Macarthur MP Dr Mike Freelander is concerned the community will suffer if the government decides to cancel JobKeeper early.
The federal MP (Labor) has launched a community petition calling on Prime Minister Scott Morrison not to cancel the scheme too early.
Dr Freelander said cancelling the $1500 fortnightly wage subsidy too early could mean up to 4908 businesses in the Macarthur region may be forced to close, approximately 18,651 workers may be forced into unemployment and up to $27,976, 500 could be "ripped out of the local economy" each and every fortnight.
He said cancelling JobKeeper too soon would have a profound affect on the Macarthur region.
"Just as people are starting to get back on their feet, cancelling JobKeeper too early would have a devastating impact on local businesses and households," he said.
"Our community simply cannot afford the early cancellation of the $1500 fortnightly JobKeeper wage subsidy."
More than 11,000 Macarthur businesses have received the federal government's JobKeeper payment during the pandemic, according figures released last month.
The figures, released on June 24, show that Camden leads the three council areas with 4995 JobKeeper applications. Campbelltown is next with 4395, while Wollondilly is well behind at 1890.
However, some Wollondilly suburbs like Appin, The Oaks, Oakdale and more have post codes which cross over into the Campbelltown and Camden LGAs, so the actual figures may be slightly higher for the shire.
The post code with the highest number of organisations utilising JobKeeper is 2560, which covers Campbelltown, Leumeah, Appin, Rosemeadow, St Helens Park, Ambarvale, Glen Alpine, Kentlyn, Woodbine, Englorie Park, Airds, Gilead, Wedderburn, Ruse, Cataract, Blair Athol and Bradbury.
That post code had 1705 applications for the scheme.
"When I walk around Macarthur and talk to small business owners and workers, people tell me that JobKeeper is helping their businesses survive and keeping people in work.," Dr Freelander said.
"I've been so proud of the way our community has been looking out for one another in recent times.
"I'm asking everyone to again come together and send a strong message to Scott Morrison and the Liberals not to cancel JobKeeper too early."
To sign the petition asking the government not to cancel JobKeeper too early, visit www.DontCancelJobKeeperEarly.com.au.