The Labour Reform
ROYAL DECREE LAW 3/2012 DATED 10 FEBRUARY ON URGENT MEASURES TO REFORM THE LABOUR MARKET: On Friday 10 February 2012 the new Labour Reform bill was approved; it was published in the Spanish Official Gazette on Saturday 11 February and it came into effect on Sunday 12 February. The following is a summary of the most relevant and important points of this reform: Measures related to training and to encourage permanent employment: 1. As regards professional training: a) Training contracts: these are modified in the following terms: - These...
read moreNew Regulation for Household Service
Since last 1st of January 2012, the Spanish Special Regimen of Welfare & Social Security for Domestic Workers was included in the Welfare & Social Security General Regimen by establishing a special system for the mentioned workers according to the terms established in the Royal Decree 1620/2011, 14th of November, which regulates the labour relations of special character for Household Service. For that purpose, it will be considered as a special labour relation that relation agreed between the principal, as an employer, and the employee...
read moreWhat Are Acceptable Reasons For Collective Dismissals
The termination of contracts without government approval can lead to fines of up to 90,000 Euros In Spain, the definition of collective redundancies is the termination of labour contracts due to financial, technical, organizational or production reasons, providing that these reasons have been duly justified and authorized. To qualify as a collective redundancy, the following must be fulfilled: Within a period of 90 days, a company employing at least 100 workers must have at least 10 workers affected; in companies employing between 100 and 300...
read moreLabour Inspections
Businesses in Spain were fined €253 million in 2007 The number of labour inspections carried out in Spain increased by 10% in 2007, and by 2008 this number is expected to be even higher due to the success of previous years. Last year, fines amounted to 253 million Euros. All businesses are obliged to obey labour and Social Security rules: labour contracts, Social Security registrations and Occupational Risk Prevention Plan must be observed. In 2007, the Labour and Social Security Inspection inspected 433.701 companies which resulted in...
read moreHealth And Safety In The Work Place
Fines up to €600,000 and prison sentences for the most serious offences The Government has recently approved the Labour Inspection Action Plan for 2009. It insists upon safety conditions in the construction sector in view of the increasing amount of accidents – for the most part resulting in serious injuries – despite a decrease of activity in the sector. Of the 120 million employees in the EU, approximately 10 million are victims each year to occupational accidents or sickness; roughly 8.000 accidents result in death. In Spain,...
read moreEmployment dismissals and consequent compensations
There are different types of contract terminations. The most widely used by employers are usually disciplinary or unfair dismissals. However, due to the economic collapse of the market, collective and objective redundancies are becoming more common, as companies simply cannot afford to employ and maintain the entire staff. Collective redundancies. The majority of businesses are turning to large-scale redundancies due to economic reasons as well as productive, technical and organizational problems within the workplace. If affected over a period...
read moreSurviving without resorting to redundancies
Salary and time reductions, bonuses and training contracts can help through the crisis The constant talk about the crisis is leading to a climate of fear and insecurity. Employees are afraid of losing their jobs and employers are piling up debt with the Tax Office or Social Security. The first option that comes to employers’ minds in confronting the crisis is to reduce staff, but it does not have to be like this. There are other alternatives which can cut costs and help our business survive without resorting to redundancies, or at least...
read more(Español) El Autónomo Económicamente Dependiente
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