New hiring incentives and better social protection for artists

Automatic summary, not yet reviewed

1. The rule creates a single framework that gathers and organizes all hiring incentives funded through reductions in Social Security contributions, which until now were spread across many different rules.
2. It sets specific contribution reductions for permanently hiring vulnerable groups: people with borderline intellectual functioning (128 euros per month for four years), women who are victims of gender violencegender violence Violence a woman suffers from a current or former partner because she is a woman. or trafficking (128 euros per month for four years), people in social exclusion (128 euros per month for four years) and long-term unemployed people (110 euros per month for three years, or 128 if they are women or over 45).
3. Anyone hired under an incentivized permanent contract must remain registered with Social Security for at least three years from the start of the contract, or the employer loses the benefit and must return the amounts not paid.
4. Retired artists will be able to combine a full retirement pension with artistic work, either self-employed or for an employer, as long as they register and pay contributions for occupational contingencies plus a special solidarity contribution of 9 percent.
5. A special unemployment benefit is created for artists in the performing, audiovisual and music arts, and for technical and support staff: it lasts 120 days and pays 80 percent of the monthly IPREMIPREM Indicador Público de Renta de Efectos Múltiples: a public reference index used to calculate the amount of many government benefits., or 100 percent if the daily average of their contribution bases exceeds 60 euros.
6. Self-employed artists with annual income of 3,000 euros or less will have a reduced contribution base of 526.14 euros per month in 2023, which they must expressly request.
7. Companies that move their activity outside the European Union or the European Economic Area must return the contribution reductions and subsidies obtained in the four years before the relocation.
8. The rule enters into force on September 1, 2023, although the special unemployment benefit for artists starts on July 1, 2023, and some Social Security measures on April 1, 2023.

Who it affects

• Companies and self-employed people who hire: They can apply Social Security contribution reductions when permanently hiring vulnerable groups, and must keep those workers employed for three years.
• Unemployed people from vulnerable groups: They are the priority targets of the incentivized contracts: people with disabilities, victims of gender violence, people in social exclusion or long-term unemployed, among others.
• Artists and cultural workers: They can collect a pension while continuing to work, access a special unemployment benefit adapted to the intermittent nature of their work and, if self-employed with low income, contribute on a reduced base.
• Companies that relocate: They must return the reductions and subsidies from the four years before moving outside the European Union or the European Economic Area.

Words worth knowing

Bonificación en la cotización (contribution reduction)

An amount the employer does not have to pay in Social Security contributions for each hired worker who meets the requirements.

IPREM

Indicador Público de Renta de Efectos Múltiples: a public reference index used to calculate the amount of many government benefits.

Contrato fijo-discontinuo (permanent seasonal contract)

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

Capacidad intelectual límite (borderline intellectual functioning)

A situation of people whose intellectual functioning is at the lower limit of what is usual, which makes it harder for them to find work.

Reintegro (repayment)

The obligation to return benefits or reductions received when the requirements were not met.

gender violence

Violence a woman suffers from a current or former partner because she is a woman.

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