There were partial unemployment measures that made it possible to regulate the payrolls of countries during the crisis while maintaining employment. In addition, companies benefited from many cash flow measures that made it possible to protect the means of production and prevent the escalation of bankruptcies. In many countries, governments have proposed a moratorium on loans and mortgages, as well as postponing tax and social security claims.
In Italy, the government has released 19.4 billion euros for businesses. The sectors most affected by the crisis were especially hotels, restaurants or organizations. Benefits were made through tax reductions corresponding to 60% of rents and the abolition of some local taxes.
In addition, special assistance has been planned to mitigate losses for companies with a turnover of less than 5 million euros.
Added to this is the postponement of requests for companies with a turnover of less than 2 million euros. In addition, a six-month moratorium on outstanding loans of up to 220 billion euros has been added. Finally, it was decided to defer tax receivables in order to relieve the pressure on the cash flows of the companies.
Similarly, the German federal government has proposed postponing tax payment deadlines or reducing advance payments for companies facing liquidity problems. New possibilities were created for postponing tax payments and reducing advance payments. In addition, all enforcement measures (account liens) and delay penalties were postponed until the end of the year, as the debtor was directly affected by the consequences of the coronavirus.
The support measures taken in the United Kingdom amount to 60 billion liras. Added to this is about 15 billion property tax cancellations, 15 billion subsidies for small businesses, 22 billion loan opportunities over the course of a year. The government also increased the amount of loans available to large companies, which rose from 50 billion to 200 billion.
In France, two main systems have been implemented for company cash flow. First, if we include early repayment of certain tax credits, companies can take advantage of a 6-month deferral for tax and social fees of approximately 55 billion dollars.
Secondly, the government has implemented an exceptional guarantee system of up to 300 billion euros to support the bank financing of businesses.
In France, according to the measures taken by the Ministry of Labour, partial activity is aimed at employees who are subject to reductions of working hours applied at the workplace below the legal working time. The employee is compensated by the company up to 84% of his net salary within the 4.5 hour minimum wage limit.
The initial appropriation, estimated at 8.5 billion for the two months, has been revised according to various financial laws passed since the outbreak of the epidemic. The state partially withdrew, only paying companies compensation up to 60% of gross salary versus 70
