The government’s proposals to reach a compromise. Talks went on after May 31st, the deadline set by the government for the social partners to agree on a consensual agreement for the labor market reform (see our dispatch No. 100431). Setting June 16th as a new goal for the Council of Ministers to adopt a draft reform, Prime Minister José Luis Zapatero allowed the social partners to continue with the talks, and Labor Minister Celestino Corbacho even prepared elements of compromise to help the parties reach an agreement. During the last meeting, on held between June 9th and June 10th, the Minister split the difference for the issue of lower layoff costs. He proposed a single compensation system of 33 days per year worked in case of unfair layoff, instead of 45 days in labor contracts under ordinary law. However, to lower costs for employers without decreasing compensation perceived by the laid off employees, he also proposed that the Pay Guarantee Fund (FOGASA) bears eight days in addition to these 33 days.
s, and Labor Minister Celestino Corbacho even prepared elements of compromise to help the parties reach an agreement. During the last meeting, on held between June 9th and June 10th, the Minister split the difference for the issue of lower layoff costs. He proposed a single compensation system of 33 days per year worked in case of unfair layoff, instead of 45 days in labor contracts under ordinary law. However, to lower costs for employers without decreasing compensation perceived by the laid o
…Do you have information to share with us?