ARCHIVED - 14,000 Burger King staff in Spain temporarily laid off

ERTE temporary unemployment schemes are likely to be adopted by thousands of companies across Spain

Due to the forced temporary closure of its 846 restaurants throughout Spain, Burger King España has presented a Temporary Employment Regulation plan (ERTE) to effectively lay of 14,000 staff until such time as the coronavirus crisis eases off sufficiently for them to be taken on again.

The “ERTE” is a financial instrument which until now may be unfamiliar to most of us but is likely to become part of the everyday vocabulary of Spain in the very near future. In essence it allows businesses and companies facing a temporary financial crisis to unburden themselves of staff costs by making the workforce redundant until conditions change and it is feasible to take them on again, while at the same time providing benefits to the workers so that they are not deprived of their income, receiving a significant part of their normal earnings from the State Social Security funds.

In the case of Burger King España (and countless other businesses throughout Spain) it is clear that the coronavirus crisis completely eliminates all turnover, making it impossible to meet wage and salary bills, and for this reason the company presented the ERTE on Monday with the intention of maintaining it “until normality is re-established”. Looking ahead, a company statement comments that the decision has been made after weighing up various alternatives with a view to maintaining employment when the current situation is over and to guaranteeing the stability of the company.

Of the 846 Burger King restaurants in Spain 476 are run by the company itself and the remaining 370 are operated as franchises, and the ERTE covers staff in all of them. Last Friday it had been decided to close the doors to the public but to continue with home deliveries in order to make it possible to keep staff on, but logistical problems regarding the delivery service meant that this option proved too difficult to operate successfully.

Other companies to have already presented ERTEs include the Zaragoza-based mattress manufacturers Pikolín, while airlines including Iberia and Norwegian, car manufacturers, hotels, bars and businesses from almost every sector imaginable are expected to follow suit very soon.

On Monday 60 ERTEs were presented in the Region of Murcia alone, while across the whole of Spain as many as 100,000 workers were affected as employers hastily initiated proceedings to implement the schemes. On the other hand, department store chain El Corte Inglés issued a reassuring statement for its staff to the effect that it has sufficient financial resources to withstand a closure of two months before resorting to an ERTE, although it remains to be seen whether the management will opt to do so.

In anticipation of the probable glut of ERTEs in the coming days and weeks the government is preparing to announced measures to facilitate the authorization of the schemes on Tuesday.

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What to do if you are in the Region of Murcia and believe you may have contracted the virus

The regional government has set up a special helpline to supply information to members of the public (900 121212), and also urges people to call the 112 emergency services line if they suspect that they may have contracted the virus rather than going straight to hospital or to a medical centre. Medical staff will be sent to your home to test for the virus.

The Region’s public hospitals have limited the number of visitors to just one per patient.

Sensible precautions

The advice being issued to members of the public by medical authorities all over the world coincides on the following points:

- Wash hands frequently with either soap and water or a sanitiser gel

- Catch coughs and sneezes with disposable tissues – and throw the tissues away immediately after use before immediately washing your hands!

- If you don’t have a tissue, use your sleeve – and wash the item of clothing used at the next opportunity

- AVOID touching your eyes, nose and mouth with unwashed hands

- AVOID close contact with people who are unwell

- Don´t panic!