The use of short-time working to respond to the coronavirus crisis has been requested by 337,000 companies for 3.6 million employees, according to Muriel Pénicaud, the Minister of Labor.
“This device, which now concerns one in five employees, is in full rise “, recognized the Minister recalling that this measure was intended to“ protect jobs ”and to avoid layoffs.
70% of gross salary
Partial unemployment compensates the employee up to 70% of gross salary and 84% of net salary. It is now fully supported by the State up to a gross salary of 4.5 times the minimum wage, which represents 95% of wages.
Beyond this, the differential is the responsibility of the employer. Companies have 30 days to file their request, with retroactive effect. No response within 48 hours from the regional labor office on which they depend, the request is considered to have been accepted.
A cost of 11 billion euros?
Muriel Pénicaud did not give a figure on the cost of this measure. But according to those around him, this represents, over a period of three months, a potential expenditure of 11 billion euros. Initially, the government had anticipated 8.5 billion budgeted by the amending finance bill.
“These costs are an investment, it is our rebound to leave as soon as possible after the crisis,” said the Minister of Labor. And to emphasize that in the United States, where there is no partial unemployment, “there were in a week only three million layoffs. “