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The Department of Labour 'scares' companies by letter to bring undeclared work to the Surface

| News | Employment Law and Social Security

Alfredo Aspra analyzes the sanctions faced by companies and self-employed if the Social Security detects that part-time contracts of their employees do not conform to reality in an article published by Expansión

The Social Security has launched a campaign to send letters to companies and the self-employed, warning them that it has detected that their part-time contracts do not match reality. In these letters, the Social Security shows that it knows the details of the contracts and that it doubts the reduced part-time coefficients that they include, since it seems to it that these workers are working longer hours. And he warns companies that if the contract does not include what the employee works, they must regularise this situation. If they do not, they will be subject to an inspection and risk sanctions of up to 6,250 euros per worker, which would be added to 100% of the unpaid contributions, plus a surcharge for late entry, interest and costs.

Alfredo Aspra, managing partner of Employment Law at Andersen Tax & Legal, points out that in practice it means that, for example, if a part-time worker is registered for half of the working day (four hours) and it is actually verified that there are eight working hours, the Social Security could claim the unpaid amount of the half of the working day with the limit of the prescription of four years (this could be between 50% and 100%), plus, where appropriate, the surcharge (20%) for late entry plus interest and costs.

Aspra predicts that this type of action "will discourage part-time contracts," and recalls that the Workers' Statute says that part-time workers cannot work overtime except in very exceptional cases. "If through the record of working hours is verified by the Social Security any variation, however minimal, between the actual hours made by the worker and the one stated in his contract, the immediate consequence could be to abandon this hiring formula, with the negative consequences that could imply in the creation of employment," he warns.

You can read the full article in Expansión.

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