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Workforce Flexibility and Government Incentives in times of Covid-19 - Macedonia

Short-Term Work State Aid

Covid-19 Questionnaire

Are there any regulations in place providing an employer with possibility for flexible workforce planning such as part-time work/temporary leave which are triggered in a situation similar to a pandemic outbreak as Covid-19?

No

There are already effective economic measures imposed by the Government, which are related to direct financial support of the certain trade companies affected by the situation, postponement in tax payments, etc. As well, there are imposed economic measures, such as subventions for social security contributions as support to certain trade companies affected by the situation.

Just for clarification, the Macedonian Government adopted Ordinance for implementation of Law on labor relations in state of emergency, as well. The same stipulates the following:

The employees in the private sector that are affected by the so far imposed measures due to Covid-19, should take the unused annual leave days for 2019 up to 31 May 2020 and should use two consecutive working weeks (10 working days) as part of their annual leave for 2020 until 30 June 2020, both in accordance with the working process requirements and upon approval from the employer

The prescribed period of maternity leave is automatically extended, as well as the salary compensations up until the measures imposed due to Covid-19 are in force

Are there any governmental programs if a company needs to close totally or partially for a certain time period?

Not applicable

If state aid and/or other extra-ordinary governmental support is available, please describe the necessary prerequisites to qualify for such state aid.

The companies may apply for financial support for payment of salaries to their employees for April and May for an amount of up to MKD 14.500 (approx. €230) per employee per month provided that certain conditions are met.

If state aid and/or other extra-ordinary governmental support is available, please describe the application procedure for such state aid (e.g. how and when is the application filed with the government etcetera; what shall such application include).

The application is sent to the Public Revenue Office in electronic form via e-tax local platform up until the 7th day in each month for the previous month.

Please note that the COVID-19 scenario is constantly changing and that this information is current as of 04 June 2020. This publication should not be regarded as offering a complete explanation of the legal matters referred to and is subject to changes in the law and other applicable rules.