Background information

The objective of this measure is to provide financial support to companies that hire workers registered as unemployed in the Public Employment Service of Castilla y León for the duration of the state of alarm decreed in Spain due to the crisis caused by COVID-19.

The measure was negotiated in the context of tripartite social dialogue at regional level, and then passed into legislation by the regional government.

Content of measure

Self-employed workers and companies with less than 250 workers may be beneficiaries of these subsidies. Moreover, recipients of these aids have to comply with the following requirements:

• That the contract is permanent full-time ordinary and is maintained for at least 2 years from the start date.
• That they maintain the employment level of the beneficiary company for at least 6 months from the start date of the eligible contract.

The amount of the subsidy will be €10,000 per worker hired on full time. These subsidies will be processed and resolved by the Public Employment Service of Castilla y León in the terms and in accordance with the procedure that will be detailed in the corresponding regulatory bases.

Use of measure

No information available.

Target groups

Workers	Businesses	Citizens
Unemployed	SMEs One person or microenterprises	Does not apply to citizens

Actors and funding

Actors	Funding
Company / Companies Local / regional government	Regional funds

Social partners

Social partners' role in designing the measure and form of involvement:

	Trade unions	Employers' organisations
Role	Agreed (outcome) incl. social partner initiative	Agreed (outcome) incl. social partner initiative
Form	Direct consultation outside a formal body	Direct consultation outside a formal body

Social partners' role in the implementation, monitoring and assessment phase:

• Social partners jointly
• Main level of involvement: Regional or local level

Involvement

Social partners participated in negotiations with the regional government on a social pact in order to face the employment impact of the COVID-19 crisis.

Views and reactions

Social partners supported this policy measure and fully agreed with the need to support employment creation for self-employees and SMEs.

Sources

• 16 April 2020: DECRETO-Ley 2/2020, de 16 de abril, de medidas urgentes y extraordinarias para la protección de las personas y las empresas de Castilla y León frente al impacto económico y social del COVID-19 (www.tramitacastillayleon.jcyl.es)