Austria: genuine improvement to the conditions of combined pay to fight unemployment

With the moderate but constant rise in unemployment, the Minister for Employment and Social Affairs, Rudolf Hundstorfer, announced that the combined pay system introduced in 2009 – a subsidized salary allowing beneficiaries to earn, when they work, at least as much as unemployment benefits – was going to be slightly improved on January 1, 2014.  It can be paid for up to 36 months (instead of 12) and subsidies will amount to up to €950/month, as opposed to a €300 minimum today.  Businesses will also receive bonuses if they recruit apprentices under certain conditions.  (Ref.  130462)
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30 percent more than unemployment benefits. In 2009, when the crisis was at its height, the Austrian government introduced combined pay to improve the remuneration of low-paid jobs and encourage jobseekers to accept them. To receive this salary, recipients need to be at least 50 years old and find a job paid €650-1,500/month before tax. In return, the Federal State, via the Employment Service (AMS), gives employees €300/month to improve their income. So far, the system hasn’t been extremely

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