Lorenzo Amor attributes part of workers’ loss of purchasing power to the State

Amor calls for income tax brackets to be adjusted for inflation and questions the burden of public charges

Lorenzo Amor, president of the National Federation of Associations of Self-Employed Workers (ATA) and vice president of CEOE, said that “the State is the one keeping the money” during his address at the El Diario Montañés Economic Forum, held on 6 October 2026 in Santander. With this remark, Amor linked wage trends to the increase in withholdings and social security contributions.

According to the figures he presented, wages rose by 31.5% between 2017 and 2025, while reports covering his address attribute different increases to these charges: one reports a 65% rise in payroll withholdings, and another a 65% rise in social security contributions. Amor also noted that the Intergenerational Equity Mechanism increased contributions by 33%. These figures refer to his statements; on their own, they do not constitute a like-for-like comparison of equivalent amounts.

Wages, withholdings and contributions are not the same thing

Wages are a worker’s remuneration; personal income tax withholding is a payment on account of income tax, and social security contributions fund the Social Security system. Although they affect the amount available to workers or labour costs, they have different purposes and calculation bases. Therefore, the percentages cited are not enough to conclude that one of these items has increased by exactly twice as much as another, or to determine how each person’s purchasing power has changed.

Amor argued that the next government should adjust personal income tax brackets for inflation. In general terms, this measure adjusts the tax bands to inflation to prevent an increase in nominal income from raising tax liability solely because of price increases. He presented it as an ATA priority and as a way to ease the burden on taxpayers; it is a political request, not an approved measure.

ATA’s demands on behalf of self-employed workers

At the same forum, Amor criticised the tax burden, bureaucracy and legal uncertainty that, in his view, self-employed workers face. He also called for progress on a VAT exemption scheme, greater clarity and certainty around deductions for self-employed workers, and improved social protection. These are ATA proposals and assessments, not regulatory changes announced as being in force.

The address took place amid debate about economic policy and measures that could be introduced before the general election on 29 November, according to reports from the event. Amor voiced fears that labour initiatives might be approved without social dialogue and questioned administrative requirements that he considers particularly burdensome for small businesses. His criticisms reflect the position of the organisation he leads; they do not, in themselves, establish the actual impact of each rule or proposal on all businesses.

For businesses, the debate highlights the importance of distinguishing between taxes, withholdings and contributions when analysing labour costs and net remuneration. The figures mentioned at the forum set out Amor’s argument, but the available reports do not provide a common methodology that would allow them to be treated as directly comparable measures.