EU pledges €100 billion scheme for workers facing pay cuts

The European Union on Thursday announced a funding scheme for EU states to help them subsidize workers’ wages during the coronavirus health emergency.

European Commisision President Ursula von der Leyen said the Support to Mitigate Unemployment Risks in an Emergency (SURE) scheme would have a €100 billion ($109 billion) budget, on the proviso that states stump up a quarter of the cash.

“In this coronavirus crisis, only the strongest solutions will be enough,” she told a news conference in Brussels. “We have to use every means available.”

The German politician said every euro available in the EU budget must be activated to help stem the economic shock created by the coronavirus pandemic.

All EU budget rules will be relaxed so the money can reach those that need it as quickly as possible, von der Leyen added.

Read more: Coronabonds and the idea of European financial unity

An internal paper shared before Thursday’s announcement suggested that the SURE fund would require a system of financial guarantees by EU member states.

mm/rt (AFP, dpa)

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