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The Spanish Government has approved the update to the minimum contribution bases for 2025, which will bring significant changes for both workers and businesses in Spain. This adjustment aims to ensure that Social Security contributions are proportional to actual income, thus strengthening the pension system and adapting to the current economic situation. Below, we explain
The Spanish Government has recently announced three major labour law updates that will impact both workers and businesses in Spain. These measures include a reduction in weekly working hours, new regulations on digital disconnection rights, and the introduction of a paid leave policy for extreme weather conditions. With these changes, companies and employees must adapt
On 26th December 2024, the Spanish Council of Ministers approved a Royal Decree-Law introducing significant improvements in the regulation of active retirement, partial retirement, and deferred retirement, among other measures. These reforms, resulting from the agreement reached at the Social Security and Pensions Social Dialogue Table in July 2024, aim to provide more flexible and
Recently, the Supreme Court has amended its ruling on disciplinary dismissals, establishing that a preliminary hearing is now mandatory in these cases. This decision represents a significant change for businesses, as failing to provide this right could render a disciplinary dismissal unfair. According to this new interpretation, employers must give employees the opportunity to defend
November is the month marked on all self-employed people’s calendars. From this month, Social Security will start contacting the self-employed to let them know whether they will have to pay more or receive a refund for their contributions. The regularisation process is scheduled to be completed by March 2025. Since the new contribution system came
Spain is on the top 4 countries with the highest proportion of foreigners, following Germany, the United Kingdom and the United States. These figures represent a record 2.8 million foreign workers in the country, as reported by the Bank of Spain. Hiring foreign talent is also a business strategy that can bring unique perspectives and
Wage garnishment is a reality that can affect both employees and employers. This legal process, governed by the Civil Procedure Spanish Law, involves a competent authority ordering the withholding of a portion of a worker’s salary to settle outstanding debts. For businesses, receiving a wage garnishment notice can raise concerns and questions about how to
With the enforcement of Royal Decree-Law 2/2023, March 16th, on 1st of January 2024, Spain has witnessed substantial changes in the regulation of Social Security for students engaged in external training or academic internships. These modifications, applicable to paid and unpaid internships, signify a paradigm shift in Spain. Within this dynamic landscape, it becomes imperative
The mandatory whistleblowing channel for companies is now a reality. EU member states must adapt to Directive (EU) 2019/1937 of the European Parliament and of the Council of 23 October 2019 and implement a regulation that guarantees the prevention of internal company crime. In the case of Spain, the implementing legislation will be Law 2/2023
The order regulating assimilated registration with Social Security for workers posted abroad in the service of companies that carry out their activities in Spanish territory has been published in the BOE (Official State Gazette). It details how to act with Social Security in three possible scenarios: When there is a posting to a country that
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