The government is planning a reform agenda for self-employed workers that should land in front of Parliament before year end. The reform will try to boost economic growth in this sector, which has 3.1 million workers as of August Social Security filings. This is nearly on par with 2007 levels.
The measures on the table do not create sweeping changes, although self-employed workers should get better access to financing and easier access to jobs. Also, unemployment checks will get bigger. All these changes are good for a group of workers that exemplify entrepreneurial spirit. Companies will also be able to pay a flat 50-euro tax if they hire self-employed workers, which is cheaper for the companies and good for workers seeking new positions. If the economic recovery in Europe continues to build, this measure could have a positive impact on job numbers.
Today, there are 1.5 million self-employed workers without a steady salary. If 25% of these people could find work, that is 380,000 more people earning a paycheck. These reforms could also allow these workers to benefit from a plan called the Estrategia de Activación Empleo, a government-sponsored plan to generate jobs.
Altogether, these solutions diminish the main problem, but don't solve it. We need to find solid financing for projects that self-employed workers want to create. They simply cannot find loans at affordable interest rates. So long as this Gordian knot is intact, little quick fixes will be welcome, but real growth will not happen.