INCENTIVES PROGRAM FOR INDEFINITE HIRING CAM

The Community of Madrid by virtue of the ORDER of December 30, 2020, of the Minister of Economy, Employment and Competitiveness, declaring the amount of budget credit available for the direct concession, during the year 2021, of the Permanent Contract Incentive Program has created a series of grants to facilitate the incorporation of unemployed people into the ordinary job market, as well as the promotion and maintenance of stable and quality employment in the Community of Madrid.

The help consists of the following terms:

    • 4.000 € each initial full-time permanent contract.
    • 5.000 € each initial full-time permanent contract made to unemployed people who have caused involuntary leave, during the state of alarm decreed by Royal Decree 463/2020, of March 14, including its extensions.
    • 5.500 € each initial full-time permanent contract made to the following groups:
      • Over 45 years old
      • Workers returned from abroad to the Community of Madrid.
      • Unemployed persons registered as job seekers with at least 360 days in the 540 days prior to the date of their hiring.
    • 7.500 € each initial full-time permanent contract made to the following groups:
      • People over 45 years of age registered as unemployed job seekers with at least 360 days in the previous 540 days.
      • Long-term unemployed persons with 24 months or more unemployed.

By way of compliance with the requirements for obtaining the aforementioned aid, the following are established, among others:

  • The contracts must be formalized in writing and the person hired correctly registered in the corresponding Social Security scheme.
  • That the people hired have been previously registered as job seekers.
  • The work center where the hired person provides work must be in the Community of Madrid.
  • Only a maximum of 10 contracts per beneficiary may be subsidized in each calendar year.
  • Permanent hiring must entail a net increase in the level of permanent employment of the company.
  • Both registration in Social Security and the beginning of the employment relationship must be prior to the submission of the grant application.
  • Maintenance of subsidized hiring and registration with Social Security for a minimum period of 12 months for the person hired.
  • Maintain the working hours of the worker for whom the subsidy was awarded.
  • Communicate, within a month from the date on which it takes place, the variations that occur in relation to the contracts made.
  • Communicate the obtaining of other grants.
  • Inform people with subsidized contracts that said contract is financed with funds from the SEPE.
  • Prove compliance with the mandatory period of contract maintenance and registration with Social Security (1 month from the minimum period required).
  • Keep for five years from the granting order, the documents justifying the application of the funds received.
  • Communicate, within a month from the date they take place, the changes, terminations and / or revocations of representatives or authorized persons who have been expressly designated to receive notifications or for the purposes of this program.

For more information if you are interested in requesting it, we remain at your disposal.

All the best.

HERRERA ECONOMISTS AND LAWYERS