As of the start of the new year, there will be some changes in terms of the Spanish laws and regulations. As your in-country knowledge partner, we have listed the most important legislative changes for you. This way you don’t have to search for them yourself and you know exactly what is changing in the Spanish employment law.
Temporary contracts after the labor reform
Firstly, it should be noted that the “contract for work and services” disappears. In addition, another important element introduced in the labor reform is the presumption of a contract for an indefinite period.
There is only one fixed-term (temporary) contract, which may be entered into on the basis of two causes:
- Due to circumstances of production
- For substitution of a worker
Attention: The “old” contracts (work and service, temporary, interim, or training) that are in force until the end of their maximum duration are maintained!
Conversion of a temporary contract into an indefinite-term contract:
Workers who (in a period of 24 months) have been hired for a period of more than 18 months, with or without solution of continuity, for the same or different job with the same company or group of companies, through 2 or more contracts due to circumstances of production, either directly or through their provision by ETT, will acquire the status of permanent workers.
Penalties in SS contributions
Another important innovation lies in the disincentive to temporary contracts through the inclusion of increasing penalties for short-term temporary contracts of less than 30 days. They will entail an additional contribution to Social Security of EUR 26,00 on the date of termination of the contract.
What about the collective agreement in contracts and subcontracts?
The new wording that the labor reform gives to Article 42.6 of the Workers’ Statute states that the applicable agreement will be that of the sector of the activity carried out in the contract or subcontract, regardless of the corporate purpose or legal form of the contractor or subcontractor, unless there is another applicable sectoral agreement as provided in Title III.
Measures on collective bargaining
In this area, it should be noted that the indefinite ultra activity of collective bargaining agreements is recovered. This means that the conditions established in a collective bargaining agreement will remain in force even after its express term has expired.
Of all the measures approved, the ones that may directly affect our business are those included in this summary.
Do you need assistance?
How can we help you?
Are you curious about what will change in terms of laws and regulations in the other countries we’re located in? Read more about the legal changes in The Netherlands, Germany, Ireland, and France. Do you want to dive deeper into these changes or have any doubts that arise? Our HR experts in Spain are happy to support and schedule a call! Fill out the contact form below and we will get back to you as soon as possible!
Get in contact!
Want to know more about the services we provide? Or do you need support?
Get in contact by filling out the form below. We will get back to you as soon as possible.