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Labor and Employment Newsletter - April 2024

Spain - 

Severance payments in the European context

Federico Durán

Despite unfounded rumors, the Council of Europe has not yet ruled on the complaint filed by UGT against the compensation system in Spain. These rumors are creating enormous confusion and are based on highly questionable arguments.

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News

The minimum contribution bases are updated to the minimum wage for 2024

Following the approval of the minimum interprofessional wage (SMI) for 2024, Order PJC/281/2024 of 27 March has been published in the BOE, amending the Contribution Order for 2024 (Order PJC/51/2024 of 29 January), definitively setting the minimum contribution bases.

The rules for the additional solidarity contribution are developed

A modification of the general Social Security collection and contribution regulations is approved, the most important new feature of which is the development of the so-called solidarity contribution, which will come into force on 1 January 2025.

From 20 March 2024, companies will be required to appoint a lawyer within two days

In addition, from that date, the first summons of legal persons by electronic means will be valid, which will require companies to pay particular attention to the notifications they receive by electronic means.

 

On the radar

  • The Annual Regulatory Plan foresees almost 200 new norms by 2024
  • The Council of Ministers approves the Draft Law on Families
  • The Ministry of Labor resumes the processing of the Interns’ Statute
  • The government plans to increase the participation of workers' representatives in companies
  • Permanent incapacity shall not automatically cause the termination of the contract
  • The proposal for a directive on improving working conditions at work on digital platforms is adopted

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Judgements

  • Disciplinary dismissal for unjustified absences after the rejection of the request for teleworking is declared to be justified
  • The refusal of a second request for an adjustment of working hours, after the employee had accepted the first request, is lawful
  • An employee's stroke at the workplace before clocking in does not constitute an accident at work
  • Non-payment of teleworking expenses is not sufficient cause for termination of the contract with compensation
  • The rejection of an application for working time adjustment decided on the basis of a score according to personal and family circumstances is valid

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And also...

Portugal sets the pace for extending active retirement beyond doctors

Rui Valente, head of labour law at Garrigues' Portuguese offices, explains in this article that Portuguese legislation establishes as a general rule the possibility of accumulating old-age pensions.

Peru: Relevant aspects to take into account regarding the payment of profits to workers

Companies with more than 20 employees in Peru are obliged to distribute profits among their staff. The amount to be distributed represents a percentage of the company's profits that varies according to its activity. We review the main aspects of this benefit: who is entitled to receive it, the method of calculation and the payment deadlines.

 

Labor & Employment Blog

Occupational risk prevention, adapting to a new working environment

On the occasion of the World Day for Safety and Health at Work, we review some of the challenges posed by occupational risk prevention and its regulation, such as, for example, achieving its true integration into company management, the framework of company responsibilities, taking into account different types of companies or the preventive legal status of self-employed workers.

10 ways to attract and retain young talent in the workplace, with a legal focus

Attracting and retaining young talent is one of the main objectives for companies. Recruiting the best profiles that have just entered the labor market allows organizations to be more competitive, innovative and diverse. The implementation of policies aimed at achieving these objectives requires knowledge of the possibilities offered by labor legislation.

The use of artificial intelligence poses some challenges for labor relations

Technological developments have led to the emergence of solutions based on artificial intelligence (AI), with a myriad of possible applications in many different areas, including labour relations. The use of AI in this area raises a number of questions from a legal and human resources point of view, from the specific aspects in which these tools can be useful to the limits and requirements that their use must meet in order not to collide with workers' rights.

Family co-responsibility, key to equal opportunities for men and women in the workplace

Co-responsibility is the equal sharing of household tasks and family responsibilities between men and women. The latest legislative reforms in the field of equality in the workplace (and also the interpretation of judicial bodies) are inspired by this concept, seeking to ensure that men and women have equal access to measures related to family care. The aim: that women's careers should not be more disadvantaged than men's because of absences related to family care.

Does the overlap of the weekly rest period with a public holiday entitle the holder to an additional rest day?

The answer to this question depends on the regulation of the collective agreement and the company's practice on the scheduling of weekly breaks.

 

Press

Labor issues at the center of business strategy in 2024

In this article, Eloy Castañer, partner in charge of labor law at Garrigues, analyses the main new developments in labor law. Many of them will entail an increase in business costs that may influence companies' investment or organizational decisions.

From selection to dismissal: the legal limits of working at the command of an algorithm

Cecilia Pérez, partner at Garrigues, analyses the effects of the use of algorithms and artificial intelligence in the workplace in this Cinco Días article.

Burden of proof for overtime work

In this article by Alberto García, a senior associate in Garrigues' labor department, he discusses the obligation for companies to record workers' working hours on a daily basis.

LGTBI anti-bullying protocols risk data protection breaches

In this report, Bernardo Pérez-Navas, a partner in Garrigues' labor law department, analyses how the absence of implementing regulations makes it difficult for companies to anticipate this type of risk.