Cabinet extends easier access to short-time work

Released on 15.09. 2021

  • Application for short-time work allowance (Kug): Companies and employees with problems due to the ongoing corona pandemic receive easier access to short-time work. Photo: Robert Michael

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The German economy has been looking up again for some time. To ensure that it stays that way, the federal government is once again extending the simplified access to short-time working.

Berlin (dpa) – Companies and employees with problems due to the ongoing corona pandemic will have easier access to short-time work. The Federal Cabinet passed a corresponding ordinance from Labor Minister Hubertus Heil (SPD).

The social security contributions will be fully reimbursed by the end of the year. So far, the easing of access to short-time work allowance has been limited to companies that operate up to 30. September 2021 Introduce short-time work, also the contributions have only been fully reimbursed up to this date.

From 1st to 25. August had companies for 68. 000 People are shown short-time work in the economic cycle. According to the Federal Employment Agency, many of the advertisements were no longer due to the Corona crisis. According to the ordinance, companies heavily burdened by the long duration of the pandemic and the associated restrictions still need easier access to short-time work benefits and relief for social security contributions – especially in the entertainment industry, in retail, in the travel and tourism industry as well as in the hotel and restaurant sector Catering. This applies, for example, if companies have to introduce short-time work again at short notice even after easing.

Labor Minister Hubertus Heil said: «Short-time work has helped in the crisis. Over two million jobs were secured, it is the most stable bridge over a deep economic valley. ” The number of short-time workers has decreased, said the SPD politician on RTL / ntv «early start». But there are industries that have been hit hard, such as the event industry. “You mustn’t save at the wrong end.” The extension leads to additional expenditure by the Federal Employment Agency of around 1.2 billion euros.

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