Support to the Private Sector, Individual Entrepreneurs: Who, How, and Under What Conditions can they Benefit?

The Ministry of Labor and Social Affairs has responded to a number of questions about the 8th measure aimed at neutralizing the economic impact of coronavirus approved by the government.

  1. Who does this Government decision relate to?

The decision concerns employees and private entrepreneurs of the sectors most affected by the spread of coronavirus.

  1. Which are the areas most affected by the spread of coronavirus?
  • Hotel and hostel services,
  • Public catering services,
  • Tourism services,
  • Hairdressing and beauty salon services,
  • Retail services, including buying and selling activities in a shopping center or at a trade place.
  1. Are there any exceptions to the scope of activities described in the above list for the affected area?

Yes there are: retail sales of foodstuffs, tobacco, alcoholic beverages or medicines, regardless of their quantity are considered not affected.

  1. If the economic operator or sole proprietor is active in several of the areas listed above, how will the support of its employees be implemented?

In such cases, the size and procedure of the support of the employees of these employers shall be determined by a separate decision of the Government of the Republic of Armenia.

  1. Who is supported by this measure for employers or hired workers operating in the affected area?

Support is for hired employees, not employers.

  1. Which hired employee can get support for this event?

Citizens who have been hired in the injured sector in the period of 13-30 March, 2020 can receive support.

  1. How much support will the hired worker receive?

If the average monthly wage of an employee in January and February of 2020 exceeded the minimum wage of 68,000, the support would amount to 50% of the average monthly wage received in those months. This amount may not be less than the minimum monthly wage of less than 68,000 AMD and may not be more than double the monthly minimum wage.

If the average monthly salary of an employee in January and February of 2020 is less than the minimum wage of 68,000 AMD, then the support will be equal to the average monthly salary received in those months.

  1. How much support will there be for individual entrepreneurs working in the affected areas?

The support will amount to 10% of the person’s turnover for the 4th quarter of 2019, but this amount may not be more than double the monthly minimum wage.

  1. For what period of time is this support scheduled?

Assistance is provided as lump sum, only once.

  1. If I work with several employers working in the affected areas in a collaborative manner, how will I determine the amount and procedure of support available to me?

In these cases, the sum of all your employers’ earnings for January and February of 2020 will be taken into account, and the amount of support will be calculated as set out in Question 7 above.

  1. If I am a hired worker in one affected area and in the other case a sole proprietor, how will the amount of support I receive be calculated?

In this case, you will be counted individually as a support worker as a hired employee and as a sole proprietor. You will receive the greatest amount of support as a result of comparing the two calculations.

  1. How can I apply for support?

You can apply by visiting www.online.ssa.am.

  1. Will my personal information be published?

Yes, within the framework of this event the personal data of the beneficiaries will be published on the website of the Ministry of Labor and Social Affairs.

  1. When can I apply for support?

The order of support for this event will be approved on 9 April, 2020, after which the application procedure will be announced.

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