Short-time work in lockdown

Corona short-time work has been extended from 1.10.2020 to 31.3.2021 ("phase 3 short-time work"). Due to the new protective measures (the “new lockdown”) against the spread of COVID-19, the social partners have now adjusted short-time work in some ways.

The most important innovations can be found here:

Retroactive application from 1.11.2020

Retroactive applications for short-time work starting from 1.11.2020 are possible until Friday, 20.11.2020.

Reduction of working time

Up to now, working hours for phase 3 short-time work could only be reduced to an average of 30-80% of their usual amount. If the usual working hours were to be reduced to less than 30%, an application to this effect (Supplement 2 of the SPV) had to be expressly approved by the social partners.

Now, for companies directly affected by the lockdown, the reduction of working hours below 30% (Supplement 2 of the SPV) will be approved by the Austrian Economic Chamber on a flat-rate basis; the Austrian Trade Union Federation will report back to the AMS (Employment Office) within 72 hours.

Applications for retroactive reductions below 30% of work hours are possible for all companies.

In November 2020 or during the lockdown period, 0% work hours is possible. It is permissible, therefore, to cut working hours to 30% or 10% of what is usual.

Economic justification

An economic justification for applying for short-time work (Supplement 1 of the SPV) must be attached to the social partner agreement (hereinafter referred to as "SPV"). 

Until now, this had to be confirmed by a tax consultant, accountant, or auditor. Now this is no longer required for companies directly affected by the lockdown or applying for Corona short-time work only for the month of November 2020.

Apprenticeship training during short-time work

Previously, phase 3 short-time working for apprentices was only possible if 50% of the lost working time was used for training and occupationally relevant measures over the entire short-time work period.

 Now, there is no training obligation for the lockdown period.

Tip regulation

For companies directly affected by the lockdown and whose employees are covered by the regulations on tip allowance, employees on short-time work will receive EUR 100 net per month for November 2020 or the period of the lockdown. The payment is to be made by the companies and will be remunerated by the AMS.

Entitlement to remuneration for short-time work

As before, employees will receive 80% to 90% of the net remuneration received before short-time working. Employers pay for the work actually performed. Employers at first also pay the so-called short-time work support for the hours not worked (so-called lost hours), which in turn is repaid by short-time work support from the AMS.

In the case of phase 3 short-time work, wage increases, such as increases under collective agreements or biennial leaps, must also be considered when calculating short-time work pay.