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Cabinet gives go ahead on new labour market support measures

At its extraordinary session on Monday, February 2, the Slovak Cabinet approved a draft revision to the law on employment-related services to boost the labour market, the SITA newswire wrote.

At its extraordinary session on Monday, February 2, the Slovak Cabinet approved a draft revision to the law on employment-related services to boost the labour market, the SITA newswire wrote.

Support for sustainability of employment is to operate from March 2009 to the end of 2010. Companies which preserve jobs despite serious operational difficulties and which reduce operations only for short periods so that their staff will lose not more than four percent of the work week will be eligible for these benefits.

The funds can be spent on social and health-insurance contributions paid by employers during the periods of operational difficulties. The Cabinet also gave the go-ahead to the parliament to deal with the amendment in shortened legislative proceedings.

Labour Minister Viera Tomanova is not worried that employers could misuse this assistance by reporting workers who were not planned to be dismissed. A transition to sixty-percent wage compensation requires trade union approval, which is a certain form of control, she explained.

The amendment would also temporarily introduce a government contribution for creating new jobs, particularly for job seekers dismissed from their original work a result of the global financial and economic crisis.

Another proposed measure is assistance for employers that hire job seekers who were recorded in the labour registry for at least three months. Only employers which have been in business for at least twelve months are eligible. SITA

Compiled by Zuzana Vilikovská from press reports
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