Overview: The Scandinavian governments' aid packages for corona-affected companies and employees

Major economic consequences have already been triggered by the outbreak of coronavirus which have and will continue to result in significant declines in turnover and redundancies. In an attempt to mitigate the serious consequences currently affecting the labour market, the Scandinavian governments have introduced several measures to save companies and employees from bankruptcy and termination.

As the outbreak of coronavirus (COVID-19) continues in Scandinavia and the rest of the world, the Scandinavian governments have introduced a series of measures. With new aid packages, the governments are attempting to shield companies and employees to the extent possible from the large-scale economic consequences triggered by the continuous spreading of the infectious disease. We are taking a closer look at the different measures here:

The Swedish government

One of the most interesting measures is the Swedish government’s introduction of a system for short-time work allowance. The purpose is that employees’ can have their working time reduced, but still receive over 90% of their salary.

The Danish government

The Danish government has introduced a temporary salary compensation scheme which will apply to companies extraordinarily affected by the outbreak which would otherwise have terminated at least 30 % of its workforce or more than 50 employees

The Norwegian government

Companies have the possibility to partly or fully temporarily lay off employees as a result of company conditions when the company cannot provide work tasks to employees in an economically sound manner.