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The crown crisis is causing record unemployment in Austria, the second lockdown exacerbates the situation. This is the case in the labor market.
Labor Minister Christine Aschbacher (ÖVP) expects there will be half a million unemployed in Austria by the end of 2020. For comparison: in December 2019 just under 350,000 people were registered as unemployed with the Public Employment Service; In October 2020, the latest figures showed 424,000 people out of work. Not only the second lockdown is responsible for the increase, but also the annual increase in unemployment in winter.
As the labor minister estimates, the number of unemployed people losing their jobs due to the crown crisis alone is likely to rise by 20,000 to 90,000 in November and December compared to October. According to economic forecasts, no relaxation is expected in the foreseeable future: the unemployment rate is forecast for 2020 at 9.9 percent and is likely to decline only very slightly to 9.7 percent in 2021.
Revolves around the “unfair” AMS bonus
There has also recently been a stir over the “crown bond” for the unemployed in the crisis. As in the period from May to August 2020, up to 450 euros will be distributed to those affected. The new unemployment benefit is scheduled for the three-month period from October to December 2020. Approximately 410,000 beneficiaries should benefit. But: many of those affected do not receive the bonus, warned ÖGB president Wolfgang Katzian.
The reason: only those who registered as unemployed during the period are eligible for the bonus. Anyone who was on sick leave took advantage of the additional payment, because then the unemployment benefit was not paid but the sickness benefit and the right to the single payment no longer applies. “Here people who are already having a hard time are being punished for getting sick. This regulation is more than unfair,” Katzian said.
