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Labor and Employment Newsletter - September 2024

Spain - 

The application of the Law on gender parity representation and balanced presence of women and men in companies

Federico Durán López

This law has a broader scope than the European Directive, and its regulation also raises several interpretative doubts in the Labor sphere.

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News

Publication of the organic law on equal representation and a balanced presence of women and men

This proposal transposes into Spanish law the European directive on improving the gender balance among directors of listed companies and related measures, although it is more demanding in its scope than the provisions in the EU act. In labor law matters, the measures envisaged for victims of gender violence are extended to include the victims of sexual violence.

New obligations resulting from the European directive on pay transparency that companies will have to face

In a new edition of the Sustainable Garrigues Dialogues, we discuss the main changes that the new European directive on pay transparency, approved in 2023, will entail, and how Spanish companies can prepare for its transposition.

Spain: The terms and conditions and call for applications for the "Equality in Business" award for 2024 are published

The award is intended to recognise and stimulate the work of companies and entities committed to equality. 

The European Committee of Social Rights concludes that compensation for unfair dismissal in Spain is inadequate and insufficiently dissuasive

The ECSR has published its decision on the UGT complaint, concluding that compensation for unfair dismissal in Spain violates article 24 of the European Social Charter.

On the radar

  • The Gender Parity Law mistakenly eliminates the objective nullity of dismissals for those who have requested a working time adjustment or leave due to hospitalization
  • Government, unions, and employers sign an agreement to improve the compatibility of retirement pensions with work, including a new framework for partial retirement
  • Bill published to eliminate the automatic termination of the employment relationship in cases of permanent disability recognition
  • Parental leave compensation remains unregulated
  • Negotiations resume on reducing the working week to 37.5 hours

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Judgments

  • Requesting a generic justification for union hours does not violate the fundamental right to union freedom
  • Compensation and absorption of personal leave days is valid in an agreement to reach the conventionally established vacation days
  • The rejection of dismissal notification by the worker does not invalidate a properly executed notification
  • The Navarra High Court of Justice upholds a dismissal despite the absence of a prior hearing
  • Objective dismissal due to supervening incompetence of a worker declared unfit by the prevention service is upheld
  • Disciplinary dismissal of a worker who worked for another company while on medical leave is upheld

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Labor and Sustainable

Garrigues Sustainable Newsletter - July 2024

This newsletter compiles the most relevant legal updates on ESG (Environmental, Social, and Governance) matters in Spain, published by Garrigues and G-advisory.

Latin America

Chile: Companies with more than 100 workers must hire at least 2% of people with disabilities

Law No. 21.690, which amends the Labor Code in terms of labor inclusion, has been published. Among other changes, it raises the minimum percentage of workers with disabilities that companies with more than 100 employees must hire from 1% to 2%. It also establishes that fines for non-compliance will be applied for each worker with a disability that should have been hired.

Colombia: New laws to combat sexual harassment, promote gender equity at work, and protect minors from sexual crimes

The Colombian Congress has enacted three new laws of great relevance in the labor field, imposing on employers the obligation to implement measures against workplace sexual harassment, verify that hired personnel are not disqualified due to sexual crimes against minors, and encourage the hiring of women in the civil infrastructure and construction sectors.

Chile: The ‘Karin Law’ on workplace harassment, sexual harassment, and violence comes into force

The law introduces new legal definitions of harassment, establishes preventive and protective measures to safeguard workers, and includes a new procedure for investigation and sanctions, among other measures.

Peru: The new telework law states that wages cannot be deducted for time not worked due to power or internet outages

The law, which amends the current telework regulation, adds new provisions such as prohibiting employees from carrying out personal activities during their work hours and establishing the conditions for removing confidential documents from the offices.

Labor and Employment Law Blog

These are the new obligations for the protection and prevention of risks derived from exposure to carcinogens in the workplace

In the context of the fight against cancer in the EU, Royal Decree 612/2024 on the protection of employees from the risks related to exposure to carcinogenic agents at work has brought relevant changes such as the incorporation of protection against reprotoxic agents or the updating of the table of occupational exposure limit values and has reinforced the obligations of companies to train and inform their staff, as well as to keep documentation.

The payment in installments of a severance compensation is compatible with the receipt of non-contributory unemployment benefits

The Supreme Court considers that the payment of a severance compensation in installments in progressive monthly amounts over several years through the subscription of an insurance policy is compatible with the non-contributory unemployment benefit for which, among other requirements, the recipient needs to have no income.

Summer mix 2024: A refresher on five hits of employment law

Providing services in high temperatures, working remotely in the summer or during school summer vacation, appropriate clothing for working in summer or digital disconnection are some of the big issues that arise in companies at this time of year.

Is the professional athlete entitled to severance payment when voluntarily leaving the sports entity?

With the end of the European Championship, on the eve of the Paris 2024 Olympic Games, and in the middle of the summer soccer transfer market, professional sports become the center of attention. In this scenario, we analyze whether professional athletes have the right to be compensated when their own will prevents the renewal of the employment contract and, with it, the continuity of the special employment relationship, which is, by nature, of a fixed term.

Right to privacy and digital disconnection: can the company call an employee on sick leave?

Absenteeism from work is a problem of concern to companies. One of its main causes is temporary incapacity, so it is common for organizations to consider implementing protocols to verify the employee’s state of health, in which the possibility of contacting the employee is contemplated. But can companies call employees on sick leave?

In the press

Is it time for Spain to reform its regulation of unfair dismissal?

Partners Eloy Castañer, Bernardo Pérez-Navas, and Cecilia Pérez highlight in this article, published by International Employment Lawyer, that the current system allows for the calculation of compensation for unfair dismissal based on objective criteria, making the system predictable, fair, and equitable.

Two and a half years after the Labor Reform, doubts persist among companies about which contracts to use

Our partner Ángel Olmedo clarifies some of the doubts that may arise for companies regarding the types of employment contracts they can use, in this report from El Mundo.

The reduction of working hours halts negotiations and projects: "It's logical for companies to wait"

Eloy Castañer and Bernardo Pérez-Navas, labor partners at Garrigues, comment in this report published by El Mundo on the effects of the announced reduction in working hours on companies.

When the heat melts the 'dress code' at work

In this article published in Actualidad Económica (El Mundo), our partner Cecilia Pérez analyzes how the limits on work attire are regulated in Spanish legislation.

Reduction of working hours: Challenge or opportunity for the hospitality industry?

Carlos Pinilla, a labor partner at our Canary Islands offices, analyzes in this article from Iberian Lawyer how the reduction of working hours could impact a specific sector: hospitality.

Only a thousand victims of gender-based violence have requested leave from their jobs in the past decade

Our partner Cecilia Pérez analyzes the procedure victims of gender-based violence must follow to access their right to temporary work leave compatible with unemployment benefits.

The Spanish Government will toughen severance compensation to avoid a wave of lawsuits triggered by the European ruling

Federico Durán, of counsel in Garrigues' Labor Department, shares his opinion in this article from El Español, recalling that "the mandate of Article 24 of the European Social Charter is very brief, requiring only that, in the event of termination of employment without sufficient cause, the worker is entitled to 'adequate compensation' or other 'appropriate reparation'". He points out that it is the CEDS that has been broadening its interpretation of this mandate, going far beyond what the Charter actually stipulates.