Work and Wages

This page was last updated on: 2021-09-19

Minimum Wage

In Spain, the Government annually fixes the interoccupational minimum wage by Royal Decree following a period of consultation with the most representative trade unions and employers’ associations. Wage rates are also fixed through collective agreement. The minimum wage legislation applies to workers from all occupations: agriculture, industry, services. Government fixes minimium wage taking into account the inflation rate, economic development and productivity, cost of living, needs of workers and their families and Level of wages and incomes in the country. The minimum wage legislation applies to workers from all occupations: agriculture, industry, services. The minimum wage legislation does not apply to certain workers, including public servants, executive directors, unpaid familiy workers, voluntary workers. Also, all workers are entitled to two bonuses per year, one of them on the occasion of Christmas and the other in the month that is set by collective agreement or by agreement between the employer and the workers’ legal representatives. The amount of these bonuses will also be set by collective agreements.

Any omission or action performed by the employer in violation of labour legislation or collective agreements is considered a labour offence. An authorised labour inspector may carry out inspection work to ensure compliance with labour legislation and collective agreements. Fines depend on the seriousness of the crime and may range between 60 euros and 37,920 euros.

Sources: §1, 11(1-2), 26(3), 27 & 31 of the Royal Decree No. 2/2015 enacting the Workers' Statute enacting; §5 & 40 of the Royal Legislative Decree No. 5/2000, on Offenses and Penalties in the Social Order


Non-Standard Workers' Rights on Minimum Wage - Platform Workers

Whether the minimum wage legislation is applicable to the platform workers, varies based on the contract they signed. Most workers work as an independent contractor. In that case, the minimum wage does not apply to them. A few platforms offer their workers employment contracts, sometimes through an employment agency. In that case, the minimum wage does apply to these workers. Moreover, the minimum wage is not generally applicable to a self-employed worker. However, if a self-employed worker has employed others, the minimum wage rates shall be applicable to those.

Regular Pay

Wage means all economic benefits, in cash or in kind, that the employee obtains (from the employer) for the rendering of services. This benefit should be enough to cover the worker’s needs, and those from his family. The employer may pay an employee his or her salary in cash, by cheque, or by direct credit transfer into the employee's bank account. The employer must give the employee an individual receipt for the salary payment, which must adhere to the Official Form of the Ministry of Labour and Social Affairs. Wages are generally paid on a monthly basis, and never for longer periods. The employer must provide the employee with a payslip clearly stating the details of the company and the worker, the wage, deductions (including the worker’s Social Security contributions and IRPF (income tax) deductions). The employer is responsible for making all contributions and therefore deducts the correct amount for the income tax (IRPF) and Social Security contributions due under the law. The amount deducted for IRPF depends on pay and personal and family circumstances (children and people dependent on the worker). The payment of salaries has to be punctual and documented on the date and in the place agreed on or in accordance with practices and customs. The periodic wage payment period may not exceed one month. The worker and, with his/her authorization, his/her legal representatives, have the right to receive advances to the account of work already done, without being obliged to wait for the appointed day of payment. An employer is obliged to pay 10% interest on late salary payment.

The Statute of Workers requires that the payment of wages is reflected in a pay slip. The pay slip must clearly reflect the payments (base salary, allowances, wages in kind, non-wage payments, etc.) and deductions (taxes, social security contributions, etc.) and must follow the model established in the collective agreement of reference. In the absence of a collective agreement, the pay slip must be in the format approved by the Order No. ESS/2098/2014. 

Sources: §26 & 29 of the Royal Decree No. 2/2015 enacting the Worker's Statute 


Non-Standard Workers' Rights on Regular Pay - Platform Workers

In line with the Self Employed Statute (Law No. 20/2007), self-employed workers must be clearly informed of the economic consideration (remuneration ) agreed upon for the professional exercise of their activity.

In line with the Statute on the Self Employed (Law No. 20/2007), self-employed workers have the right to receive the economic consideration for the execution of the contract in the agreed time and manner and in accordance with the provisions of Law 3/2004 which establishes measures to combat late payment in commercial operations.

Labour Inspectorate has no direct role in ensuring compliance with remuneration or bonus provisions except in those cases where self-employed have engaged other workers. Law 3/2004 establishes measures to combat late payment in commercial operations.

Generally, fines are imposed for non-compliance with the minimum wage provisions. However, in the case of independent contractors, Labour Inspectorate does not have a role except in the case of TRADES. Self-employed workers can file a case before a civil court.


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