Agreement to Reform Unemployment Protection Reached by Government and Unions, Without CEOE: “Not a Minor Change”

Government, Unions and Employers Clash Over Unemployment Protection Reform in Spain

The Spanish government has reached an agreement with UGT and CCOO on a proposed law to reform unemployment protection. This includes benefits and subsidies for workers. Second vice-president Yolanda Diaz emphasized that unemployment benefits are a right, not just money.

However, the Ministry of Labor was unable to secure the support of CEOE and Cepyme due to concerns about certain measures in the reform. The employers issued a joint statement expressing their dissatisfaction with the lack of negotiation and economic report accompanying the reform. They accused the government of a lack of transparency in the process.

The proposed reform aims to increase protections for certain groups, simplify access to subsidies, and make unemployment benefits compatible with part-time work. The government also commits to designing a plan to combat long-term unemployment, particularly among older workers. Despite changes made during the drafting process, there is concern that meeting the May 20th deadline set by the European Commission may be impossible due to processing deadlines. If this deadline is missed, there is potential for a partial disbursement of European funds.

Despite these challenges, the government remains committed to improving unemployment protection in Spain and making benefits more accessible to a broader range of individuals.

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