What is an ERTE and how does it affect workers?

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Written by Sandra Aguado
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In order to minimize the economic consequences caused by the current work stoppage imposed by the Coronavirus health crisis that the country is going through, the Government of Spain has arranged various extraordinary measures included in Royal Decree-Law 8/2020. Among them, the acceleration of temporary employment regulation files (ERTE) is sounding strong.

But what is an ERTE? And more importantly, how does it affect workers?

What is an ERTE?
The state of emergency has caused the temporary cessation of activity of many companies. Faced with this situation, many business owners have been forced to resort to an ERTE.

The relaxation of this measure, included in afghanistan phone data the labour regulations in article 47 of the Workers' Statute Law, allows all those companies that have seen their production or activity affected due to the Coronavirus pandemic and the national state of alarm, to alleviate the salary costs of their employees by sending them temporarily to unemployment.

Therefore, an ERTE is a temporary authorisation under circumstances of force majeure, for a company to suspend one or more employment contracts. During this time, the affected workers will remain linked to the company, so they will not receive compensation, but they will not be entitled to extra pay or holidays.

Can my company carry out an ERTE?
All companies whose economic activities are directly affected by the declaration of the state of emergency and the Coronavirus pandemic will be eligible for this exceptional measure, regardless of their professional sector.

The resolution approving the same will be given within an extraordinary period of 5 days from its request, taking effect from the date of the event causing it and extending its validity until the end of it.