PRESS STATEMENT “The social balance of the relief packages is being undermined”

Jörg Hofmann: “The coalition is taking action to safeguard the livelihoods and incomes of workers, micro-enterprises, and the self-employed. It is making it easier to access basic income support and protecting tenants. And it is providing companies with liquidity and ensuring their continued existence. That is a good thing. However, it does not adequately protect workers’ incomes. The regulation on short-time work benefits adopted by the cabinet today stipulates that companies will be fully reimbursed for social security contributions. They do not even have to pass on the employee’s share of the contribution to their workers. This pushes millions of salaried workers to the brink of survival. In our view, this is a major mistake. It is right for the coalition to safeguard the incomes of those who are not earning wages because they are caring for children due to daycare and school closures. However, the specific provisions in the Infection Protection Act—67 percent of net wages for a limited time—are insufficient. Many will lack the money to pay their rent and cover their living expenses. This undermines the social balance of the relief packages.”

Further information and press photos of Jörg Hofmann