Spanish Labor Laws: A Comprehensive Guide to Contracts, Wages, and Working Conditions

Posted on May 2, 2024 in Law & Jurisprudence

HORAS EXTRAORDINARIAS (Overtime)

Every hour worked beyond the ordinary workday is considered overtime. If the workday exceeds 40 hours per week but does not surpass the annual limit, it is considered overtime and may not exceed 80 hours. Overtime is paid as per agreement but not less than the ordinary rate. It can also be compensated with rest periods and leaves.

DESCANSOS Y PERMISOS (Rest Breaks and Leaves)

This refers to the period when the worker is not available to the employer. There are eight types:

1) Descanso Semanal (Weekly Rest)

The right to a one-and-a-half-day rest period, including Saturday afternoon or Monday morning and Sunday. It can be accumulated every 14 days. For those under 18 years old, it will be two days. This rest period is mandatory.

2) Descanso Entre Día (Rest Between Days)

Between the end of one workday and the start of the next, there must be a minimum of 12 hours of rest.

3) Descanso Jornada Continua (Continuous Workday Rest)

There must be a continuous rest period of at least 15 minutes when the workday exceeds 6 hours. This time will be considered effective working time. For those under 18, it must be at least 35 minutes.

4) Fiestas Laborales (Working Holidays)

These are paid and non-recoverable days. The total number per year is 14, coinciding with festivities and falling on Sundays and Mondays.

5) Vacaciones (Vacation)

In no case less than 30 days, to be enjoyed between January 1st and December 31st. The salary will be paid as usual. It cannot be replaced by economic compensation except when the contract expires and has not been enjoyed. For each month of work, 2.5 days of vacation are accrued. The vacation schedule is published at least two months in advance, and any disagreements are resolved by the labor court through an emergency procedure.

6) Permisos Retribuidos (Paid Leaves)

These are authorizations for absence from work that must be paid as a normal workday. The requirements are:

  1. The worker must notify and justify the reason for the leave.
  2. Leaves must be enjoyed on the date they occur, without changing working days.
  3. They cannot be deducted from the vacation period.

The leaves are:

  1. Marriage: 15 calendar days
  2. Technical Exams and Childbirth Preparation
  3. Birth, adoption, or foster care of a child, or death, accident, or serious illness of relatives up to the 2nd degree of consanguinity or affinity: 2 days in the same city and 4 days if travel is required.
  4. Relocation of habitual residence: 1 day
  5. Fulfillment of an inexcusable public and personal duty
  6. Breastfeeding of a child under 9 months: 1 hour a day divided into two parts or a reduction of half an hour in the workday for both the father and mother if both are employed.
  7. Representation Functions (council members): the time needed.

MODIFICACIÓN DEL CONTRATO DE TRABAJO (Amendment to Employment Contract)

There are two types of modifications:

A) No Sustancial (Non-Substantial)

These are insignificant changes that can be made without any specific requirements.

B) Modificación Sustancial (Substantial Modification)

These have a significant impact and transform the employment relationship, affecting the schedule, workday, shift system, remuneration system, work system, performance, and functions that do not belong to the worker’s category. To make these modifications, the employer must justify that they are for the benefit of the company or the individual worker. They may affect the collective agreement and must be considered collectively if they affect a certain number of workers within 90 days.

Number of Workers Affected / Percentage:

  • Up to 99 / 10%
  • From 100 to 299 / 10%
  • From 300 / 30%

EL PROCEDIMIENTO (The Procedure)

For the employer to make changes:

A) Modificación Individual (Individual Modification)

The employer must notify the worker within 30 days, justifying the economic, technical conditions, etc. The worker may accept or reject the modification. If the worker rejects a modification that affects the shift system or working hours, they will receive compensation of 20 days’ salary per year worked, with a maximum of 9 months’ salary. If the modification is detrimental to the worker’s training or dignity, it will be considered unfair dismissal, with the right to 45 days’ salary per year worked and a maximum of 42 months’ salary. If the employee does not agree, they must go to the labor court for a decision.

B) Modificación Colectiva (Collective Modification)

Unless an agreement is reached within 15 days (consultation period), the employer will communicate the effects 30 days in advance, whether the workers accept or disagree with the new conditions, which are the same as in individual modifications.

FORMALIZACIÓN DEL CONTRATO (Formalization of the Contract)

With the signing of a contract, the worker expresses their agreement with its terms. It is considered invalid if it contains unfair terms or is in fraud of the law. After signing the contract, the employer must deliver a copy to the worker’s representatives and, within 10 days of signing, send a signed copy by the worker’s representatives to the employment office.

PERIODO DE PRUEBA (Trial Period)

A trial period can be established upon signing the contract. If not specified in the contract, it will be necessary to refer to the collective agreement or the Workers’ Statute. During the trial period, either party can terminate the employment relationship without any compensation. The rights are the same as if there had been no trial period.

The duration of the trial period will be:

  • 6 months for university graduates and a maximum of 2 months for others, unless the company has fewer than 25 employees, in which case it may not exceed 3 months.

The contract becomes permanent full-time when:

  • The contract is written and the work has been carried out beyond the trial period.
  • When the employer does not register the employee with Social Security on time.
  • When a contract is signed in fraud of the law.

EL SALARIO (The Salary)

Compensation for work performed, paid by the employer to the worker in exchange for their services.

2 Clases (2 Types):

  • In cash or by transfer or check.
  • In kind: perception of goods or services.

Casos especiales (Special cases):

  • The company offers the worker housing + salary, thus saving them the search.
  • The company provides the employee with a car.
  • The company grants a loan with low interest.
  • The company pays for the employee’s family’s studies.
  • The company pays insurance premiums.
  • The company makes contributions to pension plans.

Salaries in kind may not exceed 30% of the worker’s total compensation.

PAGO DE SALARIO (Salary Payment)

  • Must be paid without exceeding the agreed date by more than one month.
  • Should be paid at the workplace.
  • The worker has the right to receive an advance for the work done.
  • Payment must be made in current currency, check, or transfer.
  • Late payment generates an annual interest of 10% on the appropriate amount.
  • The paycheck is the payroll document, and it shows all income and deduction concepts.

JORNADA DE TRABAJO (Workday)

The time the worker dedicates to performing their activity. The maximum duration of the normal workday is 40 hours per week. If the worker suffers an accident on the way to or from work, it is considered an accident as long as the space and time are reasonable. The maximum daily workday is 9 hours, with a time distribution that allows for at least 12 hours of rest between workdays. Rest periods cannot be accumulated and will be taken on rest days. For those under 18, the maximum workday is 8 hours.

TRABAJO NOCTURNO (Night Work)

Occupying the same position at different hours within a given period of days or weeks.

Trabajo Nocturno (Night Work):

It is between 10 pm and 6 am. It is prohibited for minors under 18. The daily workday may not exceed 8 hours. To be considered night work, it must cover at least 3 hours of the schedule.

REDUCCIÓN DE JORNADA (Reduced Workday)

A) Por Guarda Legal o Cuidado Familiar (For Legal Guardianship or Family Care)

  • 1-4 hours if the child is under 8 years old, has a disability, sensory or psychological impairment, and does not perform any gainful activity, or for a family member up to the 2nd degree who, due to age or illness, cannot care for themselves and does not perform any gainful activity.

B) Lactancia (Breastfeeding)

  • 1 hour of absence from work for a child under 9 months, which may be divided into two parts or reduced to half the time without affecting the salary. This applies to both the father and the mother if both are employed.