Extension of COVID furlough schemes and aid for self-employed workers

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1. Furlough schemes (ERTEERTE Expediente de regulación temporal de empleo: a temporary furlough scheme where a company suspends contracts or reduces working hours.) linked to the pandemic that were active on September 30, 2021 can be extended until February 28, 2022. The company must apply to the labor authority between October 1 and 15, 2021 with the required documents; otherwise the scheme ends.
2. Companies affected by new health restrictions between November 1, 2021 and February 28, 2022 can request new ERTE schemes due to impediment or limitation of their activity. They can also switch between the two situations without opening a new scheme.
3. Companies with ERTE schemes for limited activity get exemptions from Social Security contributions if they train their workers: 80 % if they train them, and 40 % or 50 % (depending on company size) if they do not. For ERTE schemes due to full impediment, the exemption is 100 %.
4. Training is mandatory to get the higher exemptions: at least 30 hours per worker in companies with 10 to 49 employees and 40 hours in those with 50 or more, until June 30, 2022. Training also gives the company extra credit for training programs.
5. Until February 28, 2022, the limits on dividends, tax transparency, overtime and outsourcing are extended, as well as unemployment protection for people affected by ERTE schemes and the extra benefit for workers on discontinuous permanent contracts.
6. Self-employed workers keep their aid from October 1, 2021: contribution exemptions from 90 % to 25 % depending on the month, a benefit for those forced to close by health orders, a benefit compatible with self-employment, and extraordinary benefits for those already receiving them and for seasonal self-employed workers.
7. Because of the volcanic eruption in La Palma, affected companies and self-employed workers can use extraordinary contribution and unemployment measures similar to the COVID ones. A joint commission is also created to coordinate the island's reconstruction.
8. The MECUIDA Plan and unemployment aid for performing artists are extended until February 28, 2022. The minimum vital income rules for people aged 18 to 29 are also changed, with effects from July 11, 2021.

Who it affects

• Companies with COVID ERTE schemes: They can keep their ERTE schemes until February 28, 2022 and get contribution exemptions, larger ones if they train their workers.
• Workers affected by ERTE schemes: They keep receiving unemployment benefits during ERTE schemes and can access the extraordinary benefit if they have discontinuous permanent contracts.
• Self-employed workers: They can keep receiving benefits for ending their activity and contribution exemptions, subject to income and revenue requirements.
• Companies and self-employed workers in La Palma affected by the eruption: They can use ERTE schemes, contribution exemptions and benefits for ending their activity because of the volcanic eruption.
• Artists and live entertainment professionals: Their unemployment benefits and subsidies are extended until February 28, 2022.

Words worth knowing

ERTE

Expediente de regulación temporal de empleo: a temporary furlough scheme where a company suspends contracts or reduces working hours.

Exoneración de cuotas

Exemption from paying part of the Social Security contributions for workers.

Cese de actividad

Situation of a self-employed person who cannot work; they can receive a benefit similar to unemployment pay.

Contrato fijo discontinuo

A permanent contract for someone who works only at certain times of the year, for example in a season.

Salario mínimo interprofesional

The minimum wage that can legally be paid in Spain.

It summarizes the law as published in the BOE. It is written by artificial intelligence and may contain mistakes: the official text is what counts. Read the official text · How we make summaries