Despite short-time working, the corona crisis has brought unemployment to Austria as high as it has been for a long time. AMS boss Johannes Kopf commented on the sad record in “ZiB2”.
At the same time, 250,000 short-time workers were sent across all industries. Even the ORF had to use parts of its 3,000 employees for the work model supported by the AMS. On the evening of the extraordinary situation, AMS board member Johannes Kopf was a guest in the “ZiB2” studio via live connection.
“In the past 10 years, we have never had more than double-digit numbers of companies who have registered short-time work,” says the AMS boss. Even for the last economic crisis, there were only 250 applications. However, since the government radically changed the model, it has become increasingly attractive.
In the meantime, 13,000 requests for short-time work have been received by the labor market service. A “Hercules task”, as Kopf has to admit to Armin Wolf. “We have the problem that an insane number of applications are deficient.” But that is not necessarily the fault of the companies, the situation is difficult for everyone. The AMS increased its number from 20 to 500 employees who only deal with short-time work.
“There is no blueprint for such a crisis”
Companies that are now waiting for approval like on hot coals are asking Kopf for “a little patience”. In the long run: “I can’t give you an exact deadline, but now it starts. We will approve a larger number of applications every day.” The AMS had already sent out 1,500 permits on Tuesday.
“We really do everything possible to help quickly,” said Kopf. And: “There is no blueprint for such a crisis”.
Would it still be possible to improve short-time work? Many companies that would now submit applications would have liquidity problems. A credit model might be needed here, explains the work expert. In terms of politics, however, he appeals not to change the current short-time working model again. Kopf expects numerous further applications in the next few weeks.
At the same time, the AMS boss also warns of abuse: “We’re not only talking about repayment of the funding, but also about a prison sentence.” Short-time offenders and subsidy fraud were to be investigated with spot checks, on-site checks and on the basis of working time records.
Unemployed: How does the record number come about?
More than half a million unemployed is a tough one for this country. But the head relativizes something: Many of the currently registered job seekers have not been dismissed or fired in the last few days. Most of the unemployed fall on those people who, because of the crisis, could not take up their seasonal job in the construction industry.
The record value will probably be broken continuously in the near future. Unemployment will continue to grow in April, according to the bitter forecast by the AMS board. How high can that go? Kopf cannot appreciate that. The further development is strongly related to the success in fighting the coronavirus.
Aftermath of the crisis
He appeals to all those willing to work: In agriculture, post, and care, people are now urgently needed. Anyone who is now starting to work in these areas “not only has a job, but also helps the general public,” said the top employment agency.
But even if the corona pandemic is over, the rosy times for the economy will be a long time in coming, Kopf dampens expectations. Unemployment will drop noticeably, but the rate of job seekers will generally remain higher than it was before the crisis began. “Let us hope that the companies and restaurants open soon. Then we will be able to reduce unemployment,” concluded Kopf.
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