The Royal Decree 8/2020, adopting exceptional and temporary measures to tackle the epidemiological situation caused by COVID-19, entered into force on March 18th 2020.
Since that moment, those Spanish companies that have been affected in some way by the Royal Decree 463/2020, of 14 March declaring the state of alarm, can adopt a Record of Temporary Employment Regulation (RTER), either on the basis of Force Majeure or on the basis of economic and productive reasons.
The first RTER (Force Majeure) has economic benefits for the companies, as they are exempt from paying the Social Security of their employees during the state of alarm. Also this first RTER has a shorter procedure and consequently it is faster. Both RTER allow the company either to suspend or to reduce the working days of their employees. Finally it must be pointed out that if the company adopts an RTER, it will not be able to dismiss any of his workers within a period of 6 months since the end of the state of alarm. For further details, pls contact us as outlined below.
This report was prepared by: