Many Europeans Have Been Paid Not to Work for Years

MILAN—Maurizio Ughetto has barely labored in the previous a few several years as his enterprise moved output outdoors Italy to reduce fees. But he even now collects part of his salary for the occupation at a compressor manufacturing facility that he has held for extra than fifty percent his existence.

Tapping a partially state-supported plan, the enterprise set him sporadically on paid furlough in 2004, and the durations with out perform amplified commencing in 2008. Mr. Ughetto, 48 several years aged, who can take household €1,300 a month ($one,547) when fully employed, ordinarily gets considerably less than €800 a month while on furlough.

“The furlough payments assistance hold you afloat, but it’s never adequate,” mentioned Mr. Ughetto.

As Europe reels from the coronavirus pandemic, governments in Germany, France and the U.K. are shelling out thousands and thousands of furloughed workers to keep household.

By shelling out workers’ salaries, they hope companies will hold them right until the community healthcare and financial crises move and then reactivate their firms swiftly. The insurance policies also replicate a need in Europe to keep away from the social price tag of significant-scale layoffs.