Austria: government announces further cuts to employers’ social contributions in the even of short-time working

“With these new measures, it should be easier for businesses to use short-time working, which will mean fewer layoffs.  For employees, businesses and the State, it is better to keep jobs in businesses this way” Rudolf Hundstorfer explained in a press release introducing the new short-time working measures which will be sent to the Austrian Parliament on Wednesday.  “The short-time working system was very effective during the 2009-10 crisis.  It is one of the reasons why Austria and Germany, where this system was used at its best, got out of the crisis faster and better than many other European countries” added Rheinhold Mitterlehner in this joint press release published by the two Ministries.  During the previous crisis, over 66,000 short-time working measures were implemented in Austrian businesses.  Since September 2012, about 30 businesses have appealed to the system again for 2,200 employees.  “We’re not waiting for a crisis as bad as in 2009 but we would rather offer good conditions to businesses as a precaution to face an economic slowdown” Mitterlehner also added.  Negotiated between the two parties to the government coalition, the measures announced by the two Ministers were globally well accepted by the social partners.  Thus, it seems nearly certain that the Austrian Parliament will vote the amendment.
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and Germany, where this system was used at its best, got out of the crisis faster and better than many other European countries” added Rheinhold Mitterlehner in this joint press release published by the two Ministries. During the previous crisis, over 66,000 short-time working measures were implemented in Austrian businesses.

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