Over 2,400 workers face partial unemployment
(CS) Luxembourg's “Comité de conjoncture” has granted 41 requests to place employees under reduced working hours from January, with a total of 2,457 workers affected.
The companies employ a combined 4,280 workers, meaning that well over half of them will work under partial unemployment starting January.
This means that companies can reduce costs, with the state compensating lost wages. Partial unemployment is granted to companies in a tough financial situation.
If the company is in dire straights because of the economic environment the state pays for a maximum of 1,038 working hours, per employee per year. If the problems are based on structural issues, the state takes on only 519 hours per employee per year.
Companies need to re-apply on a monthly basis.
The economic committee on Wednesday announced that it had rejected three demands made by Luxembourg-based companies for partial unemployment during the month of December.
Demands were up compared to November, when 41 companies applied for reduced working hours and 38 requests were granted.
The number of workers affected was also up from 1,819 in November.
The next meeting of the economic committee is scheduled for January 29, 2014.