Covid-19: Government approves extension of support for recovery until June and 100% salary

Partial waiver of Social Security contributions remains

The Government approved today the extension until June 2021 of the support for the progressive recovery, which now guarantees 100% of the salary to workers in 'lay-off', and which is extended to managing partners.

“The decree-law that extends the extraordinary support for the progressive resumption of activity in companies in a situation of business crisis was approved”, can be read in the communiqué of the Council of Ministers.

The Government indicates that the extraordinary support for the progressive resumption of activity in companies in a situation of business crisis is extended “until June 30, 2021”, as provided for in the State Budget for 2021 (OE2021).

It is further established that “all workers who are covered by the simplified 'lay-off', 'lay-off' of the Labor Code (caused by the Covid-19 disease pandemic and starting after January 1, 2021) and extraordinary support for the progressive resumption of activity to receive 100% of their normal gross remuneration up to 3 Minimum Guaranteed Monthly Retribution (RMMG), with no additional effort from employers”, according to the Government.

The Council of Ministers also approved the expansion of support for the resumption of members of statutory bodies that exercise management functions.

In addition, "the partial waiver of contributions to Social Security is maintained, under the employer's responsibility, for micro, small and medium-sized companies", says the executive.

Changes to support for recovery approved by the Council of Ministers result from proposals for amendment to OE2021 of the PS and PCP approved in the specialty, in November.

Support for the progressive recovery was created in August, as part of the response measures to the crisis caused by the pandemic, succeeding the simplified 'lay-off', being known, in turn, as the “new 'lay-off'”.

The measure has already undergone several changes, with the access conditions having been extended at the end of 2020 to allow companies with billing losses greater than 75% to reduce workers' hours by 100%.

 



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