Domestic workers, after realizing they were unemployed: “We finally got a subsidy like everyone else”

He also applauded this move. Margareta BalanHe also came to Gijón from his native Romania, nine years ago. He also has a stable job now. “I work for a very good lady and now I work for her niece. They are good people, they bought me clothes to work and they treat me well,” he said gratefully. But his situation was not always like this. “I wasn’t working in the same place before. I went to several houses. Some for six hours, others for three. All for Social Security, not full time. I worked as an intern for a while, but the man passed away. and I was left without anything, a job and no money,” Balán explained. “Like everyone else, I am very happy about the right to strike. If I work and pay premiums, why shouldn’t I receive unemployment? That’s fair,” he argued.

“I think that’s great and fair,” he agreed. Mary Voinea, Grado’s domestic worker. “It’s an issue that needs to be regulated for a while because we all know how the industry works, and there are still many cases of informal economy and illegal recruitment. Domestic workers should have the same right to work as other workers, be unemployed. or lowly is the basic right of any worker,” he stressed.

The main domestic workers’ associations in Spain welcomed the new reform approved by the Government. But this enthusiasm coexists with concern that the law must be followed and that this increase in liabilities is not turning into fraud for employers’ families and is causing a rise in “black” jobs. “This is a step forward, but there is still a long way to go,” said a spokesperson for Mujeres Unidas Entre Tierras. Isabel Del Valle. They explained that many of their members from this domestic workers’ association were hired for a few hours, but they actually worked a lot harder due to pressure from their employer families. And this lack of contribution will mean they will receive a lower unemployment benefit if they are laid off.

Effects of government reform

With the reform approved by the Government last Tuesday, domestic workers got their rights and families will have to bear new costs. From 1 October, families who are domestic workers must start contributing to unemployment insurance. The measure directly benefits 7,814 Asturian female employees currently registered with Social Security who will have access to unemployment benefits but will demand higher contributions from both families and the employees themselves.

When will domestic workers start receiving unemployment benefits? Access to unemployment benefits will not be immediate, as it requires a prior contribution period. In addition, it will depend on each situation, as workers may have accumulated in other occupations before entering the special regime. However, most will start from scratch and must contribute over a 360-day period in order to save enough to access a benefit should they lose their jobs.

Will workers’ services become more expensive?. The action will require employers’ families, as well as workers themselves, to contribute more to Social Security. However, the Government has provided an 80% bonus for employers on business contributions to the unemployment contribution and the Salary Guarantee Fund (Fogasa); it maintains the 20% business contribution in the contribution for common contingencies and increases the bonus tranches according to the composition of the household (extended families) and income levels.

How much more will families pay? Reference is made to a family working 40 hours a week, an ordinary full day for the rest of the wage earners, and paying the inter-occupational minimum wage (most common within the union). The extra monthly cost required by the new rule is 24.4 Euros. This adds to the already mandatory 347.7 Euro contributions and the salary itself. On the other hand, if the domestic worker only comes for a few hours a day or certain days of the week, the additional cost for a 20-hour work week would be 12.2 euros per month plus 186 euros in contributions and salaries. According to sources consulted from a group of professional managers, a common practice when hiring domestic workers is for employers to fully bear the cost of social contributions. In other words, this additional 24.4 euros implied by the new rule is paid directly by the family, as they can do so directly by money order or cash and do not have to issue payroll. However, if the employer decides to distribute the contributions, as every company does with their employees, the distribution of the extra cost will be more even among them. Workers will see how 12.2 euros is deducted from their wages to pay unemployment benefits, and employers’ families will pay 12.1 euros more per month; always reference a 40-hour work week and the minimum interprofessional salary.

And_in will there be more increases in 2023? Families will have to recalculate for next year. From 1 January 2023, the Intergenerational Equality Mechanism (MEI) comes into effect. This is a “mini piggy bank” created by the Government that will force all employers to pay an “extra” social contribution. In the case of domestic workers, the employer must undertake a “plus” of 5.8 euros per month if there is a 40 hour shift per week and a gross of 1,000 euros (on 14 pay). And in this case, the worker has to pay an additional 1.2 Euros per month to Social Security. Another point to consider is that the minimum wage increase has not yet been decided, which would mean that families have to pay more than their salaries and contributions.

Does the reform only include the right to unemployment for domestic workers? No, the withdrawal figure has also been eliminated, allowing employees to give up domestic workers without any justification, allowing dismissal for no reason and therefore no guarantee of dismissal for such situations. Henceforth, it is necessary to prove the reasons that may lead to the termination of the contract with the employee, thereby expanding the protection against dismissal. However, compensation is retained (12 days). Unions UGT and CC OO rated the progress of this reform very positively, but described it as “inadequate”. Verónica González, general secretary of CC OO Habitat in Asturias, pointed out that night work or working as an intern is not regulated. She also stressed that the Labor Inspectorate should act in homes to combat the informal economy. Asturias has 7,814 registered domestic workers, but CC OO estimates 14,000 workers in the sector.