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BOVAG has asked Minister Koolmees by letter to adjust the Temporary Emergency Bridging Measure for Retention of Work (NOW). Larger companies with various business activities, such as car dealer holdings, in particular are at risk of being left out of the boat due to their structure, resulting in significant job losses. Seasonal entrepreneurs, such as caravan companies, do not fit the current scheme either.

In order for companies to qualify for a compensation in wage costs, an expected turnover loss of at least 20% is required in the fiscal unit. But that is not particularly suitable for larger dealer companies, which means that they risk fishing behind the net. These are complex organizations due to the wide range of independent mobility activities such as sales, maintenance, lease, damage repair, rental and even bicycle sales, etc.

“The various sub-activities, generally divided over operating companies or divisions, all have a different time course and pattern of a decline in turnover and a different workforce. As a result, it takes a long time for these companies before the (in any case) substantial fall in turnover has started and can be properly determined, sometimes only this autumn or even later ”, BOVAG writes to the minister.

The bitter situation, according to Bovag, it is therefore possible that a fall in turnover at the level of work organizations is large enough to have to terminate this part, while recourse to the NOW is not possible because it does not yet lead to a 20% fall in turnover at the level of 'fiscal unity'.

The NOW scheme is also not workable for companies in the seasonal sector such as camper and caravan sales. As the scheme is now structured, a comparison is made with the average turnover for the entire previous year to determine the loss of turnover. For companies that are highly dependent on seasonal influences, this gives a distorted and incorrect picture of the actual situation.

Also read: Car rental in trouble, Bovag applies for compensation

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