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Mallorca housing strike: small firms warn of losses

Responsible for this content: Frank Menze

On the Spanish island of Mallorca, a housing strike planned for Wednesday, 11 November, could bring financial losses and unhappy customers, a business federation warns. The Federation of Small and Medium-sized Businesses of Mallorca (Pimem) says the general strike is unfair to employers. Its president, Jordi Mora, says it could also hurt workers who are not to blame for the housing problem.

Why Pimem opposes the strike

Pimem says the shortage of affordable homes is not a workplace dispute. It argues that the problem needs action from Spain’s central government and regional governments, rather than businesses. Mora says the demand for affordable housing is justified, but wants public authorities to reach agreements that make homes easier to access.

He also rejects the idea that firms alone determine workers’ spending power. Of every 100 euros of value a small or medium-sized business creates, about 80 euros go towards wages and social contributions, he says. The remainder must cover costs including interest, machinery and investment.

What the federation wants instead

Pimem wants income tax to adjust automatically as prices change, including the part set by the Balearic government. It also calls for more land available for housing, quicker approvals and public-private cooperation to build affordable homes.

The federation wants energy and tax policies that protect families and firms when prices rise. It also backs a law to help small and medium-sized businesses grow, arguing that greater productivity would allow them to pay better wages.

Topics: Strikes · Housing

Source: Europa Press / Mallorca.com

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