Short-time work: Does it save jobs?

Abstract

"During the Great Recession, 25 of 33 OECD countries have used some version of short-time work, a form of publicly subsidised working-time reductions. This column argues that despite its popularity, knowledge of the macroeconomic effects of this measure is limited. Using Germany as a case study, it's clear that the existence of a short-time work system stabilises the economy and reduces job losses by roughly 20% during a recession. However, short-time work is a lot less effective for Anglo-Saxon labour markets." (Author's abstract, IAB-Doku) ((en))

Cite article

Balleer, A., Gehrke, B., Lechthaler, W. & Merkl, C. (2013): Short-time work: Does it save jobs? In: VOX No. 12.07.2013, o. Sz.