There are two types of contracts:

  • Indefinite
  • Temporary or fixed-term

The fixed – term contracts must specify the main reason of the temporality, which may be:

This type of contract is used to perform a specific task or service within the company. The term will depend on the time required for the execution of the relevant task or service, with a maximum of 3 years allowed by law. The contract could be extended for a further 12-month period within the framework of collective bargain agreements. Upon the expiration of the maximum period provided by law, the employee automatically becomes a permanent employee.

The purpose of this contract is to address work backlogs, excess orders, or market circumstances. As provided by law, its maximum term is 6 months, which may be extended to 12 months within the framework of sectoral collective bargain agreements.

The purpose of this contract is for unemployed young people under 30 years of age to land their first professional experiences. It may also be used when their previous working experience is less than 3 months. As established by law, its minimum term is 3 months and its maximum is 6 months, although it can be extended to 12 months within the framework of sectoral collective bargain agreements.

This type of contract is used to replace employees that will be absent from a job position they are entitled to retain. The term of this contract is determined by the reinstatement of the replaced employee or by the expiration of the period established for the replacement.

These are contracts for the purpose of acquiring practical knowledge or qualifications for the job position to be covered.

This contract is intended for the recruitment of university graduates or employees with intermediate or advanced professional training, or with officially recognised qualifications, or those who hold a professional certificate. Law foresees a minimum term of 6 months and a maximum of 2 years for this type of contracts.

The purpose of this contract is to enable young people to work, who do not have professional or educational qualifications and who are therefore unable to access an internship contract. Law foresees a minimum term of 1 year and a maximum of 3 years for this contract, although it can be modified within the framework of collective bargain agreement.

This is the provision of services for a number of hours per day, per week or per year which must be less than the working day of an employee of the same company who is employed full time and performs the same or similar tasks. These employees will have the same rights as full-time employees but to be recognised on a pro rata basis according to the time worked.

A special characteristic of these employees is that they are not entitled to overtime pay, but they are able to work additional hours. Such additional hours will be added to the hours previously agreed upon by the parties and shall not exceed 30% of their regular working hours.

Remote working or teleworking means that the work activity is performed mainly at the worker’s home or at a place of their choice other than the offices of the employer company. This agreement, whether right from the start or some time after the date the worker joins the company, must be in formalised in writing.

This type of contract, which can only be applied to companies with fewer than 50 employees, may be part-time or full-time, and it is an option available until the unemployment rate in Spain falls below 15%. In addition, by means of this type of contracts, companies may also benefit from tax incentives and apply bonuses to Social Security contributions for certain groups of employees and under certain conditions and requirements.

Probationary  period

Both employer and employee are entitled to a period in which they can lawfully terminate the contract without stating a reason, without prior notice, and without the right to receive compensation. This period varies depending on the employment qualifications and the type of contract:

• Six months for qualified technicians.
• Two months for other type of employees.
• One month for temporary contracts with a term not exceeding six

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Working day.

In general, the working day in Spain is 40 hours of effective work per week per year, and there must be at least one and a half days’ rest per week.

In addition to these hours, employees may work overtime on a voluntary basis. These hours may be compensated with equivalent time off within 4 months of their completion. If they are not compensated with time off, the maximum number of overtime hours allowed per year per employee is 80.

Employees are entitled to at least 30 days’ holiday leave per year worked. This leave cannot be replaced by a financial compensation. On the other hand, bank holidays may not exceed 14 days a year.

There are reasons that enable employees to get paid time off, for example:

• Marriage.
• Birth of children.
• Moving house.
• Hospitalisation.
• Death of relatives up to the second degree of kinship.
• Accident.
• Severe illness.
• Compliance with public and personal duties.
• Performance of trade union duties, etc.