Already spent around 20 billion on short-time work
“Very, very expensive”: The federal government has so far paid out 18 billion euros for short-time work in the Corona crisis.
According to Federal Labor Minister Hubertus Heil (SPD), around 18 billion euros have been spent on short-time work in the Corona crisis this year.
The instrument was “very, very expensive,” said the SPD politician in the Bundestag. “But getting used to mass unemployment would be financially and socially more expensive for this country,” he added. The reason was the debate on the final vote on the extension of special corona rules on short-time work until the end of next year. In 2021, employees who are on short-time work for more than three months should receive increased short-time work benefits.
Specifically, the regulation stipulates that short-time work allowance will continue to be increased from its usual level, namely 60 percent of wages, to 70 percent from the fourth month onwards – for employees with children from 67 to 77 percent. From the seventh month of short-time work, there should still be 80 or 87 percent of the wage. All employees who are sent on short-time work by the end of March 2021 should benefit from this. Mini-jobs up to 450 euros will generally remain free of credit until the end of 2021.