Extension until 31 March 2022 of special provisions concerning short-time work compensation

The extension until 31 March 2022 per Short-Time Work Compensation Extension Regulation, the Act to Consolidate Preventive Vaccinations Against COVID-19, and amendments to further regulations in connection with the COVID-19 pandemic eased access to short-time work compensation, eligibility for higher benefits, and supplementary jobs during short-time work.

16 Dec 2021 | Press Release No. 44

Until 31 March 2022, companies are eligible for short-time work compensation if at least ten percent of the workforce have loss of earnings of more than ten percent. Until that date, temporary workers can also receive support. By 31 March 2022, half of the sum of social security contributions for lost working days will be reimbursed. If during short-time work the employees have attended certain conditionally funded vocational further training classes, half the amount of social security contributions will also be reimbursed, resulting in full funding of the same until March 2022 for the staff in question. The BA recommends that companies who want their employees to qualify during short-term work get in touch with their regional employment agency's employer services.

Short-time work compensation may be received for up to twelve months. The eligibility period for employees whose claim to such compensation has been made until expiry of 31 March 2021 can be extended to up to 24 months until expiry of 31 March 2022 at the latest.

Work compensation for employees in short time with a loss of earnings of more than 50 percent has now been extended from January 2022 until March 2022. From the fourth reference month, calculated from March 2020, cover extends to 70 percent (or 77 percent for households with children), and from month seven, to 80 percent (or 87 percent for households with children) of lost net earnings. The prerequisite is either that the employees have acquired entitlement to short-time work compensation by 31 March 2021 or have been in short-time work for the first time since April 2021.

Until 31 March 2022, workers can continue to supplement their income in non-countable mini-jobs entered after the start of short-time work in accordance with Article 8 subsection 1, number 1 of SGB [Social Code Book] IV.

The most important information on short-time work compensation and on qualification during short-time work has been compiled on the Federal Employment Agency's web pages:

www.arbeitsagentur.de/kurzarbeit

https://www.arbeitsagentur.de/unternehmen/finanziell/foerderung-von-weiterbildung

 

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