Spain: Increase in the basis used to calculate the severance payment for dismissal

On 3 May 2017, the Spanish Supreme Court (the “Supreme Court”) issued a judgment in which it declared that employer’s contributions to (i) medical insurance policies; (ii) life insurance policies; and (iii) pension plans, should be treated in the same way as salary (as benefits in kind). Contributions must therefore be included in the annual salary … Read more

Spain: 2012 Labour Market Reform declared constitutional

In a judgment dated 16 July 2014, the Spanish Constitutional Court rejected, by a large majority, an appeal lodged by the Parliament of Navarra in which it requested that three provisions of the 2012 Labour Market Reform be declared unconstitutional. As a result, the following measures have been declared to be constitutional: Read more

Spain: Constitutional challenge against labour reform

On 5 October 2012, two of the leading political parties lodged a constitutionality challenge to the Spanish Constitutional Court against the Labour Reform Act 3/2012 ("Act 3/2012"). The challenge was admitted on 5 November 2012, but no decision has yet been rendered. The Spanish Constitutional Court has, nevertheless, already rejected a constitutionality challenge, lodged on … Read more