The Government clarified this Monday, February 2, that workers covered by the simplified ‘lay-off’, following the impacts of Kristin, will be guaranteed 100% of their normal net salary, up to three times the national minimum wage, that is, up to 2,760 euros.
In a statement, the Ministry of Labour, Solidarity and Social Security (MTSSS) clarifies that with regard to the simplified ‘lay-off’ regime for three months, “workers in affected companies are guaranteed 100% of their normal net salary, up to three times the national minimum wage” (which is set at 920 euros), that is, up to 2,760 euros.
“The employer will only support 20% of the value of the worker’s salary, with Social Security supporting the remaining 80%”, says the guardianship led by Rosário Palma Ramalho, highlighting that proof “of the business crisis situation is made at the request of the employer by the competent services, namely the Social Security Institute”.
A possible loss of wages following the adoption of this mechanism was one of the warnings left by CGTP, which defended that all workers whose jobs were affected “must maintain the right to full payment of their remuneration, whether the company opts for ‘lay-off’ or any other measure”.
The Government also announced the exemption from paying Social Security contributions, as well as an extraordinary financial incentive for maintaining jobs.
“This means that the employer who is proven to be in a business crisis situation can resort to the regime of reducing working hours or temporarily suspending employment contracts, receiving support from Social Security for the payment of workers’ salaries and being exempt from paying the Single Social Tax (TSU), in whole or in part”, they explain.
Regarding the exemption from Social Security contributions for affected companies, they say that “it will be in force for six months, but can be extended for up to one year, subject to evaluation”. It clarifies that it is aimed at companies, cooperatives and independent workers directly affected by Kristin, that is, those whose production capacity has been reduced due to damage to facilities, land, vehicles or essential work instruments.
Companies that “hire workers in a situation of unemployment directly caused by Storm Kristin, receive a partial exemption of 50% of the contribution rate borne by the employer”, which is currently set at around 23%.
Contacted by Lusa, the MTSSS said that this 50% exemption from the TSU for companies will be in force for “a period of one year”.
Furthermore, according to the guardianship, the “IEFP will give priority to workers affected” by Kristin depression “in the selection and referral within the scope of its active employment measures, also making an extraordinary Qualification and Professional Training Plan available to them”.
The extraordinary financial incentive for maintaining jobs will be “granted through the Employment and Vocational Training Institute” and will “last three months, with the possibility of extension, upon evaluation, to companies and cooperatives whose economic viability may be affected by Storm Kristin”, says the note.
This incentive, which aims to prevent unemployment situations, is intended exclusively to support the fulfillment of remuneration obligations up to the amount of the worker’s normal gross remuneration, deducting the Social Security contribution”, explains the Government, adding that it cannot exceed the value of twice the national minimum wage, plus food support and transport support.
“An extraordinary financial incentive is also granted to self-employed workers whose income was directly affected by Storm Kristin. It can last up to three months, with the possibility of extension, subject to evaluation by the IEFP”, he adds.
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