Subsidy Unemployment for people over 52 It is a very important benefit in the Social Security system in Spain, providing financial support to those who lose their jobs at the end of their working lives. Recent reforms proposed by the government have introduced some changes to this subsidy.
First you need to know who can benefit from the grant. Unemployment for people over 52. Those who want to apply must meet some conditions:
- Age. Be 52 years of age or older at the time of application.
- Unemployment situation. Register as a job seeker and do not refuse a suitable job offer.
- Social security grants. You must have paid unemployment benefits for at least 15 years during your working life.
- Lack of income. Do not exceed the established income limit, which is usually 75% of the Minimum Interprofessional Salary (SMI), excluding possible family allowance.
Main changes in the last reform
The latest Government reform has introduced significant changes to this subsidy in order to improve the conditions of beneficiaries and ease their transition into retirement. The changes will only affect those who began collecting the subsidy on or after June 1, 2024. The main ones are:
- The subsidy amount is maintained. One of the most important aspects of the reform is the decision to keep the subsidy at 80% of the Multiple Impact Public Revenue Indicator (IPREM). This disappointed many beneficiaries who expected that the IPREM percentage would increase like other subsidies and that they would be able to collect more than 480 euros per month. However, all is not lost as IPREM is a public indicator that can change from year to year. The amount for 2024 is currently unknown, so there may be an increase if this status indicator is updated.
- Reducing contributions for retirement. Another important point when examining the changes made by the government in unemployment benefits is that the contribution base of these unemployed people will decrease for those who start collecting benefits as of June 1, 2024. That is, the minimum contribution base is currently set at 125 percent of the minimum base, but will now be reduced as follows: 120 percent in 2024; 115% in 2025; 110% in 2026 and 105% in 2027.
- Compatibility with work. One of the most important innovations is the possibility of harmonizing aid collection with work. This measure allows beneficiaries to accept jobs, even part-time, without losing their right to receive subsidies. In this way, re-entry into the labor market is encouraged and a smoother transition to retirement is facilitated.