Spanish labour legislation is to be overhauled,announced the government recently.At a recent press conference the Prime Minister Zapatero described the plans.They were quite well received by the unions and also the employers.
The government now hopes that it can negotiate concrete reforms which will help it to reduce unemployment.Up to now there have been no concrete ideas put forward.Spain has one of the highest rates of unemployment in Europe,now running at almost 20%.Around 40% of under 25,s are now unemployed.Spain expects to hand out 30 billion euros in benefits during 2010.
One idea being considered is to follow a German scheme whereby employers can reduce working hours without creating redundancies.Germany allows hours to be reduced for up to 2 years with the government paying up to two thirds of normal salaries.
Zapatero has also said that he wants to reduce part time contracts and to encourage permanent contracts for part -time workers.Measurements to promote youth employment are also being discussed.Zapatero wants “jobs and more jobs as soon as possible”.
Unions are concerned about the extension of the retirement age to 67 but this is going to be something which will happen across the world.Retirement is not all that it is cracked up to be and people should have the flexibility to work for as long as they choose.
