Erte Etop Temporary Employment Regulation Files

Erte Etop Temporary Employment Regulation Files are another useful flexibility tool.

Many companies have initiated processes to suspend the labour relations of their employees. Through the already known ERTE for Force Majeure, as they are directly affected by losses of activity caused by the Covid-19.

There is no doubt that this pandemic is going to have economic effects worldwide, and Spain will not be unaware of it. There is no doubt that this pandemic will have worldwide economic effects, and Spain will not be immune to it. However, there is some uncertainty about the intensity with which it will affect our economy, which will be associated with the duration of the confinement, the gradualness of the lifting of the restrictions, the probability of a resurgence next autumn, the time to develop a vaccine, or the effectiveness of the policies adopted by our government, among others.

Erte Etop Temporary Employment Regulation Files.

As a result, many companies will be forced to take additional measures. Or initiate them to face a substantial drop in their activity, in the hope that it will be temporary. And thus, be able to balance their staff to the new situation of volume of demand for their products or services.

Starting from the premise that this situation is temporary and not structural (that it puts employment at risk). The company has a useful tool for flexibility. These are the Temporary Employment Regulation Files based on economic, technical, organizational or production causes. This can be summarised by the acronym Ertes Etop. For the suspension of employment contracts or reductions in working hours

This tool, markedly temporary, will allow the company to adapt its staff to its specific situation and needs. And, therefore, guarantee its future viability. It is a conservative measure of employment, to face the economic crisis we are facing.

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It is necessary to clarify that these flexibilization measures already existed, and what this government has introduced through Art. 23 of RDL 8/2020, are two novelties:

Reduction of the processing time for these Ertes
To designate the most representative trade unions in the sector as interlocutors of the company, when there is no legal representative of the workers.

In a very schematic way, the procedure would be as follows (regardless of the number of employees affected by the measure):

It is important to emphasize that the employer can take the final decision, with or without the agreement of the workers’ representatives. And the permission of the labour authority is not necessary.

However, the measure can be challenged in court by the interested parties. The company must then prove that the reasons given for the decision to suspend or reduce the working day are valid. And not so much the cause-effect connection to save or improve the company’s situation. However, it is inevitable that the procedure should at least partially assess the reasonableness of the measure adopted.

Flexibility

Finally, it is interesting to note, that:

employees will be able to access unemployment benefit through this measure, even if they do not have previous contribution periods, and this benefit will not count for future benefits.
This is a flexible measure, since it allows for the partial incorporation into work of those persons who are needed to meet the demand.
In view of the above, it is recommended that the measure should have a secure time horizon, covering the worst-case scenarios for the employer’s recovery

For all this, it is necessary to comply with the legal formalities, which entails the processing in the following months, and the adaptation of the staff to the workload that will be presented at each moment.

From Arrabe Integra, the experts of our Legal and Labour Department will accompany you in this procedure. Always attending to your concrete case, sector of activity, expectations of business and the most important thing to look for the viability of your company.