German Cabinet Approves Short Work Hours Extension
BERLIN -(Dow Jones)- German Chancellor Angela Merkel's cabinet has approved an
extension of government subsidies for short-shift work at companies suffering in
the recession, a government source said Wednesday.
Under the program, companies can get aid to cover part of the cost of workers
who have too little to do, thanks to the plunge in global demand for German
goods in the past year.
Business groups and economists say the policy has helped companies minimize
layoffs during the recession.
The extension would offer short-shift work subsidies for as long as 18 months
to companies that apply for them next year. Currently, the program offers
subsidies for as long as two years for companies that apply before the end of
this year.
The extension still needs approval from German parliament.
-By Patrick McGroarty Dow Jones Newswires; 49-30-288-8410; patrick.mcgroarty@
dowjonescom
(END) Dow Jones Newswires
11-25-090454ET
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