy groups.
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The federal government announced the decision to bring back the Pandemic Leave Disaster Payment until September 30 on Saturday as the country faces a growing COVID winter wave.
Tasmanian Premier Jeremy Rockliff said he was pleased to reach an agreement with the Commonwealth, but Tasmanians could expect the current wave sweeping the state to endure until the end of September.
"States and territories have agreed to share the costs of the payment 50:50 so that Tasmanians can get the financial support they need when they are unable to work due to having COVID-19, or being impacted by someone who has," Mr Rockliff said.
The payment scheme offers up to $750 to anyone unable to work due to testing positive for COVID-19 or who is in quarantine, but who can't access sick leave from their employer.
The payment will also be made available for people caring for someone with COVID at home, which includes children and people with disabilities.
The payments will be available from Wednesday, and will be backdated from July 1. The one-off National Health Emergency Crisis Payment will also be brought back until September 30 for those on Abstudy or in severe financial hardship.
The announcement comes days after Mr Rockliff implored the federal government to reinstate the scheme, along with the free RAT scheme for concession card holders.
"We're all in this together. Tasmania is well and truly pulling our weight when it comes to support for the community. We expect the federal government to do the same," he said on Thursday.
Mr Rockliff said although he was pleased the payment was reinstated, Tasmanians could expect the current wave sweeping the state to endure until the end of September.
He acknowledged the next two to four weeks would be challenging for the state's health system, which has come under increased pressure in the past fortnight as COVID cases surge within the hospital system.
The premier said the Tasmanian government would increase RAT stocks, which would be accessible through Service Tasmania.
All four major Tasmanian public hospitals have introduced visitor restrictions, and escalated their COVID management plans to level 3 to manage internal outbreaks.
Acting State Health Commander Dale Webster said on Saturday 346 healthcare workers statewide had been furloughed from work due to COVID.
Mr Webster said 103 of those were Launceston General Hospital staff.
"Hospital staff are continuing to work hard to address the demand for hospital care at the LGH, and the public can have confidence that the needs of emergency presentations will be met," he said.
The Australian Nursing and Midwifery Federation welcomed the decision, which it said would support a "depleted health system ... crushed by the impacts of the pandemic".
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