Yolanda Díaz’s statistical ‘trap’ will prevent 600,000 new unemployed people from joining the labour market

ERTESSpanish Ministry of Labour, Yolanda Díaz, in a meeting with trade unions’ respresentatives at the left and employers’ representatives at the right

Discontinuous permanent workers are the most frequent group in the new hiring of the labour reform. They have multiplied by nine compared to 2019, creating 600,000 new contracts in just three months, and already represent 36% of permanent contracts. As the digital newspaper Vozpopuli explains today: The modality, which previously had a practically testimonial weight, with a few thousand, is designed for seasonal or seasonal jobs, with periods of standstill in which employees stop working and have to resort to unemployment benefits.

In fact, the only difference with temps is that they are statistically considered as permanent and therefore entitled to higher severance pay. However, there is also another statistical difference that has sparked criticism from the leader of the PP, Alberto Núñez Feijóo, as they will not be counted as unemployed and, therefore, will not be included in the Government’s official figures.

For statistical purposes, during the periods in which the new permanent unemployed are unemployed and, therefore, do not appear as members, they will be catalogued as DENOS (Demandantes de Empleo No Ocupados). In other words, employees with temporary contracts who have now become permanent seasonal workers, who were previously counted as unemployed, will no longer be counted as unemployed, improving employment indicators.

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The Corner
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