Ak: Ams "Intermediate Parking" Costs Almost 700 Million Euros per Year

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LINZ. Chamber of Labour bt criticism of this practice - little understanding of the labour market service

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The "intermediate parking" of employees in the labour market service (AMS) causes up to 700 million euros of costs annually, the Arbeiterkammer Oberösterreich (AK OÖ) criticises. OÖ. The Arbeiterkammer OÖ criticizes that it is a common approach of domestic companies to terminate employees in order to save wage costs in phases of weak order situation, and then to stop them later. This "intermediate parking" of personnel is supposed to be around 6…

Salzburger Nachrichten

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The "intermediate parking" of employees in the labour market service (AMS) for example in the low-seasons in tourism or in the slump in construction causes annual costs of 600 to 700 million euros. These are incurred for unemployment benefit, emergency assistance and social security contributions, which the AMS has to pay for the job seekers. This is evident from a recent WIFO study on behalf of the Chamber of Labour OÖ.

Kurier

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Wifo study: Unemployment rate would be 1 percentage point lower without the practice of quitting and reinstating.