Many companies are currently struggling with declining orders, some even have to close down. Simplified access to short-time work compensation is intended to help. What does this look like? And what are the practical questions that arise during this process?
Short-time work compensation (SWC) is a key instrument for bridging loss of work due to the COVID-19 crisis.
Since SWC cannot be applied for retroactively, the employer is well advised to apply for it as soon as possible. At the same time, an accurate application is important, otherwise there is a risk that compensation will not be granted or advance payments will have to be repaid. Despite many crisis-related simplifications in the application process, the devil is in the detail.
The summary below take account of the legal situation up to 31 March 2020. Simplifications resolved in response to the COVID-19 crisis are indicated below as "NEW".