Labor market: Extension of short-time working secures employment in the country

From April 1 to June 30, the fourth phase of Corona short-time work is to come into force. Labor Minister Martin Kocher recently announced this.

Upper Austria. During this phase, working hours can be reduced to 30 percent. In industries that have to remain closed due to the official lockdown, a reduction to zero percent is possible.

For Regional Economic Council Markus Achleitner (VP) the extension announced by Labor Minister Kocher is “very welcome”. “In Upper Austria almost 73,000 people are currently on short-time work in around 8,000 companies. The fourth phase therefore makes an important contribution to securing employment in the state,” says Achleitner.

Drastic impact

Achleitner and Kocher agree that short-time work is needed as long as the corona restrictions have “such drastic” effects on companies. “Compared to other federal states, Upper Austria comes through the crisis on the labor market better. The reason: Many companies use and continue to use short-time work instead of terminating employees. Since the beginning of the Corona crisis, almost 1.2 billion euros in short-time work allowances have flowed to Upper Austria” says Achleitner. After the extension, however, Achleitner needs a step-by-step return to regular operations. The prerequisite for this is that the health situation allows it.

Until then, people on short-time work should in any case use the time for further training. “Companies get 60 percent of the further training costs reimbursed by the AMS if they enable their employees to qualify during short-time work,” says the State Economic Council.

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