Labor and Employment Newsletter - May 2025

Declarations of permanent disability and their impact on employment contracts
Law 2/2025 seeks to adapt Spanish regulations to the approach taken at an international level and in Europe, to the protection of situations of disability in the workplace; the result however gives rise to numerous interpretation doubts.
News
Law 2/2025 comes into force on May 1, 2025, which eliminates the automatic termination of the employment contract due to permanent incapacity and makes it conditional on the employee’s will and the possibility of adaptation of the position or relocation by the company. It also introduces the suspension of the benefit for permanent incapacity when the employee performs a job that is incompatible with it and establishes that the conflicts that arise regarding termination in these cases will be heard in an urgent judicial proceeding. More details, here.
On 3 April, Organic Law 1/2025, of 2 January, on measures in the field of efficiency of the Public Justice Service (LOSPJ) came into force, introducing very relevant changes in social order procedures. We explain it in this post.
Law 1/2025, of 1 April, on the prevention of food losses and waste, amends Article 15.2 of the Workers' Statute in its 11th Final Provision and extends from 90 to 120 days the maximum number of days in the calendar year in which the contract can be used due to production circumstances to deal with occasional situations that are foreseeable and that have a reduced and limited duration in the agricultural and agri-food sectors.
On the radar
- The Council of Ministers approves the bill to reduce working hours
- The Labor and Social Security Inspectorate initiate the First 2025 Shake-Up Plan against fraud in labor contracts
Judgments
- There is no employment relationship between a company and its translators according to the Supreme Court
- The system of access to working time records does not have to include the delivery of paper or electronic copies
- The provision of the collective bargaining agreement that introduces a differentiated offset and absorption mechanism depending on the date the employee joins the company is lawful
- The unilateral registration of an equality plan does not infringe the right to freedom of association in the event of a deadlock in the preparation of the diagnosis
- The transfer of an independent production unit as a result of a carve-out constitutes business succession
Labor and Employment Blog
Permanent disability no longer automatically terminates the employment contract
Since May 1, 2025, in Spain, permanent disability has ceased to be a case of automatic termination of the employment contract. With the reform of article 49 of the Workers' Statute, this termination is conditioned to a series of factors and subject to compliance with certain requirements, which we explain in this post.
Artificial intelligence: can it also help prevent occupational hazards?
On World Day for Safety and Health, commemorated every year on April 28, we reflect on the challenges and opportunities of artificial intelligence for preventing occupational hazards.
Countdown to the implementation of company mobility plans in Catalonia
August 10, 2025 is the deadline for certain workplaces located in Catalonia (Spain) to adopt a company mobility plan, which must be drawn up with the participation of the workforce and is subject to a report from the competent territorial authority in matters of mobility.
Work center or place of work? A difference that marks important legal obligations
Determining whether a physical space where one or more employees provide services is a work center is crucial because this qualification gives rise to several specific formal obligations, which do not exist if it is not and it is just a mere place of work.
In the week in which the International Day for the Elimination of Racial Discrimination is observed, we review the main international, European and Spanish regulations that seek the elimination of racial discrimination in the workplace.
In the press
Impact of the Industry Bill on the workplace: nine months are "molto longo"
Our partner Bernardo Pérez-Navas analyzes in this article published in Cinco Días, the text of the Industry Bill that aims to give a green light to the processes of reindustrialization and establishes a nine-month notice period in cases of significant loss of industrial capacity.
Digital disconnection makes its way into collective agreements
In this article published in Elderecho.com (Lefebvre), our partner Ángel Olmedo analyzes how the right to digital disconnection is being progressively incorporated into collective agreements in Spain. This right, recognized since 2018, has gained strength with recent legal reforms such as the Remote Work Law and, more recently, with the draft law that reduces the working day, establishing its inalienability and protecting those who exercise it.
Garrigues Sustainable
Garrigues Sustainable Newsletter - April 2025
In this newsletter we compile the most relevant legal news on ESG matters in Spain, published by Garrigues and G-advisory.
Contact
