Thousands of employees in Spain still to be paid after being registered on ERTE

Thousands of employees in Spain still to be paid after being registered on ERTE
Thousands of employees in Spain still to be paid after being registered on ERTE

Thousands of employees in Spain are still to be paid after being registered on the country’s temporary layoff scheme, ERTE (expediente de regulación temporal de empleo).

The scheme allows employers to temporarily lay off employees or reduce their hours of work but with the requirement that the worker is “re-employed” once the period of alarm ends. While on ERTE the employee will be paid by the government.

Around half a million companies have filed for ERTE as a result of being put on lockdown which forced the closure of their businesses but, to date, thousands of employees have still not yet received their unemployment benefits from the state.

Labor Minister Yolanda Díaz has confirmed that 3.3 million employees had been paid and that around 50,000 people would be paid in the coming days. On Wednesday, she told Spain’s Congress that was not true that payments would be delayed until June 10 due to a lack of liquidity.

However, according to the General Council of Administrative Gestores of Spain, over 900,000 workers on ERTE had not been paid by mid-May.