Second Extension of the RED Mechanism for the Automotive Sector until December 2026
30 Jun 2026
Effective: 01 Jul 2026
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Who is affected:
Motor vehicle manufacturing companies and their supply chain, and their workers
Summary
The Government extends until 31 December 2026 the mechanism that allows vehicle manufacturing companies and their supply chain to apply for ERTEs with public support. Companies must commit to not dismissing workers for two years after the measures end.
Detailed analysis
PRO
The Council of Ministers approves the second and final possible extension of the sectoral RED Mechanism for motor vehicle manufacturing, effective from 1 July to 31 December 2026. Companies classified in the CNAE codes of annex I that prove loss of affiliation exceeding 25% and have maintained more than 30% of staff in…
Full official title
Orden PJC/654/2026, de 29 de junio, por la que se publica el Acuerdo del Consejo de Ministros de 29 de junio de 2026, por el que se aprueba la segunda prórroga del Mecanismo RED de Flexibilidad y Estabilización del Empleo para el sector de la fabricación de vehículos de motor, activado por el Acuerdo del Consejo de Ministros de 23 de diciembre de 2024, de conformidad con el artículo 47 bis del texto refundido de la Ley del Estatuto de los Trabajadores, aprobado por el Real Decreto Legislativo 2/2015, de 23 de octubre.
