The coronavirus - new measures to help the Norwegian economy and business
The outbreak of the coronavirus has recently led to serious consequences for the Norwegian economy and working life. We at Homble Olsby are constantly monitoring the authorities' measures aimed at businesses that are in crisis.
On Thursday, March 19, 2020, Stortinget (Parliament) adopted the first package of measures. The most important thing for employers is that the employer's social security contribution was temporarily reduced by four percentage points for two months. Temporary changes were also made to the regulations for temporary layoff, unemployment benefit and sick pay. Learn more about these changes here.
Several measures for companies and businesses were adopted by Stortinget (Parliament) on Saturday, March 21, 2020. The state guarantee scheme for loans to small and medium-sized enterprises was given a guarantee framework of NOK 50 billion. Furthermore, it was decided to restore the Government Bond Fund to, among other things, strengthen access to credit for Norwegian companies. In addition, the low rate of value-added tax, which includes passenger transport, accommodation and parts of the cultural sector, was reduced from 12 to 8 percent for a limited period of time. The deadline for payment of the first instalment of value added tax, the second instalment of the withholding tax and the employer's contribution was postponed. The decisions are pending a second time presentation in Stortinget (Parliament).
Stortinget also passed a temporary law authorizing the Government to take measures as a result of the corona virus. The law gives the Government far-reaching powers, but the measures must be necessary as a result of the outbreak of Covid-19. The second presentation in Stortinget (Parliament) is scheduled for Tuesday, March 24, 2020.
On Monday, March 23, 2020, the Government repealed special rules so that temporary laid off employees receive unemployment benefits at Easter. The change means that unemployment benefit on termination will run as normal, although it is a holiday.
Please feel free to contact us if your business has a need for adjustments as a result of the outbreak of corona virus.