The Minimum Wage is EUR 1,166.67 per month as set out in the Deel collective bargaining agreement (CBA).

The individual income tax ranges from 19% to 45%. Income tax is calculated according to progressive rates. Multiple additional factors may impact overall rates such as the household status and the number of children.

The employer cost is generally estimated at 31.42% of the employee salary.

• Common Contingencies = 23.6%
• Professional Contingencies = 7.80%
  • Unemployment = 5.5%
  • Social Fund for the Guarantee of Salaries = 0.20%
  • Temporary diseases and Incapacity, Death and Survival = 1.50%
  • Professional education = 0.6%
• WFH Office allowance = 50.00 EUR
• Medical exam (if the employee requests it) = 65.00 EUR

Standard working hours are 8 hours per day, 40 hours per week (1800 hours per year). The standard workweek is from Monday to Friday.

Unless there is an agreement in place, employees can work no more than 9 hours per day. Employees can work a maximum of 80 hours a year in overtime.

Overtime payment is mandatory and may be included in the salary. Hours outside of standard work hours are considered overtime. Employees can work a maximum of 80 hours of overtime.

Employees who have worked for 6 months are entitled to 16 weeks of paid paternity leave. Six weeks must be taken after the child's birth. The remaining days can be divided how the employee sees fit until the child is 1 year old. The employee will receive 100% of the salary during this period (up to 4.139,40 EUR), and Social Security will be responsible for this pay.

In Spain, no law covers parental leave. However, employees may be entitled to maternity leave and paternity leave.

Employees are entitled to paid sick leave for up to 365 days if they have contributed to Social Security for 180 days in the last 5 years. Employees have the option to extend sick leave an additional 180 days.

The first 3 days are unpaid and considered as a qualifying period. This leave is paid at different rates and by different payers depending upon length:

Terminations in Spain can be complex. There is no at-will termination in Spain for employers outside the probation period and termination must be done for just cause.

Compliant terminations include:

• Voluntarily by the employee
• By mutual agreement
• Unilaterally by the employer based on:
  • probation period
  • objective grounds
  • disciplinary dismissal
  • performance due to unsuitability for the job
• By the expiration of the contract

The minimum notice period is 15 days, though it may be longer in certain circumstances. During the probation period or for disciplinary terminations there is no notice period.

Severance pay will depend on the type of dismissal.

• If that contract ends: 12 days of salary per year of service. (proportional if less than <1 year)
• Non-voluntary dismissal by an employer for non-disciplinary reasons: 20 days of salary per year of service. (proportional if less than <1 year)

Both full-time and part-time employees are entitled to 23 days of paid time off (PTO) a year. PTO accrues monthly 1.92 days per month. Employees are eligible for annual leave after 1 month of work.

Spain celebrates both 14 national and additional regional holidays based on the location of the employee. 8 are National and 6 are regional

These are the eight national holidays for 2022:

• Saturday January 1: New Year.
• Thursday, January 6: Epiphany of the Lord (Three Kings Day).
• Friday April 15: Good Friday.
• Monday, August 15: Assumption of Our Lady.
• Wednesday, October 12: Fiesta de la Hispanidad.
• Tuesday, November 1: All Saints' Day.
• Tuesday December 6: Day of the Spanish Constitution
• Thursday December 8: Immaculate Conception.

Please note the regional holidays change year on year.

Onboarding takes 3 business days. 

Contracts must be in Spanish and can be bilingual. They must be in writing and signed by both parties.

Contracts must include:

• Name and surname
• Number DNI / NIE
• Address
• Job category
• Salary
• Holidays a year
• Contract start date
• Type and duration of the contract
• Contract hours
• The collective agreement of the company

Probation periods are not mandatory. There is no minimum probation period and the maximum probation period is 180 days.