In the context of the health crisis, the Ministry of Labor released data on the scope of state assistance through Repros to companies
The Ministry of Labor reported on Monday that it delivered 154 new Repro since the start of compulsory social isolation, on March 20 last, and assured that assistance for the payment of wages to companies that prove a crisis situation reached in that period 18,303 workers.
Meanwhile, the ATP (Work and Production Assistance Program), which includes the payment of up to 50% of the wages of workers of companies whose activities have been affected by the coronavirus pandemic, was launched especially to mitigate the effects of the pandemic and reached to some 1.6 million workers.
A document of the labor portfolio, headed by the minister Claudio Moroni, indicated that the Productive Recovery Program (Repro) offers to the workers of the companies, whose application has been approved “a fixed monthly remuneration amount of up to an amount equivalent to the salary minimum, vital and mobile per employee, updated to the grant date and up to 12 months. ”
“This is intended to complete the salary of their job category,” said Trabajo, adding that 177 companies were benefited this year by this assistance, 154 of which received the Repro during the isolation imposed by the coronavirus pandemic.
“The total number of workers reached so far was 18,705, and 18,303 of them belong to companies assisted during the pandemic”added Labor.
The activities that most requested the benefit were food, metallurgical, textile, construction, automotive and audiovisual, and the provinces with the highest amount of Repro granted were Buenos Aires, Federal Capital, Córdoba and Santa Fe, the State ministry said. in the statement.
To access the benefit, companies must prove the crisis situation they are going through and detail the actions to be carried out for their recovery.
They must also commit not to lay off staff and maintain the total payroll of workers, while the request can be made virtually through the Remote Procedures (TAD) platform, concluded Work.
The Repro scheme provides companies with help to pay salaries.
Industrialists ask for help until the end of the year
The Argentine Industrial Union (UIA) proposed last Friday the continuity until the end of the year of the Emergency Assistance Program for Work and Production (ATP), the strengthening of unemployment insurance and the reactivation of the Productive Recovery program (Repro).
These are some of the axes of the document prepared by the entity with its post-pandemic reactivation proposal with consensus and promotion policies, anticipated by national government officials in recent weeks, as reported.
In the document, the UIA stated the need for “the continuity of ATP until the end of the year for companies with a sharp drop in sales or licensed workers”, which contemplates the inclusion of organizations of all sizes.
It also considered unemployment insurance necessary to “support the transition of workers to new forms of work” and proposed a “voluntary early retirement” for people who are close to retirement age.
The UIA also asked “to avoid the massive bankruptcy of companies” due to the alteration of the payment chain and “to avoid the collapse of the economic system and the legal system” and suggests the creation of a “Simplified Repro for companies in crisis procedure” program.
The factory entity, on the other hand, recommended “not to add new national, provincial or municipal taxes that affect investment and employment.”
Industry calls for easing tax pressure.
The moratorium, a key requirement
For the UIA, an “extension of the Moratorium of the Solidarity Law and Facility Plan for MSMEs is necessary, including debts accrued during the emergency”.
In the same way, he proposed establishing a “similar Moratorium and Payment Facility Plan whose universe is the legal entities not included in Law 27,541, without distinctions, adapting the payment plans so that the MSMEs enjoy a greater benefit.”
In another order, recommends implementing an “extension of VAT maturities and Earnings advances”, that allow companies to have a temporary availability for working capital, given the lower sales and the extension of payment terms.
He also raised the possibility of implementing “Incentives” to those taxpayers who cancel their tax and pension obligations based on the original schedule.
Another proposal of the UIA is “to reduce 50% or allow the calculation of 100% of the Tax on Bank Debits and Credits” (known as Tax on Check) as payment on account of Income Taxes, VAT, Personal Property, from 03/20/2020 and up to 60 days after the end of the emergency and reestablish the “partial VAT refund for purchases with a bank debit”.
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