Short-time work in the new federal states

Abstract

"With the introduction of the Employment Promotion Act (GDR) on 01.07.1990, short-time working benefit was put to use as an employment and training measure in eastern Germany, too. In particular in the first year after reunification it contributed on a large scale to relieving the pressure on the labour market in quantitative terms: at times some 2 million people, that was at that time about a quarter of all those in employment in the new federal states, were working short-time with an average of over 50% loss of working time. Since then changes in regulations as well as economic and institutional adjustment processes have brought about a steady decrease. At the end of the first six months of 1996 the statistics still revealed some 61,000 recipients of short-time working benefit. Using statistical data and findings from the labour market monitor, this article provides an over-view of the utilisation and effect of short-time working in the new federal states. By drawing comparisons with the development in the old federal states, it is possible to show the convergence trend. At the same time, in connection with this some rather fundamental questions regarding the function of short-time working benefit are mentioned and experiences are reappraised." (Author's abstract, IAB-Doku) ((en))

Cite article

Völkel, B. (1997): Kurzarbeit in den neuen Bundesländern. In: Mitteilungen aus der Arbeitsmarkt- und Berufsforschung, Vol. 30, No. 1, p. 127-149.