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Grid twelve measures to support employment and businesses announced the Prime Minister against his speech at the Helexpo Forum in Thessaloniki.
More specifically, he said: “The pandemic, however, affects not only public health but also the national economy. And on this front, the government responded with a grid of measures that has been in place since the spring. constantly enriches, depending on the needs of the moment.
Today, from Thessaloniki, I announce 12 more initiatives in the same direction:
Protect employment and productive activity during the health crisis. And to support the incomes of the weakest in the difficult time ahead.
These are 12 steps of self-confidence, which form a roadmap for the next few months, but also in 2021. For the economy to stand tall, as a condition for reorganization and growth.
Four of them support her job. Three, the business liquidity and investments.
And more five, the income of the weakest. But also the incomes of the middle class that have been put to the test for many years. She, after all, I’ll say it again, is the backbone of Greek society.
This course, then, begins:
- Step one. Insurance contributions for employers and employees in the private sector for 2021 are reduced by 3 points (from 39.7% to 36.7%), that is, an employee with a net salary of 1,016 euros will have an annual benefit of 158 euros .
And the cost of the position for the company will be reduced by 301 euros. This increases household income. And at the same time, it paves the way for new hires from companies whose liquidity will have increased. - Second step. The Solidarity Contribution for employees, professionals and private sector farmers is abolished. The measure will be applied initially for one year, in 2021. Thus, depending on the source of income, all the self-employed and employees of the private sector are relieved: thus a worker with a monthly salary of 2,000 euros will have an annual tax relief of 361 euros.
- Step three. An innovative Subsidy Program for 100,000 new jobs is immediately established: The state will cover the contributions, employee and employer, for each new employee for 6 months. Regardless of your salary and specialty. Provided that the jobs in the company are not reduced. If, indeed, he is hired on long-term unemployment, his position will be subsidized with another 200 euros per month. The arrangement translates, I give an illustrative example, in a profit of 2,821 euros in the semester, for both parties, for a new hire with a salary of 700 euros. Or, respectively, about 4,000 euros for a salary of 1,200 euros. It is an opportunity for the unemployed. But also a boost for business. The time has finally come to move from subsidizing unemployment to boosting work.
- Step four. The “COOPERATION” program is being strengthened and expanded until the end of 2020. Thus, the salary of those who are forced to work part-time in the sectors affected by the pandemic will continue to be replenished. Without losing insurance rights on your nominal salary. The possibility of temporarily suspending contracts in the catering, tourism, transport, sports and culture sectors is also expanded. And now they are joined by the guides and the artists.
- Step five. Immediately the 3rd cycle of financing favorable to companies opens through the “Reimbursable Advance”. The amount for the third cycle will be 1,500 million and, from now on, will include sole proprietorships without a cash register in the catering, tourism, transport, culture and sports sectors. But also non-profit companies that pay VAT. While we are launching the 4th cycle of November, with an initial amount of 600 million euros.
- Step six. Following our intervention in research and innovation spending, the 200% excess depreciation measure is introduced for digital and green fixed capital investments over three years, 2021-2023. An indirect injection of liquidity that reduces corporate tax. And it motivates investment in equipment that improves overall productivity, digitizes processes, and reduces business footprint.
- Step seven. In October, the retroactive amounts of 1,400 million euros of the main pensions for the 11 months 2015-2016 are paid to nearly one million retirees. Until December, another 460 million will be credited to hundreds of thousands of beneficiaries, due to the new way of calculating pensions. It is an institutional compliance of the State with judicial decisions. But also for a political election of a social nature. Because the survivors of work help, at this critical moment, the whole family.
- Step eight. ENFIA is immediately phased out on our 26 smaller islands, which have been particularly tested in recent months.
Thousands of residents, from Kastelorizo to Ai-Strati and from Othonos to Gavdos, are exempt, permanently – and as of 2020 – from the obligation of this tax. - Step nine. For those employed in professional sectors affected by the coronavirus, the payment of any debt that was suspended in the first phase of the pandemic is postponed until April 2021. Taxes and insurance.
And, of course, all the above facilities, such as the rental ones, are still valid. - Step ten. The reduced VAT rate extends for six months to transport, coffee, non-alcoholic beverages, cinemas and tourist services. Industries that continue to be affected by the pandemic continue to be strongly supported by the state.
- Step eleven. Following the actions of the Government, in cooperation with the banking system, the first home of vulnerable households is not in danger of being auctioned until the end of 2020. And from January 2021, our weaker fellow citizens will have the opportunity to adhere to the new code debt settlement. and a second chance that by then will have already been voted on.
- And I pass twelve. All unemployment benefits that have just expired are extended for another two months. And the number of stamps needed to grant this aid is reduced to 50 instead of 100. This includes seasonal workers who have seen their wages reduced by the pandemic.
Total support from the Greek economy: 6.8 billion euros.
The National Trust Plan protects and stimulates employment. Because there the consequences of the pandemic are more pronounced.
As I have said before, the virus itself is not a class, it can affect us all. It affects equally strong and weaker countries. And it does not distinguish between rich and poor. But its effects on societies will be worse for the weakest.
Our priority, therefore, can only be the protection of Labor. With the support of the State. But also keeping the fabric productive. Who, after all, is the one that gives birth to Employment. “
Read HERE the full speech of the Prime Minister
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