Was short-time work a miracle cure during the Great Recession? The case of Germany and Italy

Fabio Arico, Ulrike Stein

Research output: Contribution to journalArticlepeer-review

12 Citations (Scopus)


This paper considers the use of short-time work schemes as a device to mitigate the negative effects of the current global recession on employment levels. Short-time work schemes have been regarded as a popular and successful counter-cyclical policy to maintain workers in employment. However, by comparing and contrasting the experience of Germany and Italy, we argue that the effectiveness of short-time work schemes should only be evaluated in relation to (i) the institutional set-up within which they operate, and (ii) the whole set of labour market policies adopted by each country.
Original languageEnglish
Pages (from-to)275-297
Number of pages23
JournalComparative Economic Studies
Publication statusPublished - Jun 2012


  • short-time work
  • employment
  • flexibility
  • institutions

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