Spanish Social Security: Employer Obligations and Worker Benefits
Obligations of the Company with Social Security
The first entrepreneur to employ people within the scope of social security should request their own registration and listing.
Registration of Businesses: This is an indispensable prerequisite to the initiation of activities in social security. It is unique for the entire Spanish State. Following the business sign-up, a social security code is assigned for the contribution account and identification numbers.
Membership and Registration of Workers: Employers are obliged to affiliate all workers in the social security system. Membership is compulsory for all staff within social security and is subject to changes. These must be made by the company, but may be practiced by the workers themselves. The registration will be conducted before the commencement of the employment relationship.
Worker Discharge: When a worker ends an employment relationship, they must be discharged. The discharge of workers should be reported to social security within 6 calendar days.
Summary: The employer must enter the Social Security contributions. This obligation continues throughout the time that the worker is with the company.
Benefits for Death and Survival
- Death Help: Help to pay for funeral expenses, the beneficiary is the person paying it.
- Widows’ Pension: Pension annuity for surviving spouse without other income support.
- Orphan’s Pension: Entitled to the children of the deceased under 18 years.
- Pension for Families: Beneficiaries are the spouse and children who have always lived with and depended on the deceased worker.
Unemployment
This situation occurs when people who are able and willing to work lose their jobs or see their hours reduced by at least one third of their salary.
Contributory: Unemployment benefit is intended to provide benefits to persons in unemployment.
Level of Care: Unemployment allowance is granted to those unemployed lacking income above the Minimum Interprofessional Salary (SMI).
To qualify for the service: You must be affiliated with social security and registered, be in legal unemployment status, have completed the minimum contribution period, and not have reached the contributory pension retirement age.
Permanent Disability
This occurs when a worker, after medical discharge, presents serious anatomical or functional reductions that diminish or negate their ability to work, in the following degrees:
Partial Permanent Disability: For the usual occupation, the worker experiences a decrease of not less than 33% in their professional yield. (Delivery: 24 months amount equivalent to the base.)
Total Permanent Disability: Disables the worker from performing essential tasks of their profession. (Providing 55% of the base, which can be increased.)
Absolute Permanent Disability: Prevents the worker from exercising any profession or trade. (Supply: 100% of the base.)
Major Disability: A condition where a worker is affected by unseaworthiness. (100% of the base, with a complementary increase not more than 45% of the base.)
Temporary Disability
This is the situation where workers are temporarily incapacitated to work due to health issues or professional illness.
The situations that cause temporary incapacitation are: Common illness or non-occupational accident, occupational accident or disease. People experiencing temporary disability may receive economic benefits if they meet the following requirements: Being affiliated with social security or registered in case of common illness, occupational disease, or accident. The maximum duration of temporary incapacity is 12 months. Beyond this period, the worker will be given a medical discharge or the incapacity status will be reviewed within 3 months. The economic benefit depends on the situation.
Allowance for Temporary Disability:
Common Illness and Non-Occupational Accident: The first 3 days are not paid by the employer. From the 4th to 15th day, 60% of the base is paid by the employer. From the 16th to 20th day, 60% of the base is paid by the employer or mutual insurance of the INSS. From the 21st day onwards, 75% of the base is paid by the INSS or mutual insurance.
Occupational Disease and Accident: From the day following the incident, 75% of the regular base is paid by the INSS or mutual insurance.
Unemployment benefits are received by people without adequate labor who have not rejected an offer or refused to participate and lack any kind of income in excess of 80% of the IPREM (Public Indicator of Income Effects) in specific situations indicated in the table.