Netherlands: Parliament extends short-time working after January 1, 2010

Originally, Minister for Labor and Social Affairs Piet Hein Donner wanted to decide after January 1, 2010 about a possible extension of short-time working (Deeltijd WW). Parliament decided otherwise and a majority decided, on October 16, to vote for the extension of short-time working after January 1, 2010. The current system allows businesses affected by the crisis to put their employees aside without having to lay off (see our dispatch No. 090340). Unemployment insurance (UWW) takes over, up to 70% of wages. This year, the system was already used for 33,310 employees. €330 million were used out of a total budget of €950 million. Fewer businesses have appealed to it since September, but sectors such as construction will still be under the effects of the crisis in early 2010. Besides, Piet Hein Donner told the Parliament that he would look into SMEs’ problems in services. He acknowledged that it was easier for a large production unit to stop machines and send people home than for a craftsman or a salesman to reduce their workforce, at the risk of loosing customers.
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effects of the crisis in early 2010. Besides, Piet Hein Donner told the Parliament that he would look into SMEs’ problems in services. He acknowledged that it was easier for a large production unit to stop machines and send people home than for a craftsman or a salesman to reduce their workforce, at the risk of loosing customers.

Planet Labor, October 20, 2009, No. 090955 – www.planetlabor.com

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