- The Council of Ministers approved a royal decree-law extending the programme until 15 April 2018.
- The waiting period to apply for the aid after exhausting benefits is cut from six months to one.
- The government expects it to reach about 210,000 people and puts the cost at 537 million euros.
On 28 April 2017 the Council of Ministers approved a royal decree-law extending the Employment Activation Programme until 15 April 2018. The rule cuts from six months to one the time that must pass before one can apply. The government estimates it will reach about 210,000 people and cost 537 million euros.
The programme, created in late 2014 and extended several times, is aimed at long-term unemployed people with family responsibilities who have exhausted other benefits. It combines financial aid with a personalised job-placement path. The decision came on the Friday before Labour Day and at a time when unemployment remained high by historical standards, despite its decline. The extension aims to prevent those who have been unemployed longest from being left without cover while the jobs recovery does not reach everyone.
What the programme offers
The programme has two parts. The first is a supporting cash payment equal to 80% of the IPREM, the public indicator of income, about 426 euros a month, for a maximum of six months. The second is an individual, personalised path to employment, with a tutor, guidance and training, which beneficiaries undertake to follow while actively looking for work.
To qualify, applicants must meet the requirements set by the rule, including prolonged unemployment, family responsibilities and income limits. The aid does not replace unemployment benefit but is a last safety net for those who have exhausted the usual benefits and are still without work. It is a temporary resource, not a structural solution. Its effectiveness also depends on the quality of guidance and on the jobs available in each region.
What the extension changes
The extension keeps the programme in force until 15 April 2018, so those who meet the requirements can apply during that time. The most relevant change is the waiting period: going from six months to one brings the aid closer to the moment earlier protection runs out and reduces the time without any income.
The decree-law must be validated by Congress within thirty days of its approval, like all rules of this rank. That means its content could be amended during the parliamentary process, so anyone thinking of applying should consult the final text and the application deadlines with the relevant public employment service.
What to review
Families with a long-term unemployed member can check with the public employment service whether they meet the requirements and when is the right time to apply, bearing in mind the new waiting period. It is also wise to gather documentation on income and family composition in good time, because the process requires proving both.
For companies, the programme is relevant indirectly: beneficiaries must actively look for work and take part in guidance and training, so the number of candidates with a path under way grows. Employers can find out from the public employment services about the programmes and aid in force for taking on long-term unemployed people. Hiring someone who has already followed a guidance path may also make it easier to bring them into the team.
Extending an aid does not solve long-term unemployment, but it brings a safety net closer to those who need it most.
This article is general information. It is not legal, tax or investment advice, and it does not take anyone’s particular circumstances into account.
