Coronavirus: Castex announces new aid for companies forced to close

Jean Castex announced on Thursday evening new aid for companies subject to mandatory closings or opening restrictions due to the coronavirus epidemic, including exemptions from social charges or full support for partial unemployment.

"There is no question that you will suffer the consequences of these sanitary measures", assured the Prime Minister to a Marseille restaurateur who challenged him on France 2, while bars, restaurants and certain establishments open to the public in the Aix metropolis -Marseille and Guadeloupe are promised a closure from Saturday.

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"We have decided to exempt your social charges corresponding to the period when you are going to be closed," he continued.

These exemptions will be possible for all companies forced to close but also for those subject to scheduling restrictions if their turnover is cut by at least 50%, said Matignon.

Companies indirectly penalized by these closures may benefit from a reduction in contributions on a case-by-case basis.

Strengthening the solidarity fund

Indeed, 11 other metropolises - Paris, Lille, Toulouse, Saint-Etienne, Rennes, Rouen, Grenoble, Montpellier, Bordeaux, Lyon and Nice - have been placed in "enhanced alert zone", with bars closing at 10pm and limiting alcohol sales.

"You can call on partial unemployment, which will cost you nothing," he added.

An employee will thus see his remuneration guaranteed up to 84% of his net salary, said Matignon.

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Jean Castex also announced a strengthening of the solidarity fund set up since spring for very small businesses and self-employed people.

Administratively closed businesses and those with restricted activity (bars, events, etc.) will be able to receive up to 10,000 euros per month to compensate for the loss of their turnover.

"I asked the Minister in charge of SMEs, TPE, Alain Griset, to go to Marseille to discuss these conditions with professionals," said the Prime Minister.

According to Umih, the main union in the hotels, cafes, bars, restaurants and nightclubs sector, 15% of professionals could go out of business because of the crisis.

All were asking for new public aid for their establishments and full support by the State for their operating losses.

"It is urgent because it is a question of survival," tweeted the president of Medef Geoffroy Roux de Bézieux.