The government on Tuesday approved a broad reform of unemployment benefits, introducing premium-free aid aimed at workers who have exhausted their contributions. Roughly 900,000 people currently receive this assistance.
The agreement was signed with Yolanda Díaz, vice president and minister of Labor and Social Economy, and First Vice President and Minister of Economic Affairs and Digital Transformation Nadia Calviño. At the press conference after the Council of Ministers, Díaz stressed the government’s commitment to expanding workers’ rights and described the administration as one focused on practical, useful policies.
The principal changes include an increase in subsidy support. The monthly payment, previously set at 480 euros, is now transformed into a tiered system starting at 570 euros and gradually easing back to the original 480 euros. Coverage will extend to around 400,000 new potential recipients, mainly temporary agricultural workers and people under 45.
Another key modification is that the new subsidy allows unemployed individuals to combine benefit collection with salary for up to six months.
Join BİLGİ WhatsApp channel
To ensure proper implementation of the reform, the government has introduced tighter control mechanisms supported by the Ministry of Economy. Quarterly checks will verify that beneficiaries still meet requirements, and they will be required to submit an annual income statement, similar to the process for the Minimum Vital Income (IMV).
New unemployment benefit
The reform focuses on three core areas: scope of coverage, amount and duration, and employability. Access will be granted to approximately 400,000 people, including 250,000 agricultural workers in regions outside Andalusia and Extremadura who previously did not receive agricultural subsidies. It also includes 150,000 individuals under 45 who were previously ineligible due to age. Additionally, some modifications are proposed for 120,000 people within the scope of the Minimum Subsistence Income (IMV), adjusting formal requirements to include this group.
Regarding the monetary specifics, the middle ground was reached between the ministries of Labor and Economy. The distribution is as follows:
- From 0 to 6 months: 570 euros or 95% of IPREM
- From 6 to 12 months: 540 euros or 90% of IPREM
- From 12 months onward: 480 euros or 80% of IPREM
Work and collect the subsidy
The reform also allows aligning the subsidy with employment for six months to ease re-entry into the labor market. Initially, the minister had proposed combining the subsidy with 100% of the initial salary for the first 45 days of employment, but the final agreement sets a six-month compliance window.
Subsidy for people over 52 in 2024
Questions remained about how these benefits would apply to those over 52 who are unemployed. These beneficiaries are included in the IPREM, receiving 600 euros per month this year. Consequently, the subsidy amount equals 80% of IPREM, i.e., 480 euros per month. After the reform announcement, the government confirmed via the official site that there would be no increase in the subsidy amount. This means the monthly payment remains at 480 euros for this group.
The reform is presented as a comprehensive update to unemployment support, aiming to broaden coverage, adjust the financial support levels, and enhance the link between benefits and work prospects. It is framed as a practical step to help stabilize incomes for workers facing temporary unemployment while encouraging active re-employment strategies. The measures are described as a balanced approach to social protection and labor market re-entry, with ongoing oversight to ensure eligibility and effectiveness. (Source: Government communications and ministry statements; attribution: official policy briefings.)