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The coronavirus in Sweden
Businesses receive increased support to deal with the crown crisis.
Among other things, support for short-term layoffs is expanded.
Linda Öhrn
Company requirements and the opposition has been strong and persistent in further support since the spread of the infection gained momentum and restrictions tightened. News came Monday that the government is expanding spring and summer business support: short-term layoffs, support for adjustment and the possibility of a tax deferral. The package is estimated to cost between SEK 13-18 billion.
“Many companies are seriously injured after having had many tough months,” says Magdalena Andersson, noting that the crisis so far has cost 100,000 people jobs.
“The purpose is to save Swedish companies and Swedish jobs through this crisis,” he continues.
The bill for all direct crisis measures in 2020 was already SEK 200 billion.
The government’s assessment is that the cost of short-term layoffs will rise from SEK 2 billion to SEK 7 billion next year when support is expanded. The large group of companies whose layoffs are due in November may have to extend them until June 30 if they are still affected by the crisis. Those who have been on short-term leave since March can continue to be, says the Minister of Financial Markets for Bolund (MP).
January to March the state bears 75 percent of the cost of layoffs and during April to June the state’s share falls to 50 percent.
“It is important that employers now also seize the opportunity for skills development,” says Per Bolund.
The adjustment aid is also extended for another three months, between SEK 5 and 10 billion. To receive support, a 50 percent loss of sales is required compared to the previous year. In addition, the adjustment aid for sole traders will be extended at a cost of SEK 3 billion.
If the crisis is prolonged, politics will respond with new extensions, according to Mats Persson, economic-political spokesman for the Liberals.
“If it is necessary to extend these subsidies, politics will act,” he says.
Business organizations it wants more companies to be eligible for adjustment support, something the moderates have taken note of, when they demand that a 30% reduction in turnover be sufficient.
“We think it’s important to get to know the companies that have the biggest problems,” says Rickard Nordin, acting economic-political spokesman for the Center Party.
The government is also extending the possibility of a tax deferral for one more year from March next year. And employers who want to withdraw unemployment insurance will continue to receive relief from the rules in 2021 as well.
Magdalena Andersson also suggests that the package travel industry can be supported, in order to replace consumers who end up in trouble, but it is not about billions.
“We take the situation in the package travel industry very seriously,” he says.
