Businessmen have written an elaborate document in which they set out their considerations on the increase in taxes and withholdings paid to the State. For the CEOE , this is not the time to increase taxes, but rather to bet on their reduction.
The tax increase no longer generates profits
This is one of the arguments that the employers have presented to justify the document in which they request that the taxes per worker that companies must pay be reduced. According to businessmen , continuing to raise corporate taxes reduces the chances of hiring more workers and, therefore, has a negative effect on employment rates.
The elimination of the wealth tax is also included in the proposal, and they consider a reduction in tax pressure essential, especially for large companies, in the opinion of the employers, companies should not have different tax scales depending on their size .
Few consumption taxes
The employer shows its concern about the scarce consumption data. Statistics indicate that Spain is the European country in which the least taxes are collected for the consumption of goods and services. In reality, it will be difficult for consumption to recover the good data from before the crisis when workers are forced to pay more taxes and companies continue to suffer the bleeding of administrations.
The other objective sought by the employer’s proposal is the reduction of the submerged economy, in recent years the money that is not taxed has increased considerably. Continuous increases in taxes and withholdings and high unemployment rates are behind the increase in the economy b.
Operators still do not include VAT in their prices
December 2, 2013 was the date set for all telephone operators to start publishing their rates, including the corresponding VAT , of 21%.It had been indicated that, if this measure is not complied with, the telephone companies could see their rights to advertising in public media very limited.
Two months after the law was put into effect, only Vodafone complies with the regulations, but to date the rest of the operators have not undergone any corrective measures.
Autocontrol requires operators to comply
Autocontrol is the body in charge of managing and controlling the advertising that is advertised in the media, and among its functions is to ensure that all advertising spots comply with the law .
The National Institute of Consumption promoted a measure for operators to publish their rates with VAT included, the measure became a Law that should begin to be fulfilled from the beginning of December 2013 . More than two months have passed and only Vodafone complies with the law. The red telephone company is now asking Autocontrol to eliminate the competition’s advertising, alleging that no other telecommunications company has modified its advertising in a satisfactory manner.
Along with the request, which Autocontrol has considered fair. Vodafone is considering resorting to legal means to resolve this situation, based on the Unfair Competition Law, since according to the operator, customers receive untrue information and perceive that they are paying a price much lower than the real cost of the service.
To date, Orange, Telefónica, Jazztel, Ono or Yoigo, among others, not only publish their prices without adding VAT , but other taxes, such as the line fee, are also excluded from their «price».
Iberia and its pilots agree
The last five years of the Spanish flight company Iberia have not been exactly good, the company has presented negative numbers when closing its accounts and, five years, they are many years, above all, taking into account the low number of passengers registered by the main national airports.
The situation became even more tense in 2012, the year in which Iberia launched Iberia Express, an independent section of the company in a “ low cost ” format and which sought to become a direct competitor of other low cost companies, such as Ryanair . There was a 15% reduction in the workforce and the group of pilots saw the loss of almost 20% of their workers.
Since then, the strikes have happened within the company and, certainly, they have not been very profitable. The workers have not managed to improve their employment situation, but the company has seen it lose more money, as well as its image and reputation.
Iberia and the pilots reach an agreement
But, finally, the Iberia company and the pilots have managed to reach an agreement, yes, the working conditions of the pilots who fly with Iberia Express are modified :
- The number of flight hours is increased up to the maximum hours allowed by law, which is currently 900 hours per year.
- Rest days are reduced to 13 per month – in other low-cost flight companies, rest days are 14.
- A wage freeze is approved until 2015. At the end of the period, wages will be reviewed based on the profit and loss situation of the company.
- The number of pilots for transoceanic flights goes from 3 to 2.
The agreement supposes the liberation of Iberia Express
Iberia Express intended to be a solution for a new type of passenger, those seeking the lowest price. The implementation of this project, however, had the barrier of agreements and agreements signed by Iberia.
With the agreement reached, the possibility is opened for Iberia Express to obtain new agreements with its workers, but it also opens the possibility of expanding the low cost section with the acquisition of a larger fleet of aircraft.