Italy: government proposes to reduce working time to prevent layoffs

“Fix employment within the company”. According to the Confindustria employers’ association, 600.000 jobs (1 million according to unions) would be in jeopardy because of the crisis. In this tense context, the Minister of Labor, Maurizio Sacconi, took up the left party’s former slogan against unemployment: “Work less, work for all”. He also called on businesses “not to give the impression that the first difficulties translate into staff cuts”. Following the example of Germany, which decided to extend to 2009 the measure enabling businesses to reduce working time by compensating the gap in employees’ income via subsidies, the Minister presented, during an interview with the La Repubblica daily, his proposal for a “short week.” His goal is to “fix employment within the company” so the latter won’t let go of “the human capital with the very first signs of the crisis, whereas it is the patrimony it needs for revival.” Mr. Sacconi plans that businesses may reduce working time via the Cass Integrazione Ordinaria (CIGO, see our dispatch No. 080932). However, the latter mustn’t turn into “an always-open faucet.”
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sis, whereas it is the patrimony it needs
for revival.” Mr. Sacconi plans that businesses
may reduce working time via the Cass
Integrazione Ordinaria
(CIGO, see
our dispatch No. 080932
). However, the latter mustn’t turn into “an
always-open faucet.”

Insufficient measure.
Without being opposed to the measure, unions still say it isn’t enough.
Especially since the CIGO’s deficit widened really fast in 2008, with a 525% increase. This worsened the fears of
seeing the funding for social dampers pla

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