Extension and reintroduction of corona measures for working life

On 20 October 2021, 294 new cases of infection were registered in Norway. Although the infection rate is significantly lower than this spring, covid-19 still creates problems for parents with children in kindergarten and school. There is also still some uncertainty in the labour market. The Government has therefore announced that it will extend the corona measures for working life, as well as reintroduce a measure intended for freelancers and the self-employed.

The measures consist of several special rules and are according to the newly appointed Minister of Labour and Inclusion Hadia Tajik a necessity to create security in what for many is still a difficult time.

1. Care allowance and sickness benefit

The Government's proposal means that parents who have children in quarantine, or who have children at home because kindergarten or school is completely or partially closed due to covid-19, will be entitled to care allowance. Even if the quota for the number of days with the right to care allowance has been used up, parents will still be entitled to care allowance if the child has to be kept at home due to special infection control considerations, and when school or kindergarten is completely or partially closed. The scheme is proposed to be extended until and including 31 December 2021.

During the same period, employees who are absent due to covid-19, or due to suspicion of such an illness, will be entitled to sickness benefits.

2. Wage obligation and daily unemployment benefits

The Government has also proposed extending certain special rules on temporary lay-offs and daily unemployment benefits. For employers, the extension will mean that they can be exempted from the wage obligation during temporary lay-off up to and including 31 December 2021. For temporarily laid-off employees and the unemployed, the extension has the effect that the temporary scheme with an increased daily unemployment benefit rate is continued in the corresponding period.

This means that the daily unemployment benefit is calculated with 80% of the calculation basis up to 3 G (NOK 314 148,00 as per 2021) and then 62.4% of the calculation basis. Recipients of daily unemployment benefits, who would otherwise have used up the daily unemployment benefit period, will be entitled to daily unemployment benefits until 31 December 2021.

In addition, the temporary rules on grading daily unemployment benefits will be extended during the same period. This means that an employee who receives daily unemployment benefits can work 60% of previous working hours without losing the right to daily unemployment benefits.

3.  Freelancers and self-employed

Many self-employed and freelancers lost income as a result of the corona outbreak. A temporary scheme was therefore established to compensate for the income lost due to covid-19. The scheme was authorized in a temporary law that expired on 1 October 2021. The Government has now submitted a proposal for a new temporary law to reintroduce the scheme, which will mean that the scheme with compensation benefits for the self-employed and freelancers will apply from 1 October 2021 to 31 December 2021.