Thursday April 23, 2020
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After hours of negotiations, the leaders of the Union and SPD agree: the short-time work allowance is increased – from the fourth month of receipt and staggered. It is a compromise.
According to the will of the Union and the SPD, the short-time work allowance is to be increased to up to 80 percent and for parents to up to 87 percent. This was agreed by the party and faction leaders of the CDU, CSU and SPD.
From the 4th month of short-time work benefits, 70 or 77 percent, and from the 7th month 80 or 87 percent of the loss of wages would be paid. The BA currently pays 60 percent of the loss of wages due to the short break for short-time work and 67 percent for parents. The regular unemployment benefit I will be extended by three months for the unemployed, whose entitlement would end between May and December 2020.
As a result of business closures and supply interruptions caused by the corona virus crisis, over 700,000 companies have already registered short-time work with the Federal Employment Agency (BA). This could affect several million employees.
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