Short-time working means budget savings worth more than 100 M euros

Government on Friday specified that, with 200,000 employees to switch on a short-time work scheme, the budget loss could reach to RON 439 million a year down from RON 493 million, the figure initially announced.

The Government at the Friday session adopted the normative act regulating the payment under the short-time work scheme. Prime Minister Emil Boc after the session explained adoption of this normative act would save approx. 200,000 jobs. During the 3-month suspension of business, the employer would have to pay 75 percent of the employee’s wage, while the state pays the rest to social security. Moreover, the employee would be exempted from the income tax.

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