Temporary layoff scheme to be extended to January
Around 49,000 workers in Catalonia are affected by furloughs introduced at the beginning of the pandemic
The temporary layoff scheme brought in to help businesses and workers at the beginning of the pandemic is set to be extended further until January 31, 2022.
The temporary layoff scheme sees the Spanish government cover 70% of workers’ salaries up to €1,100 for 196 days, and then 50% thereafter. In some cases, the companies pay the remainder of the wages, but they are not obliged to do so.
The Spanish minister of social security, José Luis Escrivá, is confident that the extension, which will last until 31 January, will be the last one after the pandemic.
"This would mean that we have overcome the pandemic once and for all," he told Catalan public broadcaster TV3 on Wednesday.
In the same interview, the minister explained that around 49,000 workers in Catalonia are currently affected by the ERTO temporary layoffs. Of these, approximately 25% are based in the tourism sector.
Companies who are availing of the temporary redundancy scheme will have to re-apply before October 10, as they will not be renewed automatically.
Additionally, the minister said that the training courses offered to employees, a necessary condition for businesses to keep their exemption from social security contributions, will be financed by the Spanish government.
The training sessions can be done between October 1, 2021, and June 30, 2022.