Furloughing furlough: what’s next for jobs?
In 2020 millions of people learned what the word “furlough” meant. Most OECD countries have deployed such programmes during the pandemic. In April 23% of workers in Britain, France, Germany and Spain were placed on short-term leave. That figure has since fallen to 9%. But though furlough schemes protect workers during a temporary crash, they also prevent them from moving from declining industries to thriving ones. So when Britain’s scheme expires at the end of this month, the result could be a painful increase in unemployment in the short term, but a better adjusted economy in the long term. Others, by contrast, seem to be putting off the pain. Spain has extended its scheme to the end of January. And France’s will run for as long as two years. Even in Britain there is pressure to do the same. Today the country’s chancellor may announce an extension to the scheme in some local areas still in lockdown.
网友评论