The Spanish Council of Ministers has approved a new Royal Decree that will expand the information companies must provide to employees about the conditions of their employment relationship.
The rules are not yet in force, so companies do not currently need to apply the new requirements. However, it is advisable to understand the announced changes and identify which contracts, documents and internal processes may need to be reviewed.
The reform partially transposes the European Directive on transparent and predictable working conditions. It will also significantly increase the level of information employees must receive about their employment relationship.
Below, LEIALTA explains the main changes.
More information on pays, working hours and other employment conditions
Companies are already required to provide certain essential information about the employment relationship in writing when it is not included in the employment contract.
The new Royal Decree significantly expands these information requirements. Its aim is to ensure that employees have a clearer understanding of their working conditions from the start of the employment relationship.
According to the information published by the Spanish Government, the following areas will become particularly relevant:
- Pay: basic salary, salary supplements and, where variable remuneration applies, how it is calculated and the criteria determining entitlement.
- Working hours: duration and distribution of working time, possible changes, shift changes, overtime and its remuneration, holidays and, where applicable, irregular distribution of working hours.
- Probationary period: applicable duration and conditions, together with the information required regarding its structure and, in certain cases, its justification.
- Equality and diversity: information on the applicable equality plan and the company’s LGBTI measures and resources.
- Other essential conditions: applicable collective bargaining agreement, procedures for terminating the employment relationship, arrangements involving Spanish Social Security and certain changes to working conditions.
In practice, companies will need to review whether their employment documentation provides this information clearly enough.
To support this review, LEIALTA has prepared a practical guide to the main employment obligations for companies in Spain. It covers the key areas that should be identified and kept up to date according to each organisation’s circumstances.
You can consult our Guide to Compliance with Employment Obligations here.
Algorithms are also included in the information requirements
One of the most significant changes concerns the use of algorithms and automated systems in the workplace.
The Spanish Workers’ Statute already gives employee representatives the right to receive information about the parameters, rules and instructions used by algorithms or artificial intelligence systems. This applies where those systems may affect working conditions or employment.
The new Royal Decree goes one step further.
According to the Government’s official announcement, individual employees will also have the right to know about algorithmic systems used to determine working conditions. The same will apply where such systems are used to make decisions relating to termination of employment.
This could affect, for example, companies using automated systems for variable remuneration, working-time organisation, task allocation or other employment-related decisions.
Therefore, reviewing employment contract templates alone will not be enough.
Companies will also need to identify which tools and systems they use and assess how those systems affect their workforce.
What happens to employment contracts that are already in force?
The Government has indicated that employees whose existing contracts do not contain all the required information will be able to request it from their employer.
According to the official Council of Ministers announcement, companies will have a maximum of 30 days to provide that information.
However, publication in the Spanish Official State Gazette, BOE, is still required. The final text will confirm the precise conditions, calculation of deadlines and transitional arrangements.
At this stage, companies do not need to rewrite every existing employment contract automatically.
Instead, they can begin by reviewing the information currently provided to employees and identifying where gaps may exist.
Information must be accessible to employees with disabilities
Accessibility is another area that companies will need to consider carefully.
Information about employment conditions must be provided in an accessible and appropriate format for employees with disabilities.
This requirement deserves particular attention in Special Employment Centres (CEE).
For these organisations, it will be advisable to review not only the content of employment documentation, but also the formats and channels used. The information must be genuinely accessible and understandable.
What can companies review now?
Although the Royal Decree has not yet entered into force, companies can use this period to review several areas without anticipating the final wording of the BOE publication:
- Employment contract templates and documentation provided to new employees.
- How salary supplements and variable remuneration systems are explained.
- Information on working hours, shifts, overtime and changes to schedules.
- Algorithmic or automated systems that may influence employment-related decisions.
- Documentation on equality, LGBTI measures, collective bargaining agreements and other matters identified by the Government as relevant information.
For now, the objective should be to identify which areas may require adaptation and be ready to act once the final text is published.
At LEIALTA, we have prepared a free video-based labour self-assessment to help you review some of the key employment matters that companies should keep under control.
Awaiting publication in the BOE
The reform approved by the Spanish Government represents an important step towards a model in which employment conditions must be more detailed, better documented and clearly communicated from the beginning of the employment relationship.
However, the new obligations should not yet be treated as being in force.
Publication of the Royal Decree in the BOE will confirm the exact application date and the final deadlines for companies to adapt.
At LEIALTA, we will monitor the publication of the new rules and analyse the final text. We will then inform our clients about the specific changes they need to incorporate into their labour management processes.
