Pressure is mounting on the federal government to reinstate pandemic leave payments for workers needing to isolate, ahead of a snap national cabinet meeting next week.
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Prime Minister Anthony Albanese has stood firm in saying the $750 payment for seven days will not return after ending on June 30, citing pressures on the federal budget.
However, some state leaders, as well as federal Labor backbenchers, have advocated for the payments to be extended amid rising case numbers stemming from the virus.
State and territory leaders will meet with the prime minister on Monday for a national cabinet meeting where the fresh Omicron wave will be discussed.
Mr Albanese said there were many workplaces that were already offering paid leave to employees having to isolate due to COVID-19.
"The idea no one is getting sick leave at the moment is not the case," he told reporters on Friday.
"Good employers are recognising people are continuing to work from home while they have COVID and receiving payments through that.
"The (pandemic leave) payments were put in place by the former government with an end date, a decision they made at the time."
Ahead of the national cabinet meeting, the prime minister said he was confident of leaders being able to work together constructively.
"Everyone has been worried about the pandemic over the last couple of years," he said.
"We'll deal with these issues. We'll deal with them in a practical way."
NSW Premier Dominic Perrottet and Tasmanian Premier Jeremy Rockliff have called for the payments to be extended through the current wave of COVID-19 cases.
Federal Labor MP Mike Freelander broke ranks on Thursday, urging the prime minister to extend the support measures, with fellow backbencher Michelle Ananda-Rajah following suit.
Health Minister Mark Butler said the government was closely monitoring the situation, but indicated large payouts needed to end following the withdrawal of mandates surrounding the pandemic.
"There's no end to the list of worthy, important things we could be spending the money on in the health portfolio, but there is an end to the money," he said.
"The Australian community understands, and indeed wants, the country to move to a new phase in confronting this pandemic."
While the government said the end date of June 30 was decided by the coalition when they were in office, the opposition has accused Labor of hypocrisy for not choosing to extend the payments.
Opposition foreign affairs spokesman Simon Birmingham said the government needed to be consistent with its advice.
"They need to hold themselves to the same type of standard they held the previous government to and be transparent with what the medical advice is," Senator Birmingham told Sky News on Friday.
Opposition health spokeswoman Anne Ruston said clarity was needed on why the pandemic leave measures were not extended.
"I would like the government to advise Australians of ... why they thought it was a good idea now to remove these particular supports at the same time they're telling Australians we're about to be hit by another very serious wave of the virus," she told ABC radio.
LATEST 24-HOUR COVID-19 DATA:
Victoria: 10,584 cases, 17 deaths, 749 in hospital with 35 in ICU
NSW: 12,228 cases, 14 deaths, 2027 in hospital with 60 in ICU
Tasmania: 1727 cases, one death, 133 in hospital with six in ICU
Queensland: 6336 cases, 20 deaths, 907 in hospital with 14 in ICU
WA: 6458 cases, eight deaths, 333 in hospital with 16 in ICU
SA: 4453 cases, six deaths, 266 in hospital with eight in ICU
ACT: 1208 cases, no deaths, 135 in hospital with four in ICU
NT: 494 cases, no deaths, 52 in hospital with one in ICU
Australian Associated Press