The coronavirus crisis has had a full impact on the Spanish business fabric. Administrative managers anticipate that 52,000 companies will transform Temporary Employment Regulation (ERTE) files by force majeure in Employment Regulation Records (ERE) before the end of the year if new measures are not adopted, which will mean the loss of another 300,000 jobs.
“It is necessary to take urgent measures that allow companies to delay foreseeable closings and maintain ERTEs while the economic situation does not improve and they are recovering their income levels,” said the president of the Administrative Managers, Fernando Santiago and explained that “otherwise, before the end of 2020 we are going to find ourselves with the worst unemployment scenario, exceeding five million unemployed.”
According to the survey that the General Council of Colleges of Administrative Managers Among its members, 46% of the companies in ERTE due to force majeure are going to use up the term granted by the Government to maintain it, with 33% of the workers included in said ERTE being affected.
More time, more solutions
“The longer the terms in the ERTE are lengthened due to force majeure, as long as the initial aid is maintained, more businesses will be able to solve serious problems that has caused the coronavirus crisis, “said Santiago.
The Administrative Managers survey reveals that more than 200,000 workers it continues without receiving the corresponding subsidy and that 11% of the companies that have presented an ERTE have already been inspected or have received notice of an upcoming visit.
Of the companies inspected, it has been instructed sanctioning file at 8%. Of the ERTE that have been processed by administrative managers, 6% have been justified in economic, technical, production or organizational causes; the rest have been due to force majeure.
63% have little confidence
The survey has also served to know the opinion of the Administrative managers on the situation of the economy. Thus, 63% have little or very little confidence that the economic situation will allow them to get out of the crisis quickly, compared 7% who have confidence or a lot of confidence that the recovery is quick.
61% consider that the situation will not improve before the end of the year, while 30% believe that it will. 81% of administrative managers also believe that the measures adopted so far by the Government are not sufficient to overcome the crisis effectively and efficiently, compared to 8% who consider that they are.
Likewise, 83% of administrative managers consider that the Pedro Sánchez government It is not stable enough to face the exit from the crisis with guarantees, while 6% consider that it is stable.
Finally, the administrative managers consider that during the state of alarm, the organism that has functioned “especially poorly” has been the Public State Employment Service (SEPE). The DGT, Social Security and the Tax Agency, to a lesser extent, have been the best valued bodies in terms of the operation of their procedures, according to the managers.