Special scheme for unemployment benefit in tourism activity

On February 12, the Ministry of Labor and Social Security issued a resolution granting a special unemployment benefit scheme for workers engaged in tourism-related activities.

The activities included in this new benefit are: hotels, restaurants, grills, canteens, cafes, bars and pubs, companies with a place dedicated to the organization and realization of parties and events, travel agencies, organizing companies and providers of national and international congresses and fairs, companies dedicated to the ground transport of tourist groups and excursions, concessionaires of Carrasco International Airport and Laguna del Sauce International Airport, air transport of passengers operating in our country, tour guides, and companies operating cinemas and cinema distribution. 

As is well known, tourism-related activities have been one of the most affected by the COVID-19 pandemic. 

Tourism activity has contributed since 2005, an average of between 5% and 8% to the country's GDP, having contributed 6.7% in 2019. (*) 

It is estimated, by the Uruguayan Chamber of Tourism, that due to the incidence of the pandemic that we are currently suffering, the loss of the sector will be around USD 1.4 billion during 2020, while the ECLAC estimate that this loss would be around USD 1,115 million (**). 

Due to the importance of the sector to the country's economy, it is that tourism-related trade unions have permanently insisted to the Government that it be taken into account in the support measures that are implemented. 

Among the measures that have been implemented to encourage and help tourism activity over the past year and the current one, the following are included: VAT discounts, exemption from employer´s social security contributions, extension of guarantees for credits, among others. 

 
As for this new unemployment benefit regime implemented from February, it was clarified by the MTSS that it will be applicable as long as it is more beneficial than the current legal regime. 

 

At Mazars in Uruguay, through its Accounting and Outsourcing Services (AOS) department, we have highly trained professionals to provide you with the best counseling on Payroll and Social Security issues. 

Mazars is the independent firm of accounting, tax, outsourcing and auditor services number one in France and it ranks in the top ten worldwide. 

 

Source: 

www.mtss.gub.uy 

 (*)http://www.iesta.edu.uy/wp-content/uploads/2020/04/Nota_tecnica_Reflexiones_en_tiempos_de_Pandemia_2.pdf 

(**)https://negocios.elpais.com.uy/noticias/cuantos-dolares-perder-uruguay-turismo-cierre-fronteras.html 

Luis Ualde