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The government wants to force large companies with benefits to maintain the level of employment they currently have for the next year. If there is a decrease, the affected companies lose public benefits have resorted, according to The Observer.
The measure aimed at creating an extraordinary regime of incentives to maintain employment content in documents sent to partners with whom the Government has sought an understanding to make viable the State Budget proposal that it will deliver next Monday. The Executive still does not know if there is an agreement on the part of the Block for this measure, which sought to comply with a specific requirement of the party – BE had already said this Thursday that the idea was short.
Companies prevented from breaking collective contracts for two years. And the other offers left in the budget
When she presented the specifications for the State Budget in July, Catarina Martins defended “an urgent ban on layoffs in profit-making companies.” The Government’s response came in the form of this proposal that sets the level of employment in large companies (All those that are not micro, small and medium-sized companies, that is, with more than 250 workers and with a turnover of more than 50 million euros per year) in October 2020 and places it as a minimum limit.
Through 2021, large, profitable companies will need to maintain that level. Even if a layoff situation occurs, they must hire to keep the same number of employees. The situation of each will be reviewed quarterly and if the values fall, public support will be lost, that is tax incentives and also the State guarantee when accessing bank lines of credit.
According to a report by the European Commission at the end of 2019, there are 875 large companies in Portugal that are responsible for 22.6% of the jobs in the country and a turnover that represents almost a third (27.7%) of national wealth.
Why is this idea short for BE? Because the proposal presented by the Government only affects large companies and leaves out the cases that during the crisis did not renew term contracts, for example, as the party argued to the Observer.
The Executive hopes that the Block will respond officially to the documentation that was sent to it last Wednesday night and had an indication, at the end of this Friday, that this would still happen overnight.
A response from the PCP had already arrived, with comments on the deficiencies that the party considers to exist in some of the government’s proposals. The communist response is already being analyzed, as the Observer learned, and Then it will be evaluated if there is still material to take to more meetings. with the partner or go ahead with the measures described in the budget proposal.
Government concludes negotiations with PCP and still awaits the Left Bloc
The Government insists that the counterproposal, that is, the one sent to the Bloc ”, was very substantial in relation to everything they put“On the table. In addition, the Government is also challenging the party led by Catarina Martins to a political agreement outside the Budget, which involves labor issues and includes measures and also political commitments to be established in the medium term.
Another source from the Executive assures that he sees “with great difficulty” the BE’s refusal to this document, since it has “a very significant weight” in matters that are wanted by the party. But nothing is yet known about its content and if it responds to a chapter (on labor issues) that a year ago put aside the reissue of the “contraption”.
The Government tries gadgets only with the Block until 2023. But it does not renounce the PCP in this Budget
