LABOR MEASURES THAT THE COMPANY CAN ADOPTE FACING THE SITUATION GENERATED BY COVID-19 (CORONA VIRUS): TEMPORARY EMPLOYMENT REGULATION FILE (ERTE), SUSPENSION OF THE EMPLOYMENT CONTRACT, REDUCTION OF WORKING DAY OR OTHER MEASURES.
Given the situation generated by CoVid-19 (Corona Virus), and in view of the special measures that are being adopted both at the state and regional levels, what measures can a company adopt in relation to its workers?
There are various measures that companies can adopt in this situation; In this informative note we present the main ones, highlighting that there may be others and that, in any case, the choice of the specific measure (or combination of measures) that is most suitable for the company must be the result of an individual assessment of each specific situation.
1)Suspension of employment contracts. This measure, which is also known as the Temporary Employment Regulation File (ERTE), allows the employment contract and the reciprocal obligations of the parties to be suspended: therefore, while the suspension lasts, the worker does not provide the benefit and the company does not pay the salary. The suspension of employment contracts can be carried out due to force majeure or other causes: depending on the type of cause, the administrative procedure will be different, although the final effects will remain the same.
2)Reduction of working hours. This measure allows workers to reduce their working hours (and, consequently, their salary) by between 10% and 70%. The reduction in working hours can be carried out due to force majeure or other causes: depending on the type of cause, the administrative procedure will be different, although the final effects will remain the same.
3)Delay in calling discontinuous permanent employees. This measure allows delaying the call of a discontinuous permanent worker beyond the general rule (that is, thirty calendar days from the usual date), as long as it is communicated in writing to the worker.
4)Interruption of the guaranteed period of employment of discontinued permanent workers. This measure allows the discontinued permanent worker’s contract to be interrupted, without carrying out any procedure, for a single time and for a maximum period of 45 days within the calendar year, with the company having, in this case, the obligation to notify the worker, both before the interruption and before the resumption, with a minimum advance notice of 5 calendar days.
5)Reduction of employment periods of discontinuous permanent workers. This measure allows the guaranteed period of employment of discontinuous permanent workers to be reduced, without the need to carry out any procedure, to a maximum of 30 calendar days.
As we say, these are the main measures that can be adopted by the company, but there may be others. We recommend that each action be the result of individual and personalized advice. In our office we have knowledge and experience to advise in these types of situations.
