Small business insurance holders would be helped by a government-backed short time working subsidy, it has been claimed.
A spokesman for the Federation of Small Businesses (FSB) said that such a measure would help companies to ready themselves for the eventual economic upswing.
The representative also pointed out that both the FSB and the Trades Union Congress have proposed similar schemes as a way to help small business insurance holders during the recession.
"A short time working subsidy provided by the government would help avoid redundancies and help employers retain and invest in skills to prepare for the future," he continued.
The spokesman's comments come after the Confederation of British Industry suggested an Alternative to Redundancy scheme should be introduced.
According to the proposal, business insurance holders would be able to remove employees from the workplace for up to six months and pay them twice the rate of jobseekers allowance, with half contributed by the government.
The group claimed this measure could provide companies with "more leeway" as the economy enters into recovery.
