• Employment.Garamendi, on the negotiation against the time of the ERTE: "They are making it very difficult for us"

  • 600,000 beneficiaries Government and social agents reach an agreement to extend aid to the self-employed until January 31

Hundreds of thousands of companies and millions of workers will know at the last minute the conditions under which their businesses and their jobs will or will not be subject to the new aid scheme that comes into force next Thursday.

After the experience of last June, the Government and social agents had promised to start negotiations earlier to have sufficient margin to reach a pact.

Finally, the deadlines have been rushed and the new scheme of temporary employment regulation files (ERTE) and exemptions from Social Security contributions for companies and workers affected by the coronavirus crisis will

be known on September 30, the same day that the current one will lose validity.

The Ministries of Labor and Social Security, the unions UGT and CCOO and the employers' CEOE and Cepyme

have begun today at 11 in the morning to negotiate on the document sent by the Government this weekend, which included the majority of the consensus achieved so far.

The negotiations concluded at 9:00 p.m. with a text that the unions valued positively but that they will vote tomorrow morning, hours before the Council of Ministers.

The CEOE executive committee, which includes the employers' association of SMEs, Cepyme, has also postponed its support until early morning

, although some of the members of these organizations were pessimistic.

"There can be no agreement with this proposal."

The intention of the social agents was to press for the Government to open its hand to extend the benefits of the agreement, which will probably last

until January 31

, to more sectors of the "especially affected", such as tourism.

The Executive has proposed the negotiations for the second extension as

the end of the "coffee for all"

that the two previous schemes have entailed.

Social agents have doubts about signing an agreement that excludes affiliates and members of their organizations, although yesterday they were trying to make the government's restrictions as less severe as possible.

In any case, they took it for granted that the agreement they will sign will do so.

The general secretary of the UGT,

Pepe Álvarez

, valued consensus as the formula that until now has made it possible for the social dialogue table to be an example for other areas, such as politics.

Even so, he warned that the ERTEs will

not be able to reach "all sectors, because many are directly associated with activities affected by the pandemic, but I think it will not be possible

.

"

Unlike the June extension, the government has given the new extension a clearly restrictive approach in the use of resources, which has led negotiations with companies and unions to

successive blockades

.

The paradox is that, since the cost of aid is the axis of the new scheme, the social agents assure that Social Security has not explained to their interlocutors at any time how it obtains results that differ in figures of more than 1,000 million euros those they esteem.

To date, the estimates of organizations such as

Funcas are that the direct cost of ERTE has been 25,000 million in six months

, a figure that rises to 40,000 million euros if the effects of the entire deployment of aid are taken into account .

Among registered unemployed, affected by ERTE and beneficiaries of benefits due to involuntary cessation of activity,

the system at its most critical time supported some 8.4 million people in active employment without working, which raised the effective unemployment rate to 36%, according to Fedea .

With this framework, the greatest obstacle has been the proposal of the Ministries of Labor and Social Security to discriminate the access of companies and workers to aid based on the activity performed.

Tourism, which due to the business it generates and the one it carries reaches a weight of 28% of GDP, has been the direct beneficiary of this criterion.

It is something that was already noticed in summer.

The covid crisis has sunk one of the country's economic pillars, tourism, with 7.4 million fewer visitors in July and the collapse of the activity of airlines, hotels, agencies, hospitality ... Many businesses associated with tourism they advanced their closings giving up the season long before time.

Unemployment rose above 3.8 million unemployed.

But employers and unions have constantly stressed the importance of the Council of Ministers not excluding a priori any company affected by the crisis.

To the point that

Antonio Garamendi

, CEOE president sent a very clear public message this morning.

If the government is willing to carry out the new scheme with its support, it should extend it to more sectors apart from tourism.

"If we consider that many people are left out, we will have to say no," he

warned at the annual meeting of the employers' association of commercial distributors (

Anged

).

Along with that of the car dealerships,

Faconauto

, Anged - which integrates large companies such as El Corte Inglés, Carrefour, Ikea ... - has been the organization integrated in CEOE that has claimed the most not to be left out of a focused aid scheme in tourism.

Reyes Maroto, Minister of Industry

, offered them in the coming months a "tractor project for the digitization of commerce" within the Spain Digital 2025 Agenda and the businessmen thanked him, while reminding him that at the peak of the crisis, more 800,000 workers in the sector were subject to ERTE, 25% of the total.

To date there are 125,000 of the 750,000 that remain under the umbrella of aid.

For this reason, employers and workers have sought formulas that avoid the model proposed by the Government.

In fact, over the last few weeks they have made a common front for Social Security to withdraw its incentive scheme in

exemptions to companies that remove their workers from the ERTE.

"If the problem is budgetary, it does not make sense to dedicate resources to companies and workers who return to activity, they are more lacking for those who cannot open the blind," say the social agents.

Escrivá, however, has endured the pressure and maintained the scheme that he imposed in June and that, he says, other countries have studied to implement it.

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Know more

  • Social Security

  • CEOE

  • Reyes Maroto

  • UGT

  • GDP

  • Ikea

  • The English Court

  • CCOO

  • economy

  • job

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