Gabriel Felbermayr:

“Mistakes have certainly been made during short-time work”

WIFO boss and economist Gabriel Felbermayr

(Bild: Martin Jöchl)

Corona short-time work cost 50,000 euros per job. This made it the most expensive corporate aid during the pandemic. Economic researcher Gabriel Felbermayr said on Tuesday evening that mistakes had certainly been made during short-time work and that there had been scattering losses in the heat of the moment.

The director of the Austrian Institute of Economic Research (WIFO) said on "ZiB 2" that deductibles were important, for example from companies, but also from employees. According to him, these were abolished. In addition, the Public Employment Service Austria (AMS) and economic research institutes should have been involved at an early stage.

At the same time, the economist pointed out the "heat of the moment" and described short-time work as a fundamentally good instrument. The legal basis had been constantly changed, but the government had not always learned the right lessons from the developments.

Corona short-time work cost 50,000 euros per job for which it was approved (application pictured).

(Bild: Scharinger Daniel)

No law for repayment
Should companies, as in Switzerland, pay back coronavirus subsidies if they have made a profit? When asked this question by interviewer Armin Wolf, Felbermayr recalled that the legal basis for this would first have to be created in Austria. In general, it is important to be better prepared for the next crisis and to have more data. After all, a similar situation could not be ruled out again.

By the end of 2022, almost ten billion euros had been paid out for short-time work in this country. According to ORF research, most of the money went to AUA and Vienna Airport with 261 million euros and 107 million euros respectively. Other airlines, XXXLutz, Casinos Austria, Magna and Swarovski also received a lot of support. The Vienna State Opera is also among the 15 largest recipients.

Who made profits despite short-time work
Austrian Lotteries, which did business via its website and tobacconists that were always open, also received short-time working aid. T-Mobile, for example, received subsidies despite making a profit. 

The employees of the Court of Audit had already criticized two years ago that the allocation of short-time work was not very transparent. The guidelines were constantly changing.