The government launched a measure for a shorter working week for employers with more than 10 employees. The measure is available for the period from June 1 until the end of the year and amounts to HRK 2,000 (€265) per worker.
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[close]The Ingka Group, the owner of most IKEA stores, announced that it had repaid aid received from the Serbian government to cover wages for furloughed staff during lockdown, and was about to do the same in Romania. The world’s biggest furniture retailer will also repay aid in Belgium, Croatia, the Czech Republic, Ireland, Portugal, Spain and the United States.
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76% of Swedes are looking for a job
June 16
76% of Swedes say they are actively looking for a job, regardless of whether they are working or not, according to a new survey from Swedish recruitment firms Poolia and CareerBuilder. The survey aimed to find out how Swedes’ career and job searches were affected during the pandemic. The survey showed that of those who are not looking for a job, 40% state that they are open to contact from recruiters, while 19% refrained from applying for a job because they think it is safer to stay with their existing employer.
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[close]According to the Statistics Bureau (SURS), the average real net monthly earnings rose by 11.5% month-on-month to €1,266 in April, after decreasing by 1.2% in March. The statistical office furthermore stated that the crisis resulted in a drop in the number of persons in paid employment and an increase in average gross and net earnings compared to earnings for March.
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[close]Workers from Ukraine and Belarus will be able to come to Lithuania more easily after the lockdown ends. The head of Lithuania's Migration Department says not only foreigners who permanently reside in Lithuania or already have a valid work permit, but also those who will be issued national visas for work will be able to come to Lithuania.
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[close]The Social Ministry and the Unemployment Insurance Fund are to offer job mediation to those short-term foreign workers who have lost their jobs but have the right to continue working, in order to more flexibly match the labour supply and the need for seasonal labour.
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[close]The number of workers on payrolls dropped by more than 600,000 between March and May. Meanwhile, the number of people claiming work-related benefits - which includes the unemployed - was up by 126% to 2.8 million. The early estimates reflect the impact of around six weeks of lockdown, but economists say the full effect on employment will not be felt until wage support schemes end in October. A total of 9.1 million workers are having their wages paid through the government's furlough scheme - more than a quarter of the workforce.
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[close]The coronavirus crisis ignited a new debate about the minimum wage. Trade unions asked for an increase from CZK 14,600 (€545) to CZK 16,000 (€597). The rise would help in recovering the economy by boosting consumption. However, the employers’ representative said that their main focus at present was keeping afloat. The government, which is responsible for setting the minimum wage if trade unions and employers cannot reach an agreement, is planning an increase in 2021.
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[close]Georgian, Russian and Ukrainian workers were left homeless and stranded during the coronavirus pandemic, after which municipal authorities had to support them. Migrant workers not only lost their jobs but also shelter and the possibility to return home. Some local residents also sought to help with charitable acts.
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[close]The government, unions and employers have reached a definitive agreement about a new pension system. In the new system, the level of pensions will not be based on coverage ratios and official interest rates, but will instead depend on stock exchange developments. The state pension age will rise less quickly than originally planned, and there will be an early retirement option, aimed at people doing hard physical work. The reforms aim to spread the burden of paying for pensions more fairly across the generations. The unions will discuss the agreements with their members.
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[close]A government package aims to ensure that employees do not lose their jobs and that they have a decent income. For this reason, the COVID Wage Supplement will be granted until September. The government is also granting a tax refund to 210,000 employees, covering their work in 2018, and it will support a skills development scheme.
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