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How much severance pay is paid? Those of energy and banking multiply by 15 those of hospitality | Economy

In 2020, 479,181 dismissals were registered in Spain, which were carried out by a total of 229,647 companies. In these terminations, an average compensation of 8,965 euros was paid for each dismissal. This is indicated by the latest publication of the statistics on dismissals and their cost carried out by the Ministry of Labor and Social Economy, which reflects a detailed x-ray of the dismissals and their legal compensation. According to these data, the total number of dismissals does not coincide with the number of affected workers (449,317) because some were dismissed more than once in the year.

That said, the first thing that is observed in this study is that in 2020, the worst year of the pandemic, layoffs were not particularly affected, since they barely increased by 0.9% in that year compared to 2019 (with only 4,254 more extinctions). This is surely due to the fact that the vast majority of the jobs destroyed were temporary contracts that were not renewed at the end of their term and the rest, more than 3.5 million jobs, were only suspended in the ERTE of the pandemic and did not reach the dismissal, at least in 2020.

Thus, these figures are comparable with previous years, and what they do show is a huge and growing sectoral disparity in average compensation for dismissal depending on the sector of activity. Thus, for example, the two sectors that pay the highest average severance pay are, by far, electricity, gas and air conditioning supply, and finance and insurance, with average compensation for dismissed workers of 35,777 euros and 33,320 euros, respectively. . This means that these two sectors multiply no less than 15 times the average compensation of the sector that pays the lowest compensation for dismissal: the hotel industry (2,318 euros on average).

These large differences occur fundamentally because these amounts are in line with the working conditions of the sector and the type of productive fabric in which they are developed (type of contract, wages, seniority in the company, company sizes, and turnover levels). in employment). It is true that there were not many layoffs in the energy companies (barely 500), not so in the financial sector where they were close to 9,000.

These figures, in addition, include only the official legal amounts that are extracted from “the dismissals whose cost is the amount compensated exempt from taxation that appears in the records of the State Agency of the Tax Administration and the Provincial Treasury”, according to Labor. According to these amounts, a second group of sectors with compensation that doubles the national average, such as industry, waste management, information and communications (see graph). On the contrary, along with the hotel industry, the other activities with the lowest compensation are agriculture, construction and health, where there is more temporary work and high turnover.

The dismissals in which the company argued objective causes (economic, organisational, technical or production) attributable to the company itself were the most numerous (56%), and, at the same time, those with the lowest compensation (7,840 euros). on average). On the contrary, collective dismissals, which represented 17% of the total, were the ones that were paid the best (12,459 euros on average).

Given that seniority in the company is one of the variables that determine the amount of compensation for dismissal, these data reflect, as expected, that the most expensive compensation is that of workers who have been in the company for two or more years (17,800 on average). But, in addition, the dismissals of employees who have been in the company the longest are also the most numerous: one in three dismissed employees had been in the company for more than 24 months.

Finally, it is also observed that the labor gender gap translates, as is logical, into these compensations, since the average compensation for men exceeded 10,000 euros compared to 7,500 for women.

Where are there more layoffs?

In 2020, four out of ten layoffs (184,578) occurred in companies with less than ten workers, followed by those with between 10 and 49 employees, with almost 100,000 layoffs. On the contrary, the companies in which fewer extinctions occurred were the largest medium-sized ones (from 50 to 249 workers).

By sector, commerce, with more than 81,000 dismissals, was the activity that recorded the most terminations in 2020, although the average compensation in these companies was higher than the national average (10,526 euros per dismissal); it was followed by construction, with 61,540 layoffs, and manufacturing (56,094).

In general terms, the number of dismissals has remained more or less stable and with a downward trend between 2015 and 2017, during the central years of the recovery of employment after the financial crisis; but in 2018 this indicator experienced an inflection and the number of layoffs grew again so that between 2015 and 2010 there have been 5% more job losses.

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