Covid-19, Labour-market, Latvia, Markets and Companies, Wages

Payment of downtime benefits will stop after June 30. Then special wage subsidy measure will be introduced, granting employers subsidies at 50% of monthly wages in a period of four months. The maximum amount of subsidy will be EUR 430 a month.

Thus, if a monthly wage is EUR 860, subsidy will be calculated at EUR 430 a month, for example. Employees will be required to employ the person at least for three months after the wage subsidy measure has ended.

Employees will be able to apply for wage subsidies for up to 50% of its employees, but not more than 20 persons.

Employees will be able to apply for wage subsidy measures until December 31, 2021, offering jobs to unemployed people. The measure plans to engage up to 15,000 jobless people and the planned financing reaches EUR 23.5 mln.

Welfare Minister Ramona Petravica (KPV LV) said that the wage subsidy measure is a call on employees to assess whether it is possible to create jobs and employ the jobless people. "The state will ensure support so that the crisis-stricken sectors recover and may stand on their own feet again," the minister said.

It is also planned to support students who have lost jobs and introduce temporary community jobs for people who are not entitled to unemployment benefits any more.