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← Overview Database of Innovative Social Policies in Europe

Incentives for hiring, regulated by the Royal Decree-law 4/2013, of 22nd of February, of support to entrepreneurial and promoting the growth and employment creation measures

Country of implementation
General short description of the innovation
This policy consists of a set of measures: / - Incentives for partial hiring linked to training (reduction of the Social Security taxes for hiring youth unemployed under 30 years old) / - Indefinite youth hiring by microenterprises or freelance / - Incentives for hiring in new projects of youth entrepreneurship / - First young employment / - Incentives for practice contracts to the first job / - Incentives for incorporating young people in social economy entities /
Target group
Policy Field
  • employment
  • general fiscal
Type of Policy
  • public
Duration of the policy
Scope of innovation
  • Scope: Temporary
  • Budgets: Unspecified
  • Number of intended beneficiaries: Unspecified
  • Spatial coverage: National
General description of (intended) objectives and strategies
The main objective of this policy is to encourage measures addressed to reduce the youth unemployment through Incentives for the companies hiring young unemployed.
Nature of the innovation-short-term perspective
To promote the young unemployed hiring
Nature of the innovation-long-term perspective
): To improve the young employability, the quality and stability of youth jobs, to adjust the education and training to the labour market reality and to reduce the early school leaving rate
Type of ideal-typical strategy for the innovation
  • liberalisation
Type of innovation
  • retrenchment or expansion of an existing/earlier policy
New outputs
  • subsidies/tax-credits (This policy consists of a reduction and bonuses for the Social Security for hiring young unemployed people)
Intended target group
Young people (under 30 years old)
Working age population
  • employment situation (Unemployed)
  • income level (low/medium/high) (Without incomes or with low ones)
  • main source of income: social protection (Young unemployed people with or without benefits)
Employers-private institutional actors
Companies, freelance or microentrerprises
Actors involved in policy-making/implementation and/or evaluation
  • central state (Head of State and the State Public Employment Service)
Intended output
  • others (Policy in force)
Did the innovation have any outcome related to job quantity?
Policy in force
Intended and unintended outcomes
Policy in force
Clarification of outcomes in terms of impacting resilience and labour market inclusion
This policy contributes to the labour market inclusion of young people without experience or with low one, contributing to the opportunities equality in the access to the labour market
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