Extension of wage subsidies included in the 2021 Budget Law

25 January 2021

Following the continuation of the state of emergency, the 2021 Budget Law extended the COVID wage subsidies for a further 12 weeks.

These 12 weeks must be between 1 January 2021 and 31 March 2021 for Temporary Redundancy Fund payments and (ii) 1 January 2021 and 30 June 2021 for Ordinary Allowance and Exceptional Redundancy Fund payments.

All workers employed on 1 January 2021 are eligible, including those hired after 25 March 2020.

Using these 12 weeks is free of charge for employers. They do not have to pay any additional contribution.

The deadline for submitting applications is the end of the month following the activity suspension or reduction period. We are waiting for the Inps instructions to submit the application once the trade union phase (if any) has been carried out.

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