The Ministry of Labor is already studying several scenarios to apply a hard rise in contributions to the self-employed in order to balance the accounts. The proposal, which has already been sent to ATA and UPTA, does not have the support of Podemos. The secretary of organization, Pablo Echenique has been clear: "This is not what we agreed. The agreement is not to raise the fee to any self-employed person ».
It is important to make it clear. This is not what we agreed. The agreement is not to raise the fee to NON-autonomous and lower the fee to self-employed who enter less than 12,000â,¬ a year. The Government must rectify. https://t.co/dXuZRnfFcH
– Pablo Echenique (@pnique) October 24, 2018
According to the proposal handled by the Ministry of Labor, the Executive wants to tighten the flat rate paid by the self-employed to Social Security when they start their activity to ensure that they do not abandon the Special Regime of Self-Employed Workers (RETA) once they stop benefiting from this reduced fee.
The current flat rate for the first year in the activity of a self-employed It is 50 euros per month. The Government has proposed to self-employed organizations raise it to 75 euros per month for the self-employed (non-corporate) workers and condition them to remain in the system once the bonus period has ended.
The reason, according to Social Security, is that only 30% of the people who benefit from the flat rate are kept in the Special Regime of Self-Employed Workers (RETA) after its completion.
"The rest quits, goes abroad or is employed as a salaried employee", according to the Ministry of Labor's argument in the base document to reconfigure the RETA that has been transferred to the self-employed organizations and to which Europa Press has had access.
In the Work proposal, the periods given by quoted would be considered as part time if after the reduction of quotas is not in the RETA at least a minimum period, yet to be determined.
QUOTE FOR ALL CONTINGENCIES
Work argues that 85% of self-employed workers under 45 years of age contribute for the minimum wage, that is, the minimum base of the system. Over 45 years, there are self-employed voluntarily opting for a larger base, but the vast majority is still quoting for the minimum base, which in the end has its reflection in worse benefits than those received by the workers of the General Scheme.
The The rise of the minimum interprofessional salary by 22.3% contemplated in the draft General State Budgets for 2019 would imply that the minimum contribution base of the self-employed would also increase in the same proportion. But the Government wants to avoid to the collective an increase of this magnitude. Now, it is clear that to obtain better benefits, the self-employed have to contribute more.
In this way and so that the rise of the SMI does not put the self-employed in trouble, The Executive proposes several scenarios to raise the autonomous workers' quotas in 2019 and leaves by 2020 the start-up of a system that adapts the quotes of the self-employed to their real income.
What Labor proposes for 2019 starts from a previous premise: "a mandatory subscription of all contingencies would better protect the collective, and would allow reaching much lower rates of equilibrium".
The self-employed currently pay for common contingencies and temporary disability, with a joint rate of 29.8%, and with a minimum base of 932.7 euros per month. It is voluntary to quote for cessation of activity (unemployment) and for professional contingencies (Some are required, but not all).
In the Work proposal, the self-employed would have to quote for these three contingencies in a compulsory way and for another, the training, and proposes three different scenarios to be assessed by the autonomous organizations.
THREE SCENARIOS FOR 2019
The first scenario It would mean raising the minimum contribution base for 2019 by 1.25%, to 940 euros per month, and increasing the rate to 33.7%. The second scenario proposed by the Ministry would mean that, instead of 1.25%, the base rose by 6.25%, to 990 euros per month, with a quote rate of 31.8%. By last, the third scenario would imply that the rise of the base out of 12.25%, to 1,050 euros per month, remaining the type of quotation in 31.2%.
Depending on the scenario agreed for 2019, the minimum bases of the corporate self-employed and with more than ten employees under their charge would also be adapted.
It is decided the scenario that is decided, the idea is that it will be in force in 2019 so that by 2020 a system will start up in which the self-employed will quote for their real income. To this end, the Government proposes the creation of a joint table between Labor, the Treasury and self-employed organizations to set five tranches of contribution based on real income, starting from a minimum initial settlement that could be rectified or consolidated at the end of the year.
OPPOSITION OF PODEMOS
We may have warned the Government of Pedro Sanchez that it will not accept the increase of quotas "to any autonomous" and that the agreement to carry out the Budgets of 2019 contemplated the reduction of the quotas to those who entered less than 12,000 euros a year.
This has been assured by his secretary of organization, Pablo Echenique, who in a Twitter message echoed the information on the proposal transferred by the Ministry of Labor to the ATA and UPTA organizations.
«It is important to make it clear. This is not what we agreed. The agreement is not to raise the fee to any self-employed and lower the fee to self-employed who enter less than 12,000 euros a year. The Government must rectify ", underlined Echenique, in a message posted on his Twitter account.