BUSINESS

Low take-up for the labor subsidy plan

ROULA SALOUROU

TAGS: Finance

With its eyes fixed on July, a crucial month, the government is already examining proposals for improving, changing or even limiting the Syn-Ergasia labor subsidy program, which in its first 10 days has met with very little interest on the part of enterprises.

Many companies hit hard by the coronavirus crisis have not applied for the 60 percent coverage of workers’ original salaries and of employers’ social security contributions up to July 31.

Although no official data have been released yet, sources say just over 3,000 enterprises have applied to benefit from the program concerning the reduction of the working week of their 33,100 employees.

Senior government officials say it is possible the coverage of part of employers’ contributions could be extended up until the end of the program on October 15.

They also have not ruled out certain interventions per sector or region, depending on the problems faced by enterprises, so as to achieve the highest possible participation by corporations.

The government’s original plans entailed spending 1 billion euros on the program, but this may also change.

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