Tillväxtverket

Apply for financial support 2021

You can read here about how to prepare your application for a short-time work allowance and/or skills enhancement initiative in 2021. It will be useful if you are prepared as much as possible before applying, as this will make the processing of the application as problem-free as possible.

Important things to remember when applying for a short-time work allowance under the programme for 2021

  • It is possible to apply for financial support up to 80 percent from January to June.
  • If you as an employer want to apply for compensation for skills initiatives, you can do so in connection with the application for a short-time work allowance. Remember that you need to have the skills enhancement initiatives governed in agreements.
  • The state accounts for 75 percent of the cost of the reduction in working hours in December 2020 to June 2021.
  • If you know that your business needs support for several months, apply for financial support now. You cannot change your application until the July reconciliation.
  • Attach the agreements for short-time work that you have with the employees. If you have a collective bargaining agreement, you must attach both central and local collective bargaining agreements regarding short-time work.
  • Attach the auditor’s statement if you have costs for pay from employment for all employees amounting to over SEK 400,000 at the comparison month.

Dates of application for the short-time work allowance in 2021

When you submit your application, you can apply for financial support for up to four months retroactively (if necessary). If you apply for financial support in March or April, you can apply for financial support from 1 December 2020 to 31 May 2021. If you apply for financial support in May, you can apply for financial support from 1 January to 30 June. If you apply for financial support in June, you can apply for financial support from 1 February to 30 June.

If you then want to apply for more support, do so in connection with the reconciliation 1-28 July. Something important to remember is that it is not possible to supplement your first application with additional support months, however you can do so only in the reconciliation. In the reconciliation, you can search retroactively from the month of March.

Please note that if you want to apply for financial support for December 2020, you must do so before April 30.

Information about your business

You will need to fill in the details for the company you are seeking financial support for. You will need to specify:

  • Corporate registration number (enter company registration number with ten digits)
  • Industry code (SNI code, can be located using a search tool in the application)
  • Bank account details for disbursement if you are granted this financial support. Please note that you can only state bank giro or plus giro. The account must be associated with the company you are applying for financial support for
  • Contact information

Comparison month

The comparison month is the reference month used for the application and to know which persons are eligible for financial support.

If you have not applied for financial support in 2020, your comparison month for a short-time work allowance in 2021 will be September 2020.

For those who have applied for financial support in 2020, the comparison month will be the month that has been the basis for calculating support for short-time work submitted in 2020 and follows from Tillväxtverkets, the Swedish Agency for Economic and Regional Growth’s, definition:

The calendar month that falls three months before the month in which the application was received, or the month that was three calendar months before the starting month of the period for which the company is seeking support for, depending upon whichever is earlier.

  • Example 1: In April, ABC Company applies for financial support for the months March-July (in part retroactively, i.e. for previous months). The comparison month then becomes three months prior to March, meaning the month of December.
  • Example 2: In April, DEF Company applies for financial support for the months April-July. The comparison month then becomes three months prior to April, meaning the month of January.
  • Example 3: In April, GHI Company applies for financial support for the months May-July (i.e. months in the future). The comparison month then becomes three months prior to April, meaning the month of January.
  • The comparison month is identical for one company registration number, meaning that a company has only one comparison month.

If you have filed more than one applications previously, your comparison month is based on the file that has the earliest month of financial support.

Supplementing the comparison month

To be able to receive support for employees who were part of the short-time work arrangements but who had an excused absence in the comparison month, you will need to provide us with information. If you want to supplement with employees, fill in the data in the Excel file (Reporting of excused absence  Excel, 216.6 kB.- information in Swedish) and submit via the supplementation form in "Min ansökan" (My Application).

Valid reasons for an excused absence:

  • approved sick leave
  • annual leave
  • parental leave
  • care of a child (VAB)
  • care of a close relative
  • absence from work due to illness
  • leave of absence for:
    • trade union assignments
    • academic studies
    • civil conscription and military conscription
    • Political/governmental assignments or
    • start-up of one’s own company.

Tillväxtverket accepts these reasons for absence as long as the other preconditions for the financial support are satisfied, including that the employee has been employed during the comparison month and returned from his/her absence to the same position and level of employment (or lower). It is also possible to obtain support for new employees who were employed in the comparison month with arrears pay from employment.

However, an ordinary general of absence is not regarded as an excused absence.

Please note that Tillväxtverket can also request that you submit (for example) a certificate for payment for sick leave, a medical certificate from a doctor, a certificate from the employer for leave together with proof of employment, or other documentation.

Background Questions

You will need to answer some basic questions about your company and business activities along with the situation the company is presently in. The questions require a “yes” or “no” response.

  • In order to receive financial support, the company must have suffered temporary, serious financial difficulties caused by circumstances beyond its control
  • You are not entitled to financial support if during the period two months prior to the first month financial support is received for until six months after the last month financial support is received for, the company decides to pay dividends or you distribute dividends, or other extraordinary compensation, or the company decides to or purchases its own shares, or decides to or effectuates a reduction in the share capital or reserve fund for repayment to the shareholders or members. If the company is part of a Group, the same rules apply to the parent company(s) that are part of the Group. However, the company can make Group contributions during the period financial support is being received.
  • If your company applies for a short-time work allowance and has total salary costs of at least SEK 400,000 during the comparison month, you must attach an opinion from an auditor to in the application. The opinion must be signed in writing by an authorised or approved public accountant or a registered auditing firm. The total salary costs is the total of the remuneration reported by the company in the employer’s tax return for all employees, including those who are not working short-time.

Apply for financial support

When you apply for financial support for short-time work in 2021, you will need to provide information about your agreements and employees. If you want to apply for financial compensation for skills enhancement initiatives, you can do that now as well.

If you have more than 25 employees, you can use our Excel template “Calculation Tool.” Tillväxtverket will return when it is published.

Procedure

  • Enter the agreement and agreement periods
  • Enter the affected employees
  • Enter periods when employees have short-time work
  • Specify any skills enhancement initiatives
  • Sign

Agreements and agreement periods

In the application you will need to provide information about the agreements and the agreement periods. A temporary reduction in working hours requires support in a central/local collective bargaining agreement or in a written agreement between the employer and the employees.

If you apply for financial support for skills enhancement initiatives, you must also have support for this in your central/local collective bargaining agreement or in a written agreement between the employer and the employees. The detailed preconditions may also be set out in hanging agreements or sub-agreements linked to the agreement for short-time work.

Download agreement templates for short-time work and skills enhancement initiatives (information in Swedish).

Employees

In the application you fill in information for employees and how they have worked short-time. If you apply for financial support in advance, fill in how employees are planned to work.

We will ask for the following information:

Ordinary working hours

The ordinary working hours stated in hours that the employee would have worked if they had not taken part in the short-time work programme.

Working hours during short-time work

Fill in the total number of hours worked by the employee during their short-time work period.

One day of absence should not affect how you count the employee’s working hours during the short-time work programme. In other words, if the employee had one day of absence (for example, was out sick or for care of a child) you should count the day as it was planned according to the short-time working programme.

You only need to provide information about the employees who have been encompassed within the support for reduced working hours during each month. For example, if an employee was encompassed within the short-time work arrangements during March and April however not during the month of May, no information should be provided at all regarding that employee for the month of May. Any absences are to be entered in a separate column in the application.

Example 1:

An employee has worked 6 hours, instead of 8 hours. Working hours under the short-time working programme for that day is 6 hours.

Example 2:

An employee has ordinary working hours of 40 hours per week and short-time work for four weeks at the agreed level 1% - 20%. The ordinary working hours is 160 hours and the scheduled working hours under the short-time working programme is 128 hours.

Working hours are scheduled:

Eight hours per day, Monday to Thursday.

Reduced working hours on Fridays, eight hours.

On one Thursday during the short-time work period, the employee is out sick. You should disregard this when calculating the number of working hours under the short-time work arrangement and enter 128 hours as scheduled.

Regular monthly salary

The regular monthly salary refers to the salary that the employee would have received in the absence of you receiving a short-time work allowance. Salary increases received by the employee after the comparison month are not to be included in the regular salary.

If the regular monthly salary is higher than SEK 44,000, the financial support will be calculated at SEK 44,000, as this is the maximum amount. State the regular salary, even if the regular monthly salary exceeds SEK 44,000.

If your company has not received short-time support from us before, your comparison month is September 2020. If your company received short-time support earlier, the comparison month is the same as the company had in 2020.

Absence, due to e.g. illness, VAB or annual leave days

You will need to fill in the application if your employees have had any absence from their work.

Non-working hours, such as paid time off, compensatory rest time or flex time

Reduced working hours, compensatory rest time, flexible working hours and unpaid leave or other approved absence should be counted in the application as being present. This is due to that such leave is based on hours earned by the employee and represents an unchanged cost for the employer.

  • Paid time off in the form of withdrawals of compensatory rest time is regarded as being working hours allocated to a different point in time, as are flex time non-working hours. This is usually to compensate for the fact that the employee has worked too many hours at an earlier time.
  • Non-working hours in the form of paid time off, for instance for a doctor’s visit or to attend a funeral, is a form of short-term paid leave that is agreed upon between the employer and employee, where the employer still has the same costs as if the employee had been at work.

On the other hand, annual leave is specifically governed in the Swedish Annual Leave Act and these days off are a statutory right. This means that it is not possible to make a reduction in working hours (or pay from employment) from any annual leave days.

Paid leave other than annual leave days is therefore considered as being present for the purposes of the calculation of eligibility for receiving financial support and are encompassed within the same rules on reduced working hours and reduction in pay from employment as any other regular salary and working hours.

Actual reduction in working hours and pay from employment

After the end of the period when financial support is being received , actual reductions in working hours and pay from employment must meet the levels of your agreements for each agreement period. If it does not, you may be required to repay the financial support. This is what Tillväxtverket then checks in your reconciliation.

How we calculate the amount of financial support

Regular monthly salary (max. SEK 44,000 per month) x part of a month x agreed level x hours present ratio x 98.6%

Where “part of month” equals “days of short-time work” divided by “days of the month.” And where hours present/attendance ratio is “days with short-time work” minus “absence days” divided by “days of short-time work.”

Example:

Isaac has reduced working hours to 60% and 40% and has been on parental leave.

Isaac has sought financial support from 16 March to 30 April.

His regular monthly salary is SEK 22,240.

Has reduced working hours to 60% during March-April and 40% in May

Was absent from work on 24 March and 7 May for VAB (care of children)

  • 16 March – 31 March (16 days): 22,240 x 16/31 x 60% x (16 - 1) /16 x 98.6% = SEK 6,366
  • 1 April 1 - 30 April (30 days): 22,240 x 30/30 x 60% x (30 - 0) / 30 x 98.6% = SEK 13,157
  • 1 May – 31 May (31 days): 22,240 x 31/31 x 40% x (31 - 1) / 31 x 98.6% = SEK 8,488

Companies with more than 25 employees participating in the short-time work programme

If the application applies to more than 25 employees who are working under a short-time work arrangement, you can submit documentation with your agreements, employees and periods for short-time work in our Calculation Tool 2021 (information in Swedish).

Skills enhancement initiatives

As a business enterprise, you can receive compensation for skills enhancement initiatives conducted by the employees during the time not working due to a short-time work agreement. Skills enhancement initiatives can be an opportunity for companies not only to survive the serious financial difficulties they are now facing, but also a means to invest in skills that can strengthen the company in the short term and long term. For the individual, it can also be an opportunity to strengthen their position, both in the workplace and in the labour market as a whole.

Compensation may be applied for retroactively from 1 January 2021, even though the application period only opened up on 29 March.

What happens next?

  • Once you have submitted your application, you will receive a confirmation e-mail and can see on "Mina sidor" (My pages) that your application has a changed status to “Submitted.”
  • An administrator will be processing your application. In the event we need additional information from you, you will be contacted. At the moment, we do not have any information on the length of processing times.
  • If your application is approved, the payment will be disbursed to the bank account you specified in the application. Keep in mind that it may take a few banking days for the money to be credited to the bank account. If your application is not approved, this will be stated the decision.
  • If you need to apply for additional financial support after your first period of support, you can do so in connection with the 1-28 July reconciliation, therefore you should not submit a new application. If you submit a new application, this risks significantly prolonging the processing time. If you need to supplement your application, this should be done in "Min ansökan" (My Application).