SEPE's CAE: Little-Known Aid for Job Return
SEPE's Employment Support Complement (CAE) automatically provides financial aid to unemployed individuals starting new jobs, allowing them to retain some benefits during the transition back to work, though many are unaware of this key feature.
The State Public Employment Service (SEPE) has made the Employment Support Complement (CAE) a key part of its updated unemployment benefits system. This benefit helps people financially when they first start a new job after being unemployed. It allows them to keep getting some unemployment benefits while working. However, many workers, including those in Tenerife, don't know about it, according to SEPE.
The CAE starts automatically when someone receiving unemployment benefits begins working, whether full-time or part-time. Its goal is to make the move back to work easier, so people don't suddenly lose all their financial help. This applies as long as their new income stays within Social Security limits. Unlike some other benefits, you don't choose to receive the CAE; it's usually automatic. However, you must tell the authorities about any special circumstances.
You get this extra payment from the first day of your new job. This applies if you started receiving unemployment benefits after your main contributory benefit ran out, or if you stopped working with 90 to 359 days of contributions. Once you start receiving it, the aid continues and won't be stopped just because you are employed.
How much you get depends on two main things: which quarter of your unemployment benefit period you start working, and how many hours you work. The amounts are a percentage of Spain's Public Indicator of Multiple Effects Income (IPREM), which is a standard for calculating aid. In the first three months, the CAE can be up to 80% of the IPREM for full-time work (around 480 euros). For 50% part-time work, it's 40% (about 240 euros), and for less than 50% part-time, it's 20% (around 120 euros).
The amount you receive gradually decreases over time. From the fifth three-month period onwards, the payments range from 120 euros for full-time work down to 30 euros for less than 50% part-time work. It's important to know that every day you get the CAE counts towards your original unemployment benefit's total duration, no matter how much money you receive. The CAE can last for a maximum of 180 days, which you can use with one or more jobs that qualify.
After three months of getting the CAE while working, you need to apply for an extension to keep receiving it. You can wait until your contract ends to apply for this extension, but you must do so within the given deadlines. A big plus of the CAE is that the money you earn from your job doesn't affect your income limits or family responsibilities while you're getting the complement. This helps protect your right to restart benefits later if needed.
Once you've used up the 180 days of the CAE, your unemployment benefit is paused if it was set to last longer. You can only restart it if you become legally unemployed again. Also, once you've reached this 180-day limit, you cannot combine the same unemployment benefit with another job again.
The Employment Support Complement is therefore a key tool for SEPE. It aims to reduce financial insecurity in the first few months of returning to work and provides more financial stability as people move towards a steady job.