Garamendi warns there will be “complications” due to the increase in maximum contribution bases

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CEOE president, Antonio Garamendionce again criticized the “extreme” rise this Tuesday. Maximum basis for Social Security contributions It has been included in the General Government Budgets (PGE) for 2023, considering that it is a measure that It’s a “complex” situation for companies.

Attending the economic forum ‘Companies facing the new challenges of 2023’ organized by ‘El Correo’ this Tuesday, Garamendi reiteratedHe reproaches the adoption of this measure by the central government “without consultation” with business organizations or trade unions.

In the face of criticism from the CEOE last Monday, Minister for Inclusion, Social Security and Immigration José Luis Escrivá advocated increasing 8.6% of the maximum contributions to Social Security included in the PGE. He stated that it is a measure implemented “every year” and contributes to “predictability” in the system.

In response to these explanations, The head of the Spanish Confederation of Business Organizations (CEOE) said once again this Tuesday that this increase in maximum contribution bases had taken place “without consultation” with business and trade union organisations.

In addition, it has provided: This is a “disproportionate” increase.Especially one that “puts companies in a difficult position” with the announcement that it will be implemented “every year”. “This is something serious that we can’t share,” he warned.

head of Spanish employers It accepted the “legitimacy” of the Government’s adoption of such a decision.. “I can’t argue that; people voted for them,” he said. However, he asked the Manager not to try to imply that this was a measure stemming from “social dialogue”.

“He didn’t call us and we reported him”, Garamendi added that they don’t think these are “ways” to act. In this sense, he criticized Escrivá’s statement that “you can go up one point a year”. [las bases de cotización]’ and now he’s decided that ‘no, it’s 8.5% this year and the next one depends on inflation.

Along the same lines, consider “Taxing companies thinking it’s a bottomless sack is a real mistake.” Garamendi warned that “it won’t be worth the investment in the end”.

“ideological” taxes

Referring to the tax on large fortunes announced by the executive, he denounced it as a “purely ideological” tax. In this way and as he has done in recent public interventions, he stated: “We can’t share that we talk about rich and poor”.

He also referred to the decision of the Andalusian Government. abolish the wealth tax and the possibility that this measure presumes the escape of Basque taxpayers to that area.

Garamendi affirmed that as a Basque – referring to the financial powers that Basque councils have – he understands the forethought and that the margin of authority each has can be used by “everyone”. In the case of the Wealth Tax, he stressed that this is a “non-European” figure and “absurd” because it “punishes the protector”.

The CEOE chief thinks that announcements about a new tax on large fortunes or energy companies create “enormous legal uncertainty”. He also criticized that he wanted to be taxed with these taxes. “not for profit, but for billing.” “If we start blaming the companies… Be careful,” he warned.

“They already pay enough”

Referring to the debate over the advisability of demanding more tax effort from those with more economic resources, Garamendi assured that such taxpayers “are already paying enough”. In this sense, Considering that the informal economy has reached 24% in Spain, he has been in favor of focusing on the fight against tax evasion as he emphasized.

In his speech, he also referred to the General Government Budgets (PGE) project, reaffirmed that he was “extremely” worried about the pbecause it doesn’t see them as “regular” accounts. In addition, he reminded that the CEOE did not “share” the 2.1% economic growth forecasts for which these budgets were designed, given that the estimates taken by employers are 1.5% at best.

In response, and referring to the statements of the Minister of Social Security regarding the impact of the pandemic on the reduction in the collection of this social protection system, he accused Escrivá of saying: 15,000 million euros were spent on the ‘Covid effect’.

“Looks like your money but the truth is businesses have been shut down by administrative order” After criticizing that “some” of the Temporary Employment Regulatory Files (ERTE) applied during the peak periods of the epidemic have not yet been covered by the companies, he continued as follows:

“radicalize society”

Garamendi assured that the CEOE is citing all of its proposals and demands from “political independence.” In any case, he has shown his “concern” about approaches that, as he says, could lead to the “breaking” of society. “You can’t talk about the rich and the poor, you can’t talk about the ‘people’s government,’ you can’t radicalize society,” he said.

In his statements to the media prior to his intervention in this economic forum, the head of the employers’ association insisted that a final ‘revenue deal’ must also include the participation of the ‘main opposition party’. In addition, he denounced that some of the most recent measures taken by the Government “opposes” the possibility of reaching such an agreement.

“If Social Security is raised, pensions are decided, everything is decided, this is not an income contract. This is called an agreement of national treaties” Reminding that agreements were signed with the unions despite the current difficulties, Garamendi continued as follows:

He also warned of the possibility of companies making “fewer contracts” due to increased sales, in line with his message to reporters and later speaking at the forum. Maximum bases for Social Security contributions.

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