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New contract for part-time work

16-02-2011
Since 12 February, a new type of employment contract designed to encourage part-time employment of youth and the long-term unemployed.

Broadly speaking, workers must meet one of the following requirements:

* Must be younger than 30 years and be registered as applicants for employment since 01.01.2011

* Have enrolled in the employment office at least 12 months from the last 18, with no restrictions on age.

Companies should make part-time contracts of between 50 and 75% of the day and may be either temporary (at least 6 months) or permanent. Subsidies, therefore, shall not apply to full-time contracts.

New contract should lead to increased staffing.

Companies must maintain employment levels achieved with the new contracts during the period for which the deduction.

In the case were you meet these requirements, companies have the right during the first 12 months to a deduction of 100% employer contribution to Social Security, of course, provided they are up to date with their tax and Social Security payments and have less than 250 employees.

The information summarized here is found in Article 1 of Royal Decree-Law 1/2011, for the 11th of February for urgent measures to promote the transition to stabilize employment and retraining of those unemployed.

For any further information please do not hesitate to contact with our Labour Department at Cyclo, were we will be happy to assist you.

Marta Llera
Human - Resource, Management BA

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