The Corona time reduction work cost 50,000 euros per job. This made it the most expensive business support during the pandemic. Economic researcher Gabriel Felbermayr said on Tuesday evening that mistakes were certainly made during the shortening of working hours and that there was waste in the heat of the moment.
For example, own risks are important, for example of companies, but also of employees, said the director of the Austrian Institute for Economic Research (WIFO) in ‘ZiB 2’. According to him, these have been abolished. In addition, the Labor Market Service (AMS) and economic research institutes should have been involved at an early stage.
At the same time, the economist pointed to the ‘heat of the battle’ and described working time reduction as a fundamentally good instrument. The legal basis has constantly changed, but the government has not always learned the right lessons from the developments.
No law for reimbursement
Do companies such as those in Switzerland have to pay back Corona subsidies if they have made a profit? When interviewer Armin Wolf asked this question, Felbermayr reminded us that the legal basis for this would have to be created first in Austria. In general, it is important to be better prepared for the next crisis and have more data. Ultimately, a similar situation cannot be ruled out again.
By the end of 2022, almost ten billion euros had been paid out for shorter working hours in this country. According to research by ORF, most of the money flowed to the AUA and Vienna Airport with 261 million euros and 107 million euros respectively. Other airlines, XXXLutz, Casinos Austria, Magna and Swarovski also received a lot of support. The State Opera in Vienna is also one of the fifteen largest recipients.
Anyone who made a profit despite reduced working hours
The Austrian lotteries, which did business via the website and always open tobacco shops, also received help with shorter working hours. For example, T-Mobile received financing despite profits.
The Court of Audit staff had already criticized the fact that the granting of short-time working hours was not very transparent two years ago. The guidelines were constantly changing.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
