Not Complying with Disability Employment Quotas Costs Businesses in Thuringia
Approximately 20% of affected businesses lack inclusion for individuals with disabilities. - Approximately 20% of holdings lack the presence of significantly disabled individuals.
In today's world, businesses in Thuringia, Germany, with 20 or more employees, must adhere to a legal employment quota for people with severe disabilities. The quota stands at a minimum of 5% of the workforce. Failure to meet this quota results in paying a hefty compensation fee, scaled according to the degree of non-compliance.
As it stands, more than one in twenty employers in Thuringia haven't hired any employees with disabilities, with the figure standing at around 20.8% in 2023. A decade ago, the share was slightly higher, at 21.1%. Companies that don't fulfill their employment obligations must pay a compensation fee that could reach up to 720 euros per month, depending on the size of the business.
Despite the efforts, only around 44.9% of businesses in Thuringia met their legal obligations to employ people with disabilities in 2023. This number represents a total of 25,000 people with disabilities employed in social security compulsory employment in the region that year. Interestingly, 79% of these employed individuals were 45 years or older, and the majority worked in manufacturing, public administration, or the social and health sectors.
In an attempt to encourage more compliance, the regional office in Thuringia is increasing the compensation fees for companies that fail to meet their employment obligations. This initiative, part of the Act on the Inclusive Labor Market, is set to take effect from January 1, 2024.
With an aging population and the ever-growing importance of breaking down prejudices, promoting the integration of people with disabilities in the workplace has become increasingly vital. To support this initiative, rehabilitation specialists serve as contact persons available in every local employment agency. There's also a wide range of funding instruments, from qualification to wage subsidies to technical equipment, available to help employers integrate disabled employees successfully.
Breaking down barriers and achieving better integration requires constant support for companies, particularly in terms of gaining employment opportunities for people with disabilities. The Thuringia government encourages awarding public contracts to qualified workshops for persons with disabilities, thereby offering more business opportunities in this area. Ultimately, this legal framework works to maintain employment opportunities for people with disabilities and ensure their representation in the labor market.
- Understanding the financial implications, businesses in Thuringia that fail to meet their required employment quotas for people with disabilities will face increased compensation fees from January 1, 2024.
- To foster education-and-self-development and break down prejudices, the Thuringia government provides various funding instruments, such as qualification, wage subsidies, and technical equipment, to aid employers in successfully integrating employees with disabilities.
- Vocational training plays a vital role in the community policy of Thuringia, as the majority of individuals with disabilities who were employed in the region worked in manufacturing, public administration, or the social and health sectors, with a significant number being 45 years or older.
