Government and social partners agree on the need to respond with unity to the economic impact of war in Ukraine

The President of the Government, Pedro Sánchez, presided over a meeting at La Moncloa with the leaders of the CEOE and CEPYME, Antonio Garamendi and Gerardo Cuerva, and the general secretaries of the CC.OO. and UGT, Unai Sordo and Pepe Álvarez.

The Chief Executive agreed with the social agents on the need to respond with maximum unity to the impact that the invasion of Ukraine will have on growth and activity.

Mr. Sánchez has asked for the collaboration of employers and trade unions to promote the National Plan of Response to the Impact of the War, with measures to attend to the sectors most affected by this crisis, accelerate the energy transition and reinforce the resilience of our economy.

The head of the Executive stressed that the mechanisms of social dialogue can help to distribute the impact of the conflict and allow for a faster recovery. Mr. Sánchez has raised with the social agents the need to reach an income pact, in order to provide stability and confidence to society as a whole, avoiding an inflationary spiral and reinforcing the economic recovery, job creation and the purchasing power of wages. Mr. Sánchez acknowledged the work done by employers and trade unions in the recent labor reform and encouraged them to reach a tripartite agreement to overcome the current situation.

The President of the Government has conveyed to the social agents his concern for the current escalation of energy prices due to the impact it has on households and companies. During the meeting, the consequences of the conflict on the Spanish economy were discussed. On the one hand, the impact will be manifested through the reduction of trade flows with Russia or third countries linked to that country and, above all, through the increase in the prices of energy and raw materials.

In order to mitigate the impact of the increase in the price of energy products on the Spanish economy, Mr. Sánchez stressed that work will be carried out in two areas: European and national. The Executive has already conveyed to the European Commission the urgency of adopting effective measures to reduce volatility and temporarily decouple gas and electricity prices.

At the national level, Sánchez has detailed some of the new measures that will be implemented to mitigate the impact of high energy prices. In addition, he has asked the social agents for their help and collaboration to speed up the implementation of the Recovery, Transformation and Resilience Plan, promoting the energy transition and thus reinforcing strategic autonomy for the future. In the first half of the year, more than 24,000 million euros of calls for proposals linked to European funds will be resolved, both through the General State Administration and the autonomous communities.

In addition, the President of the Government has informed the social agents about the evolution of the conflict and has detailed the sanctions imposed on Russia. Likewise, during the meeting, the importance of continuing to support the most vulnerable groups and of responding decisively to the humanitarian crisis, efficiently managing the reception of Ukrainian refugees, was also discussed.

For their part, the social partners have shown their support to the Government in the response to the Russian aggression and their willingness to maintain an intense social dialogue, in order to cushion the economic impact and promote the effective deployment of the investments and reforms of the Recovery Plan.

The meeting was also attended by the First Vice-President and Minister of Economic Affairs and Digital Transformation, Nadia Calviño; the Second Vice-President and Minister of Labor and Social Economy, Yolanda Díaz; the Third Vice-President and Minister for Ecological Transition and the Demographic Challenge, Teresa Ribera; the Minister of Finance and Public Function, María Jesús Montero; the Minister of Transport, Mobility and Urban Agenda, Raquel Sánchez; the Minister of Industry, Trade and Tourism, Reyes Maroto; the Minister of Agriculture, Fisheries and Food, Luis Planas; the Minister of Territorial Policy and Government Spokesperson, Isabel Rodríguez; the Minister of Science and Innovation, Diana Morant; the Minister of Inclusion, Social Security and Migration, José Luis Escrivá; and the Minister of Universities, Joan Subirats.

More information: La Moncloa