Payroll services Spain

Unemployment benefit reform: more benefits, more beneficiaries and compatibility with work

Dear Customer,

We are pleased to inform you about an important measure recently approved.

The Council of Ministers has approved a far-reaching reform of unemployment benefits in Spain, with the aim of improving social protection for the unemployed and facilitating their reincorporation into the labor market. This reform represents a significant change in the unemployment benefit system, and it is important to understand its scope and implications.

Increase in amounts

  • The amount of the unemployment benefit is increased gradually, depending on the duration of unemployment.
  • Beneficiaries will receive 95% of the IPREM (570 euros) for the first six months, 90% of the IPREM (540 euros) for the following six months, and 80% of the IPREM (480 euros) for the rest of the period.

Expansion of the group of beneficiaries

The reform includes new groups of people who will be able to access the subsidy, such as victims of gender or sexual violence, returned emigrants, people under 45 years of age with no family responsibilities, temporary agricultural workers throughout the country, people with less than 12 months of contributions and unmarried couples.

Compatibility with work

  • One of the most innovative measures is the possibility of combining unemployment benefits with a salary or a scholarship.
  • Beneficiaries will be able to work full or part-time for a maximum of 180 days for each new job, without the amount of the subsidy being reduced.
  • The salary of the new job may not exceed 225% of the IPREM (1,350 euros per month).This measure will be applied as from April 2025.

Other improvements

  • Partial subsidies are eliminated and full subsidies are allowed.
  • Compliance with the income insufficiency requirement is facilitated.
  • The number of working days required for temporary agricultural workers to qualify for the subsidy is reduced to 10 days.
  • A mechanism is established to reserve funds for active employment policies for people over 52 years of age (some 600 million euros).
  • The breastfeeding period is accumulated as a right.

The reform of unemployment benefits represents a significant advance in the social protection of the unemployed in Spain. The increase in the amounts, the broadening of the group of beneficiaries, the compatibility with work and other improvements will provide unemployed people with greater economic support and facilitate their reincorporation into the labor market. It is important to note that the reform will come into force in general in November 2024, although some measures, such as compatibility with work, will be applied as of April 2025.This reform is expected to have a positive impact on reducing unemployment and improving the living conditions of unemployed people in Spain.

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