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Building effective short-time work schemes for the COVID-19 crisis

Giupponi, Giulia and Landais, Camille (2020) Building effective short-time work schemes for the COVID-19 crisis. VoxEU.

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Abstract

Short-time work is a subsidy for temporary reductions in the number of hours worked in firms affected by temporary shocks. Evidence suggests that it can have large positive effects on employment and can be more effective than unemployment insurance or universal transfers. This column discusses how the COVID-19 crisis – with its mandated reduction in hours of work and massive liquidity crunch for firms – is a textbook case for the use of short-time work. Taking into account available evidence and the current situation, it proposes guidelines to effectively implement short-term work.

Item Type: Article
Official URL: https://voxeu.org/
Additional Information: © 2020 The Authors
Divisions: Economics
Subjects: R Medicine > RA Public aspects of medicine > RA0421 Public health. Hygiene. Preventive Medicine
H Social Sciences > HV Social pathology. Social and public welfare. Criminology
Date Deposited: 07 May 2020 08:54
Last Modified: 15 Jul 2020 23:24
URI: http://eprints.lse.ac.uk/id/eprint/104264

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