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As soon as the government decides to announce another strike in England, it becomes clear that important things need to be done to protect jobs.The question is - what?As many businesses are forced to close and others face lower incomes, there is a sharp increase in the risk of unemployment.The unemployment reduction program, which helps prevent unemployment from spikes during the first lockout in the spring, is scheduled to end on the day the new locks are announced on Oct. 31.

The government initially joker123 announced a one-month extension - then on November 5, President Rishi Sunak announced that the extension would be five full months.Previously, under the program, workers were stopped and the government paid 80% of their wages.The Chancellor also increased the generosity in supporting self-employed workers to 80% of the average three-month profits, totaling £ 7,500.



Why did he do it and is it the right thing to do?


Incomplete project expansion A fur blanket across the country is the easiest option. The program, the UK coverage, ends gradual negotiations with leaders in various parts of the UK about support that will provide businesses facing greater restrictions in their area.In addition, the expansions of the original framing structures are easier to implement and understand. Most businesses and workers are already familiar with it.The system running the program will still work in the event of a second wave, Sunak told the council.


He also argues that the decision to expand the program for five months is a necessary measure to give businesses clarity in their planning for the economic downturn, perhaps longer and more severe than previously feared.Mr Sunak told the council: "As we have seen from the first shutdown, the economic impact will be longer for businesses and areas than the duration of any restrictions.I think it's the right thing to do in the current situation," said Carsten Jung, a senior economist at the Public Policy Research Institute. "The last thing announced was only a month, and that doesn't provide enough assurance for businesses to plan ahead.



Is it just slowing down the inevitable?

Furlough aims to keep workers temporarily working until better times. Being linked with employers means they can return to work as soon as conditions improve, with no costs and uncertainty in their job search, recruitment and training.But critics argue that much of the work that was so expensive kept by furlough will not return.For example, if many people work from home instead of traveling to town, will the jobs that make coffee and sandwiches return for the same amount?


Sainsbury's former chief executive Justin King told BBC Radio 4's The World at One, "We will look back at this time as a certain amount of money spent on the decline as it is. Have spent just avoid the inevitable In addition to being a waste of money, some argue that keeping workers at these 'zombies' jobs will make them stop training new, more productive roles and slow their recovery. They argue that the money can be used to support the income of the unemployed and help them train better.However, much work in pubs, restaurants and live performances will continue once the epidemic is over, Jung said.

We didn't expect the entire hospitality industry to go away and a lot of work to be wasted.He added "Many non-responsible jobs have been canceled,he added.And it is unlikely that businesses will empty their workers without the opportunity to do a new job as they still have to pay the national insurance and pension, said Dan Tomlinson, senior economist at the Resolution Foundation. "They still have some skin in the game.


Are we able to expand the reduced projects?


One of the big downsides to the cost is expenses - the Resolution Foundation estimates it could cost around £ 6 billion in the first month if 5.5 million workers take on that burden, as the Bank of England estimates.That expense, however, will fall in the coming months as more people return to work when the economy opens again.at normal times, that would be a huge number. But it's not so big in the context of the enormous sums of money spent fighting the coronavirus outbreak.


The government is expected to borrow as much as £ 391 billion this year - more than £ 1 billion a day, according to the Office of Budget Responsibility.So far, there have been little signs that the government is close to the limit of what it can borrow. The rate at which investors are accepted to lend money to the government is still low, despite a substantial increase in borrowing this year.By benchmarking, the effective interest rate for ten-year government lending is 0.23%, according to Bloomberg data.However, even if the interest rate is low, all of these premium borrowing remains a burden for the next generation to bear. receive