Thursday, 29 July 2021 23:33

MSMEs must meet two requirements in order to obtain the subsidy for the minimum wage increase

Written by Alondra Gutiérrez

From august 16, a section will be enabled on the website of FIREMPRESA, in which employers of micro, small and medium enterprises (MSMEs) may register to obtain the subsidy for the minimum wage increase, which comes into effect next Sunday, this was announced by the head of the Banco de Desarrollo de El Salvador (BANDESAL), Juan Pablo Durán.

During a television interview, the head of BANDESAL, said that MSMEs must meet two requirements to be able to make the subsidy effective, in which he highlighted the following: to be registered as employers in the Instituto Salvadoreño del Seguro Social  (ISSS) and have a maximum of up to 100 employees.

"Recently the reform to the FIREMPRESA Law was approved, with which we are creating the Subsidy Program to support the increase in the minimum wage, in order to support micro, small and medium enterprises", said the head of BANDESAL.

The head of BANDESAL said that once the employer's information has been validated, the equivalent amount will be deposited to the savings account provided to cover the reported increase in the minimum wage.

The following are the steps to follow to obtain the subsidy from the FIREMPRESA program:

  • Starting August 16 we will enable a section on the FIREMPRESA website, where employers will be able to register.
  • The ISSS will send monthly (for one year) to BANDESAL the payroll of the registered company, through the system".
  • Validation with the information received from the ISSS, the employer's return sent by the employer.
  • Once the employer's information has been validated, we will deposit to the savings account provided the equivalent amount to cover the increase to the minimum wage reported.
  • Once the deposit has been made to the employer's account, the financial institution and the beneficiary company will be informed so that they can execute the operation.