A grid of measures to support for workers and the unemployed against the effects of coronavirus, implements since the start of the pandemic the Ministry of Labour and Social Affairs, providing, so far, around €6.4 billion to around 3 million beneficiaries.
According to the Ministry of Labour, this is the largest and most massive programme of support for workers and unemployed people in recent years, which will last as long as the pandemic continues.
The support measures that are applied are horizontal, such as, for example, the suspension of employment contracts with payment of the special purpose compensation to workers of enterprises which have suspended their operations by order of a public authority or are seriously affected by the pandemic, the Employment Support Mechanism «COOPERATION», etc., but also targeted and specific categories, such as workers in the tourism and culture sector and self-employed scientists.
Including appropriations for coverage of insurance contributions, the measures for workers currently amount to €4.7 billion. (EUR 3.2 billion of direct wage support measures and EUR 1.5 billion to cover social security contributions). In this amount, including the payment of the special allowance for the suspension of employment contracts in February, which will take place on Friday, as well as the €400 emergency aid to self-employed scientists and freelancers, which is expected to be paid in the near future.
At the same time, during the pandemic, the Labour Employment Agency (OAED) strengthened the social safety net by paying a total of €1.5 billion in regular and emergency benefits, which benefited 755,000 unemployed people and 52,000 working mothers.
The programmes implemented by the Ministry of Labour, through the current NSRF 2014-2020, have contributed significantly to the strengthening of employment in the midst of the pandemic.As the Ministry of Labour states, a crucial role for the next day will be played by the programmes to be financed by the Recovery Fund and the new NSRF 2021-2027, which is currently being finalised by the Ministry.
Finally, measures have also been taken to strengthen social solidarity.
As the Ministry of Labour has already announced, the measures taken so far are summarised as follows:
Pillar One: Worker support measures
Suspensions of employment contracts: €2.4 billion to 1.13 million unique beneficiaries.
Suspensions Easter bonus: €105 million.
Unilateral declarations (tourism, artists): €161.4 million to around 120,000 beneficiaries.
Scientists: €115 million to 181,046 beneficiaries.
Special categories: €50 million to 62,000 beneficiaries.
SYN-TRUST: €67.5 million to 70,835 beneficiaries.
Subsidy of insurance contributions from e-EFKA
Estimated amount of €1.5 billion (March 2020-February 2021)
Recalled that, on March 5, will be made payments for the suspension of contracts in February and past months estimated at 250 million euros, while the next period is expected to pay 40 million euros, through OAED, concerning the extraordinary allowance of 400 euros to self-employed scientists and freelancers.
Among other things, the following were foreseen:
Suspension of employment contracts and payment of special allowance
Private sector enterprises that have either suspended their operations by order of a public authority due to the coronavirus pandemic or are significantly affected by the adverse effects of the COVID-19, based on Activity Code Numbers (ACNs) defined by the Ministry of Finance, have the possibility to suspend the employment contracts of some or all of their employees.
These workers are entitled to the special purpose allowance, in proportion to the number of days of the duration of the suspension of the employment contracts. The basis of calculation is the amount of EUR 534 corresponding to 30 days. Also, full insurance coverage is provided on the nominal salary.
Exceptionally, the special allowance for November 2020 was set at EUR 800.
In addition to the above, more specific cases of suspension of employment contracts have been foreseen and applied, such as, for example, workers belonging to vulnerable groups who cannot work remotely by telework.
Support measures for seasonal workers in tourism (seasonal workers with compulsory re-employment rights in tourist accommodation and tourist bus drivers):
- Suspension of employment contracts for those who were rehired, with 534 euros per month and insurance coverage on their nominal salary and a Christmas bonus on 534 euros.
- Unilateral declarations for the months from June to October 2020 with 534 euros per month, on this amount insurance coverage and a Christmas gift ratio.
- Reduction of the number of stamps required to receive a regular unemployment allowance from 100 stamps to 50.
Support measures for scientists
In May 2020, a financial aid-compensation of 600 euros was granted to scientists-freelancers belonging to the six main scientific sectors of the country, based on the main business activity code and according to their scientific-professional status, based on their VAT number (lawyers, engineers, economists, economists, doctors, etc.).
As mentioned above, the procedure for the payment of the EUR 400 emergency financial assistance to self-employed scientists income criteria (family income, drop in turnover), through the OAED.
The Ministry of Labour has also taken support measures for special categories of workers, for tour guides and tourist guides, but also for professionals in the field of art and culture.
Specifically, artists, creators and professionals of Art and Culture, who were registered until October 20, 2020 on the special electronic platform artandcultureprofessionals.services.gov.gr in the Information System «ERGANI», have become beneficiaries of the special allowance of EUR 534 per month for the months of September and October 2020, following their unilateral declaration. Full insurance coverage is provided on this amount.
In addition, the special purpose allowance of 534 euros per month for the months of November and December was established for those who were registered on the special platform from 13/5/2020 to 10/1/2021.
By Joint Ministerial Decision, a special purpose allowance of €534 per month will be granted for the months of January-February 2021.
In addition, it is noted that, following the adoption of a Joint Ministerial Decision, it was decided to grant the special purpose allowance for the months of January and February 2021 for employees in the tourism sector.
Pillar two: support measures for unemployed people by the OAED
During the pandemic, the OAED strengthened the social safety net, paying a total of €1.5 billion in benefits, allowances and assistance to 755,000 unemployed people and 52,000 working mothers.
In addition to regular payments, around €400 million was paid out in exceptional support measures for the unemployed, such as:
- The two-month extension of all unemployment benefits that expired in 2020 for around 370,000 unemployed people.
- Financial support of €400 for 250,000 long-term unemployed.
- Monthly compensation for 20,000 seasonal workers in tourism and catering with no compulsory re-employment during the summer months.
The duration of all three measures is extended to 2021 and the relevant ministries have already initiated the necessary arrangements.
Specifically:
- The duration of the regular unemployment benefit has been extended for two months for those beneficiaries whose benefits expired in January-February 2021.
- Long-term unemployed people who are not subsidised will again receive financial support of €400.
- Unemployed persons from the tourism-repatriation sector who are not obliged to be rehired will receive an extraordinary allowance of 400 euros for the months of January and February 2021.
Pillar three: NSRF programmes
According to the Ministry of Labour, they are being implemented:
- Two programmes to promote the employment of unemployed graduates: the first for young people aged 25-29 and the second for people aged 30-45, through training in the Information and Communication Technologies sector. The total budget of both programmes amounted to approximately EUR 7.3 million and benefited 1 001 young unemployed persons aged 25-29 and 1 374 unemployed persons aged 30-45.
- Promotion of employment, through public benefit programmes, in 56 municipalities and 37 departments of the Ministry of Environment / Protected Area Management Agencies, with a budget of €46 million and a total of 7,114 beneficiaries.
- Promoting employment, through public benefit programmes, for 36,500 people in municipalities, regions, ministries and other bodies (budget: €154 million).
- A public benefit programme in Reception and Identification Centres and temporary accommodation structures, through municipalities, regions and the Ministry of Migration Policy, with a budget of €31.2 million and a total of 2,082 beneficiaries.
Pillar Four: Measures to strengthen social solidarity in the face of a pandemic
- As part of the response to the consequences of the pandemic, it was decided to double the payment of the Minimum Guaranteed Income to all beneficiaries in December 2020. The measure affected a total of 257,452 households with almost 500,000 beneficiaries. The amount of the additional payment amounted to €56 million.
- An extraordinary child-based allowance to households-beneficiaries of the Minimum Guaranteed Income was paid during the first lockdown to 50,128 beneficiaries of the Minimum Guaranteed Income who had at least one minor member. In particular, income support of EUR 100 was provided for the first child and EUR 50 for each subsequent child, with a maximum of EUR 300 in total for each beneficiary. Budget: EUR 8,6 million.
- Strengthening of Social Welfare Centres by recruiting temporary staff: €12 million.
- Measures for the protection and logistical support of private and public care facilities for the elderly: €2 million.
