The idea of replacing layoffs by working time cuts with wage compensation from the State was Ignacio Fernandez Toxo’s, leader of the Workers Commissions (CCOO). “Employees in ailing businesses could work only five or six hours a day to reduce wage costs. Unemployment insurance funds would pay for the supplement” he explained, adding that it could profit 450,000 people. “This short-time working system would be the lesser of two evils compared with layoffs and allow the employees affected to maintain a relationship with the company.” Today, the system for reducing activity follows a heavy procedure and employees’ compensation is taken from their right to unemployment benefits (see our dispatch No. 081033).
. “This short-time working system would be the lesser of two evils compared with layoffs and allow the employees affected to maintain a relationship with the company.” Today, the system for reducing activity follows a heavy procedure and employees’ compensation is taken from their right to unemployment benefits (see our dispatch No. 081033).
Positive reactions. Candido Mendez, UGT secretary, agrees with the analysis of his CCOO counterpart, while warning that “the situation in Germany isn’t tran
…Do you have information to share with us?