The number of short-time workers more than doubled from July to September - from 28,000 to 64,000. Since then, it should have risen further: For example, Opel announced in October that it would be shedding the late shift at the main plant in Rüsselsheim for six months. Short-time working was registered for most of the around 2,600 employees at the production plant.
For many companies, reduced working hours are an alternative to mass layoffs. Instead, employees work less for a certain period of time - or not at all. The Federal Employment Agency (BA) gives them short-time benefits so that they can bridge the crisis. Whole companies are not always affected, sometimes only individual departments.
Under what circumstances can companies register short-time work, how much money can employees be compensated for - and are there alternatives? We answer the most important questions.
Which companies and industries are affected?
Especially companies from the textile industry, from the metal and steel industry or those that manufacture electrical equipment. According to an Ifo survey, as early as September 12.4 percent of manufacturing companies expected short-time work in the next three months. "This number should be reached by now," says Timo Wollmershäuser from the Ifo Institute.
Why do companies choose short-time work?
"Short-time work is a wonderful tool for employers: after the crisis, they don't have to recruit and train new employees or employ temporary workers," says economist Wollmershäuser. Especially in times of a shortage of skilled workers, it is important for companies that proven employees remain there.
Before companies opt for short-time work, however, they usually exhaust other options first. For example: company holidays, part-time models or leisure compensation for overtime. "Many companies in the manufacturing sector first worked overtime and then separated from temporary workers," says Wollmershäuser. It was only since the beginning of the year that companies registered increased short-time work.
What does that mean for employees?
Above all, a loss of money. Because the short-time work allowance does not compensate for all lost hours: childless employees therefore receive 60 percent of the lost net wages, employees with children receive 67 percent. "In spite of the subsidy, an employee still earns less in short-time work than before, which of course hurts. But getting laid off and unemployment benefits would be a much worse alternative," says Julia Schweitzer, a lawyer for employment law. Short-time workers may also have to cut back on vacation: Since the length of the annual leave granted depends on the actual working hours, the vacation could also be reduced - and accordingly the vacation allowance.
How can companies register short-time work?
In order to reduce working hours, employers in companies without a works council need the consent of their employees. This is only possible by mutual agreement. In companies with a works council, this is usually regulated by works agreements. "Since the economic crisis, it can be assumed that large companies have works agreements with works councils. This clearly states whether and to what extent short-time work can be ordered," says lawyer Schweitzer.
As a company is under enormous time pressure in times of crisis, it is important to inform employees and the works council as early as possible. In smaller companies without a works council, employers can include clauses in the employment contract that allow them to introduce short-time work. Then the boss does not have to get the consent of the employees immediately before the short-time work.
Can employees refuse without regulations?
If an employee does not agree to short-time work without specific clauses in the employment contract, the company can, for example, issue a notice of change. Then there are three options: If the employee rejects the offer, the notice of change is converted into a notice of termination. If the employee accepts the change offer, the employment relationship will continue under changed conditions, i.e. with short-time work. Or the employee accepts the offer on condition that it is socially justified. In this case, he must call the responsible labor court within three weeks, which will then check the effectiveness of the notice of change in the judicial process.
Why do many employees agree to short-time work?
You have no real alternative. "Employees avoid such layoffs, so they are often insightful - especially those who are personally connected to their company," says lawyer Schweitzer. However, companies should also offer them something for this: "Employers can combine short-time work with further training measures. If employees have to bite the bullet, they can at least make good use of their free time." Employers and employees can apply to the BA for the costs of further training to be covered during short-time work.
How can companies apply for short-time work benefits?
Essential prerequisites for this are that they can prove the agreed short-time work and a loss of work and wages. To do this, they have to provide, among other things, economic reasons, such as collapsing orders or poor economic conditions - provided they are temporary and cannot be avoided. In addition, at least a third of the workforce has to cut at least ten percent of the working time.
The employer must apply for short-time work benefits for each employee concerned. This must be done within three months of the month for which the money is requested - otherwise the entitlement will lapse. The employer receives the subsidy from the employment agency, which transfers it to the employees together with the remuneration. The BA generally supports employees for up to twelve months. Minister of Labor Hubertus Heil (SPD) has now introduced a draft speaker so that companies can introduce special regulations more quickly in crisis situations. With the new law, employees could receive short-time work benefits for up to 24 months.