Financial gap due to Corona: Alarm in the employment Agency

The Federal Agency for labour is needed this year to be unfavorable if there are more than 20 billion euros in financial aid from the Federal budget, since they

Financial gap due to Corona: Alarm in the employment Agency

The Federal Agency for labour is needed this year to be unfavorable if there are more than 20 billion euros in financial aid from the Federal budget, since they can't cover their greatly increased expenditure for unemployment and short - time working money. The results from a template for the recent meeting of the Board of Directors of the Federal Agency, which has been submitted to the F. A., for example. In addition to a "medium" financial forecast, which had already become known in may, it is now also the key features of the more pessimistic reading of "scenario 3" for the unemployment insurance. Off-the-record experts had hinted at least several times, that the negative scenario is probably more realistic.

Dietrich Creutzburg

economic correspondent in Berlin.

F. A. Z.

Britta Beeger

editor in the economy.

F. A. Z. Twitter

Thus, the expenditure of the unemployment Fund could be from this year, to 37.1 billion euros, higher than their current revenue social security contributions. In order to close the acute gap that can apply to the Federal Agency for the time being, only 16.7 billion euros from its own financial reserves, as shown in the template. The remaining 20.4 billion euros would have to come from the Federal budget. In normal times, the spending of the Federal employment Agency are 35 billion Euro in the year. You will double by the crisis and the recently approved expansion of services about.

The Federal government considers this scenario, apparently, for at least so realistic that you has in your recent supplementary budget provided that the new Plan and the figures is the legal framework for so-called liquidity assistance to the Federal Agency from 8 to 18 billion euros increases. A further support in the amount of 9.3 billion Euro provided for therein under the title "liquidity loans". The latter is explained by the fact that the Federal Agency has in the pace of recovery in the reserves out of a total of almost 26 billion euros saved up. A good third of it is invested in the long term and, therefore, not been available this year.

as soon As it is ready, will have to pay back the Federal Agency, the liquidity loans. The rest of the AIDS – according to the "scenario 3" would be for this year, 11.2 billion Euro needed – are however, no foreseeable income for the Federal Agency. With the current contribution rate of 2.4 per cent of the gross salary they would have, therefore, instead of 2021 and 2022, a further gap of a total of 7.7 billion euros. Whether these AIDS as loans, or (are not grants to be repaid), is formally open.

the Federal Agency device in dependency?

The authority and its Board of Directors is preparing all of this but not the only reason to worry, because the cash flows must be organized to unemployment and short-time work to pay off the money on time. It grows also a fundamental concern that the Federal Agency could be advised on the financial dependence soon in a new dependency, to hear from circles of the Board of Directors. Strictly in the interests of the contribution payer and the Insured person-oriented control could be more difficult, as long as the Federal Agency is the government in debt.

Updated Date: 22 June 2020, 16:19

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