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Spain: An attractive country for investment
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Setting up a business in Spain
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Tax System
- 4
Investment aid and incentives in Spain
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Labor and social security regulations
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Intellectual property law
- 7
Legal framework and tax implications of e-commerce in Spain
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Downloads
- AI
Company and Commercial Law
- AII
The Spanish financial system
- AIII
Accounting and audit issues

- Introduction
- Contracts
- Material modifications to working conditions
- Termination of employment contracts
- Senior management contracts
- Contracts with temporary employment agencies
- Worker representation and collective bargaining
- Non-employment relationships
- Acquisition of a Spanish business
- Practical aspects to be considered when setting up a company in Spain
- Relocation of workers under a cross-border working arrangement within the EU and the EEA ("IMPATRIATES")
- Visas and work and residence permits
- Social security system
- Equality in the workplace
- Occupational risk prevention
1Introduction
Employment contracts are generally regulated by the provisions of Legislative Royal Decree 2/2015, of October 23, approving the Workers’ Statute (WS).
A major characteristic of Spanish labor legislation is that important employment issues can be regulated through collective bargaining, by means of collective labor agreements, that is, agreements signed between workers’ representatives and employer representatives that regulate the employment conditions in the chosen sphere (areas within a company, company-wide or industry-wide).
In the last years, Spanish Labor legislation has adapted and updating through legislatives modifications in order to be more flexible and to increase improve the labor market in terms of employability and investment. The latest labor reform has modified the regime of fixed-term contracts (to simplify the variety contracts and reduce the temporality rate) and training contracts (to provide an ideal framework for the incorporation of the youth into the labor market) and has enhanced the use of the discontinuous permanent contracts. Likewise, the legislation has included been including progress regarding social rights and equal treatment and opportunities in the labor market.
Moreover, legislation relating to foreign enterprise and investment has also moved with the times, as shown by recent regulations governing work permits for digital nomads.