The cabinet approves plan for permanent kurzarbeit

The new fund is expected to be introduced from 2022.

Labour Minister Milan KrajniakLabour Minister Milan Krajniak (Source: TASR)

An independent insurance fund for short-time work should be established in 2022. It should introduce the permanent kurzarbeit scheme in Slovakia, which should help companies and their staff when hit by a crisis.

This stems from a concept approved by the cabinet at its October 21 session.

The new fund should be created, with contributions by employers residing in Slovakia and the self-employed. The proposal contains several possibilities for paying taxes and payroll levies, while the amount given to an employee should represent 80 percent of his/her net salary.

The new fund should not lead to a high drop in revenues for the state-run social insurer Sociálna Poisťovňa.

“We want to set it up in a way that the impact on Sociálna Poisťovňa is positive,” Labour Minister Milan Krajniak (Sme Rodina) said, as quoted by the SITA newswire.

A new fund

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