The Economic Crisis as a Trigger of Convergence? Short-time work in Italy, Germany and Austria

In all European countries, emergency policy measures have been introduced in order to counteract the employment consequences of the economic crisis. In the context of variously composed anti-crisis packages, many European countries have used Short-Time Work (STW) schemes, that is measures to subsidize a temporary reduction in working time intended to maintain an employment relation- ship. This article focuses on the issue of whether the economic crisis has spurred any convergence in the use of STW in three social-insurance countries – Austria, Germany and Italy – or whether policy change has rather occurred in a path-dependent fashion. In order to do so, the article also adopts a systemic approach, focusing on relationships of complementarity or functional substitution and equivalence among the various schemes comprising income maintenance systems to tackle the risks of partial or total unemployment.