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ERTOs extended until September 30

Aspects to be taken into account in the new extension

The exemption percentages in Social Security contributions are modified.

The procedures for the suspension and reduction of the working day for economic, technical, organizational and production reasons linked to Covid-19 have been extended, in accordance with the provisions of article 3 of Royal Decree-Law 30/2020 of 29 September.

Companies that take advantage of the exemptions associated with ERTOs by Covid-19 must maintain the staff for a new period of six months. They will not be able to schedule overtime or outsourcing the activity. Temporary contracts may not be terminated and the ban on dismissal is maintained.

The conditions of the unemployment benefit relating to the exemption from the grace period, "zero counter", and the calculation of the regulatory base of the benefit on 70 percent are also maintained.

Finally, and as a most notable novelty, in relation to discontinuous fixed-term contracts, companies must notify the discontinuous permanent employee to either join the company or join the ERTO from of June 1, 2021.

If you need more information do not hesitate to contact DATA and SERVICES.

(Article owned by Data and Services)