Spain

Labor Compliance Guide

Labor Requirements

Spain’s employment relationships are regulated by the Workers’ Statute. However, equally important sources of labor relations are  Collective Bargaining Agreements (“CBAs”). CBA’s are negotiated by the representatives of the workers and the employer at the sector/company level. These CBAs can provide for better entitlements on certain working conditions (i.e. annual leave, holidays).

Hours & Pay Regulations

Normal Working Hours

The duration of the working day will be that agreed in the collective agreements or employment contracts. The maximum duration of the ordinary working day will be 40 hours per week of effective work on average in annual computation.  The maximum workday is 9 hours.

 

Flexible working hours in excess of the nine hours per day limit can be agreed upon under a CBA or between the employer and the employee. Art 34 of the Workers’ Statute.

 

Recording Requirement

For the purposes of calculating overtime, the working hours of each employee will be recorded day by day and will be totaled in the period set for payment of the remuneration, giving a copy of the summary to the employee in the corresponding receipt. This record must include the specific start and end times of each employee’s working day, without prejudice to any flexible hours that may be provided for. The register must therefore contain, as a minimum, the start and end time of each worker’s working day.

 

The working hours of part-time employees will be recorded day by day and will be totaled monthly, giving the employee a copy, along with the receipt of wages, of the summary of all the hours worked each month, both ordinary and complementary work. The employer must keep the monthly summaries of the working hour’s records for a minimum period of four years. Art 12 and 35, of the Workers’ Statute. 

 

Shift Work

Shift work is considered to be any form of work according to which employees successively occupy the same jobs, according to a certain rhythm, continuous or discontinuous, implying for the employees, the need to provide their services at different times in a given period of days or weeks.

 

In companies with continuous production processes 24 hours a day, in the organization of shift work, the rotation of the shifts will be taken into account, and that no worker is working at night for more than two consecutive weeks, except for voluntary assignment.

Companies that, due to the nature of their activity, carry out shift work, including Sundays and holidays, may do so either by teams of workers who carry out their activity for full weeks or by hiring personnel to complete the necessary equipment for one or more days a week. Art 36, of the Workers’ Statute. 

Overtime

Employees are not legally required to work overtime unless this is stipulated in a collective agreement or individual employment contract. Overtime must be paid by the hour, applying a premium over the standard hourly rate or compensated with equal time off. The employer is free to choose between offering overtime pay or time off in lieu.

 

The number of overtime hours may not exceed 80 per year. For employees who, due to the modality or duration of their contract, work a working day in annual calculation less than the general working day in the company, the maximum annual number of overtime hours will be reduced in the same proportion that exists between such days. Senior employees (ie, employees who report to the board of directors and have managerial powers) can and often waive their right to overtime pay or compensatory time off.

 

In the absence of an agreement in this regard, it will be understood that the overtime hours performed must be compensated by rest within 4 months of their completion. The compensatory rest is equivalent to the number of hours worked as overtime.

 

The maximum duration of the ordinary working day, nor for the computation of the maximum number of authorized overtime hours, the excess of hours worked to prevent or repair accidents and other extraordinary and urgent damages will not be taken into account, without prejudice to their compensation as overtime. Overtime hours and pay are usually governed by the applicable CBA, which will often provide for more generous entitlements. Art 35, of the Workers’ Statute. 

Night Work

Work performed between 10 p.m. and 6 a.m. is considered night work and qualifies the employee for premium pay, the amount of which is established by collective agreement. A night employee shall be considered to be one who normally performs a part of the day’s work during the night period for not less than three hours, as well as one who is expected to be able to perform in such period. a part of not less than a third of their annual working hours.

 

The workday of night workers may not exceed eight hours a day on average, in a reference period of fifteen days. These employees may not work overtime. Overtime may not be done within the night period, except in the cases of special days extended by regulation or when necessary to prevent and repair accidents.

 

The premium must be paid to anyone whose shift includes three hours or more of night work. A free health assessment must be provided to workers before they begin working a night shift and at regular intervals thereafter. Night workers who experience health problems must be allowed to transfer to a daytime job.

 

Pay – Night work will have a specific remuneration that will be determined in collective bargaining unless the salary has been established taking into account that the work is done at night by its own nature or compensation for night work has been agreed to be given as compensatory off. Art 36, of the Workers’ Statute. 

Breaks

Employees required to work more than 6 uninterrupted hours are entitled to a minimum of 15 ­minutes. This rest period will be considered an effective working time when so established by collective agreement or employment contract Employees under 18 years of age may work a maximum of eight hours per day and must be given 30 ­minute breaks if their working day exceeds 4 1/2 continuous hours. Art 34, of the Workers’ Statute.

Daily Rest

An employee shall be entitled to 12 hours of rest between the end of a day and the beginning of the next day. Art 34, of the Workers’ Statute.

 

Weekly Rest

Employees will have the right to an uninterrupted 1.5 days of minimum weekly rest. The weekly rest can be accumulated over a maximum period of 2 weeks. Weekly rest as a general rule consists of Saturday afternoon or, where appropriate, Monday morning and the full day Sunday. The duration of the weekly rest for minors under eighteen years of age will be at least two uninterrupted days. Art 37, of the Workers’ Statute.

Public Holidays

Employees are entitled to 14 public holidays per year. 8 holidays are observed countrywide:

  • New Years: January 1st. Friday
  • Good Friday:  April 2. Friday
  • Labor Festival:  May 1. Saturday
  • National Holiday of Spain:  October 12. Tuesday
  • All Saints:  November 1. Monday
  • Constitution Day:  December 6, Monday
  • Immaculate Conception:  December 8. Wednesday
  • Christmas Day:  Saturday, December 25

Besides national holidays, each region (Andalucía, Aragon, Asturias, the Balearic Islands, the Basque Country, the Canary Islands, Cantabria, Castile and Leon, Castilla la Mancha, Catalonia, Extremadura, Galicia, Madrid, Murcia, Navarre, La Rioja, and the Valencian Community) decides on three additional holidays of its own and each local council on two.

 

Working holidays shall be paid at the regular rate and are not recoverable, and may not exceed 14 a year, of which two shall be local working holidays.

 

The government may elect to observe holidays that fall on weekdays on the following Monday the object of transfer to the Monday immediately after the work rest corresponding to the holidays that coincide with Sunday. 

 

If any autonomous community could not establish one of its traditional festivals because a sufficient number of national holidays does not coincide with Sunday, it may, in the year that this occurs, add one more festival, as recoverable, to a maximum of fourteen. Art 37, of the Workers’ Statute. Royal Decree, 2001/1983 of July 28.

Annual Leave

Employees are entitled to a minimum of 30 calendar days of annual leave paid at their regular rate; this can be increased by collective agreements or by individual employment contracts.

 

Leave entitlement is reduced proportionally for periods of employment less than a year. Unused leave does not generally carry forward to the next year, although there are exceptions to this rule (e.g., pregnancy or maternity leave). Payment in lieu of leave is not permitted except on termination of the employment contract.

 

When employees can take their annual leave entitlement is a matter for agreement between the employer and the employee. In case of disagreement between the parties, the dates will be decided by local labor authorities. If an employee’s holiday period coincides with certain temporary disabilities—including pregnancy, childbirth, or breast­feeding—the employee is entitled to take a paid vacation at another time within the same year. If the temporary disability has another cause, the employees may take a paid vacation at another time within 18 months. Art 38, of the Workers’ Statute.

Minimum Wage

Effective June 1, 2020, the minimum wage rate in Spain is 1108.3 € per month.

 

Extraordinary bonuses

The worker is entitled to two extraordinary bonuses per year, one of them on the occasion of the Christmas holidays and the other in the month that is set by collective agreement or by agreement between the employer and the legal representatives of the workers. Likewise, the number of such bonuses will be fixed by collective agreement.

 

 

The minimum wage given above is subject to change and may not be up to date. Kindly access the link to get current wage rates.

Special Leave

Sick Leave

Employees are entitled to up to 12 months’ sick leave. Subject to obtaining a doctor’s certificate, sick leave can be extended by up to a further six months. At the end of the 18-month sick leave period, the social security body determines whether:

      • the employee is fit to return to work;
      • the employee is suffering from a permanent disability or illness and therefore is unable or unfit to return to work, in which case their employment contract will end and the employee will be entitled to a state pension; or
      • the employee does not suffer from a permanent disability or illness and is expected to recover, but remains unfit for work, in which case they may be entitled to a further extension of up to six months. The maximum potential period of sick leave is therefore 24 months.

Sick pay for non-work related injuries and illnesses 

An employee is entitled to a percentage of their salary, the total amount of which is capped at €3,751.20 per month. The multiplier used to determine the amount of sick pay is known as the ‘average daily base’ as used to calculate the social security contributions that applied during the month before the sick leave:

        • days one to three – there is no statutory requirement for either the employer or the state to pay the employee;
        • days four to 20 – the employee is entitled to sick pay from the employer equal to 60% of their reference salary (capped). This amount cannot be recovered from the state, and
        • from day 21 onwards – the employee is entitled to sick pay from the employer equal to 75% of their reference salary (capped). This amount can be recovered from the state.

After 18 months’ sick leave, the employer will no longer be obliged to pay sickness-related social security contributions for the employee.

 

Sick pay for work-related injuries and illness 

For work-related injuries and illnesses, the employee is entitled to sick pay from the employer equal to 75% of their reference salary (capped) from day one onwards. This amount can be recovered from the Mutua Madrileña (a non-profit Spanish insurer). General Social Security Act, 2015, arts. 216.

Maternity Leave

Employees are entitled to a maximum of 16 weeks’ maternity leave, comprising:

      • 6 compulsory weeks, which must be taken by the mother following birth; and
      • 10 flexible weeks, which can be used either before or after childbirth or can be transferred to the working father, whether or not he is married to the mother, subject to being registered with the State Social Security System. 

This time off can be taken concurrently or successively. The 10 weeks cannot be transferred to the father if the mother’s return to work before the end of the leave would endanger her health. The 16 weeks’ leave can be extended in the following circumstances:

        • in the case of multiple births, in which case two weeks’ additional leave per child is offered;
        • where the child is born with a disability, in which case two weeks’ additional leave is offered;
        • in the case of premature birth, in which case 13 weeks’ additional leave is offered; and
        • in the case of the hospitalization of the child, in which case 13 weeks’ additional leave is offered.

The employment contract, applicable CBA or company policy can offer more generous entitlements. The mother is also entitled to time off to attend antenatal medical appointments and parenting and birth preparation classes, as well as time off post-birth for breastfeeding purposes.

 

Breastfeeding Break

During the nine months following the birth, the employee is entitled to work 1 hour less per day without any reduction in the salary. The hour can be taken in two separate 30-minute breaks. Alternatively, the employee can elect to shorten the working day by 30 minutes or accumulate the time as paid working days (15 days approximately). This right is transferable to the working father. 

These rights are gender-neutral and are applicable to same-sex couples, adoptions or family placements, and guardianships for the purpose of adoption or fostering.

 

Pay – Although all employed mothers are entitled to maternity leave, they will be entitled to social security benefits only if they satisfy the social security eligibility requirements. Once the mother meets these requirements, she is entitled to benefits equal to 100% of her average monthly salary, capped at €3,751.20 for the duration of her leave. If she does not satisfy the eligibility requirements, the mother will be entitled to a flat-rate benefit of €532.51 per month, equal to €17.75 per day, for up to 42 days. Royal Legislative Decree 2/2015 approving the consolidated text of the workers’ Statute, art. 48(4) (Spanish); Royal Legislative Decree 1/1995, art. 56.

Paternity Leave

Fathers of a newborn are entitled to 16 weeks of paid paternity leave. There is a mandatory period of 4 uninterrupted weeks of paternity leave immediately after childbirth for both mother and father. After that, the father can take the other 8 weeks continuously or uninterruptedly, by week, and on full, or partial time arrangement during the child’s first year. But if the birth, foster care, or adoption had occurred between April 1 and December 31, 2019, the permit would be only 8 weeks.

 

The first six weeks after birth, foster care or adoption will be mandatory. The remaining weeks are a right of the other parent other than the biological one and not an obligation, so they can be waived. If the biological mother dies, whether working or not, the second parent will have the right to enjoy the 16 weeks of leave that corresponded to the first parent.

 

The 16 weeks are 100% paid by the state and non-transferable, which means that if one parent decides not to take the time off, the other parent cannot take advantage of it. Art 48(7) of the Workers’ Statute.

Adoption Leave

Parents who adopt or act as foster parents are entitled to up to 16 weeks’ leave when:

      • the child is aged under six, or
      • the child is aged over six but suffers from a physical or mental disability.

The first six weeks after birth, foster care or adoption will be mandatory. The remaining ten weeks may be enjoyed in weekly periods, accumulated or interrupted, within the twelve months following the judicial resolution by which the adoption is constituted or the administrative decision of custody for the purposes of adoption or foster care.

 

The employee is entitled to two extra weeks per child in the event of multiple adoptions and fostering. If both parents work, they can share this leave, which can be taken either concurrently or successively. If taken concurrently, the total length of absence cannot exceed the maximum permitted.

 

In the event of disability of the son or daughter at birth, adoption, in custody for adoption or foster care, the employee will have an additional duration of two weeks, one for each of the parents. The same extension will proceed in the case of birth, adoption, custody for adoption, or multiple foster cares for each son or daughter other than the first.

 

Pay – If the employee satisfies the social security eligibility requirements, they will be entitled to social security benefits equal to 100% of their average monthly salary, capped at €3,751.20. If the employee does not satisfy the eligibility requirements, they will be entitled to a flat-rate benefit of €532.51 per month, equal to €17.75 per day, for up to 42 days. Art 46, of the Workers’ Statute.

Training Leave

Employees with at least one year of seniority are entitled to 20 hours per year of training leave, linked to the activity of the company. Art 46, of the Workers’ Statute.

Additional Paid Leaves

In the following circumstances, employees are entitled to receive their full salaries for the periods indicated:

    • Fifteen calendar days in case of marriage;
    • The time required to comply with a public obligation (e.g., voting or jury duties);
    • Two days in case of the birth of a child or the death, accident or illness of a close relative (four days if travel is required);
    • One day for moving to a new residence, and
    • The time necessary to execute union duties and worker representation.
Parental Leave

Both parents have an individual right to take unpaid parental leave to care for a child for up to:

      • three years following childbirth; or
      • three years from the date on which the child is placed for adoption or permanent fostering.

If the parents are employed by the same employer, the employer may in certain circumstances and where the business needs restrict their ability to take parental leave simultaneously. If the parent returns to work within the first year of parental leave, they will be entitled to return to their former position. While employees are not entitled to compensation, the time during which unpaid leave is taken for child care must be considered by the employer in calculating seniority and the right to participate in training. If the parent returns to work within the second or third year of parental leave, they will be entitled to a role within the same professional group or equivalent category. Art 46, of the Workers’ Statute.

Handicapped Family Member Leave

The Statute of Workers also guarantees employees unpaid leave of up to two years to take care of a close family member (parent, child, sibling, grandparent or grandchild, aunt or uncle, first cousin or niece or nephew) in the event the family member is handicapped or is deemed by the health authorities to be unable to execute the most basic activities of daily living without help from a third person. Art 46, of the Workers’ Statute.

Voluntary Unpaid Leave

Employees with at least one year of seniority in the company have the right to be recognized as having the possibility of taking a voluntary leave of absence for a period of no less than four months and no more than five years. This right may only be exercised again by the same worker if four years have elapsed since the end of the previous voluntary leave.  Time taken for unpaid voluntary leave is not considered in the calculation of seniority. Art 46, of the Workers’ Statute.

Last updated on: January 25th, 2021