Spain extends temporary redundancy schemes until September 30

Spain will be extending its temporary redundancy schemes (known as ERTOs in Catalan or ERTEs in Spanish) as well as benefits for self-employed workers until September 30 after an agreement was signed on Thursday by the Spanish government as well as members of business associations and unions.

Although this is the fifth furlough extension, which will cost the government an additional 2 billion euros, there is hope it may be the last. Indeed, Spain's inclusion and social security minister, José Luis Escrivá, highlighted the fact that 85% of the 3.6 million workers who were furloughed during the pandemic are now back in full employment.

According to him, authorities have "high expectations" for the remaining workers in the coming months as the state of the pandemic improves and more people are vaccinated.    

Spain's labor minister, Yolanda Díaz, who was also present at the event formalizing the agreement that was greenlighted by the Spanish cabinet on Thursday, believes it will "save thousands of families and thousands of companies." 

Díaz, who described current employment figures as "moderately positive," said Spain was "approaching pre-pandemic levels."