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Spain / Firing Aid was scrapped on Jan. 1

The 2012 overhaul, which made it cheaper to fire workers and easier to reduce wages, extended subsidies for small companies cutting staff. The measure, which brought the cost of firing permanent workers closer to that of temporary staff, was scrapped on Jan. 1 this year.

“One of the most effective provisions of the labor reform has been taken out,” Andrea Bassanini, a senior OECD economist who led a government-commissioned report into the labor overhaul last year, said in a phone interview yesterday.

Chosen excerpts by Job Market Monitor. Read the whole story at  Spain Firing Aid Reversal Risks Jobs, OECD’s Bassanini Says – Bloomberg.

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