Factsheet for case ES-2020-6/835 – measures in Spain
|Country||Spain , applies nationwide|
|Time period||Temporary, started on 03 February 2020|
|Type||Legislations or other statutory regulations|
Supporting businesses to stay afloat
– Direct subsidies (full or partial)
|Author||Oscar Molina (UAB) and Eurofound|
|Case created||11 May 2020 (updated 12 May 2020)|
Royal Decree Law 7/2020 establishes measures addressing anticipation and extension of reductions in social security contributions paid by companies related to the tourism sector in order to keep seasonal workers (with discontinous open-ended employment contracts) in employment during periods of lower activity.
In February 2020 there were 360,000 of discontinous open-ended employment contracts mostly directly or indirectly linked to the tourism sector (along with workers in the agriculture and the food industry, not covered by this sectoral measure).
Royal Decree Law 7/2020 of 12 March establishes that companies related to the tourism sector are allowed to reduce the payment to the social security for the discontinous open-ended (seasonal) employment contracts by 50%, as long as they keep these employees during the months from February to June.
These bonuses may be applied to all types of contingences for which companies pay contributions (unemployment, vocational training, common contingences).
Concerning the scope of the measure, only companies engaged in the tourism sector are allowed to these rebates, as well as to those in the commerce and hotel industry. The rebates are nationally applied except in Balearic and Canary Islands during the months of February and March 2020, since other mitigation measures were adopted in 2019 to alleviate the effects of the opening of insolvency proceedings of the Thomas Cook business group.
Later in April 2020, the government has adopted a new measure addressing these types of special employment contracts mainly used in the tourism sector. These employees may access unemployment benefits in the context of ERTEs - temporary employment reduction schemes -, as when the COVID-19 crisis broke out, many of these workers had not taken up their posts. With this measure, they may have a 90-day benefit even if they have consumed their unemployment right or have not contributed enough time to be entitled to.
||Does not apply to businesses||Does not apply to citizens|
Social partners' role in designing the measure and form of involvement:
|Trade unions||Employers' organisations|
|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 were consulted. Details are not yet available.
|Economic area||Sector (NACE level 2)|
|I - Accommodation And Food Service Activities||I55 Accommodation|
|I56 Food and beverage service activities|
|N - Administrative And Support Service Activities||N79 Travel agency, tour operator and other reservation service and related activities|
|Occupation (ISCO level 2)|
|Hospitality, retail and other services managers|
|Cleaners and helpers|
Eurofound (2020), Targeted social security measures for permanent seasonal workers, case ES-2020-6/835 (measures in Spain), COVID-19 EU PolicyWatch, Dublin, http://eurofound.link/covid19eupolicywatch
Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process. All information is preliminary and subject to change.