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Recent Legislation

 

New General Labour Law

After a long debate around the same, it was published in December, 27th, 2023 through Law 12/23, the New General Labour Law (NLGT), revoking Law 7/15 (old General Labour Law), Rectification 15/5 and all the rules that contradict the new Law.

This new Law introduces several changes in the legal relationship between employers and employees, being some of the most relevant ones the following:

i. Fixed-term contracts are mandatory to be set out in written;
ii. The existence of fixed-term contracts need to be duly justified;
iii. Reduction of the duration/limit of fixed-term contacts;
iv. Introduction of “special” labour contracts, like the teleworking contracts, service commission contracts, domestic work contracts and sports labour contracts;
v. Inclusion of the figure of Personality Rights, like freedom of speech, physical and moral integrity of the employees and personal data protection;
vi. Elimination of more favourable regimes depending on the dimension of the employer;
vii. Reconfiguration of the criteria of fixation of additional remunerations, as well as on the determination of severance payments and related compensations;
viii. Extension of the type of disciplinary measures by reintroducing the temporary downgrading and labour suspension without payment;
ix. Introduction of the working mobility withing a group of companies;
x. Introduction of the paternity leave without loss of remuneration;
xi. The duty of the social security authorities to secure the payment of the illness or working accidents allowances in case of incapacity.

The changes above resume the most relevant ones introduced by the NLGT. Therefore, we strongly recommend those in charge of the Human Resources policies of the entities to which the Law applies to proceed on a careful analysis of the same, and its impact on the actual policies in force. We are totally available to support on any doubts raised by the application of the new Law.

The present Law will enter into force 90 days after being published.