Understanding Employment Contract Termination in Spain
Termination of Employment Contracts in Spain
As provided in this Act:
j) By the will of the worker, based on a breach of contract by the employer. Just causes for the employee to request termination include:
- Lack of continued or delayed payment of agreed wages. In such cases, the worker is entitled to compensation for unfair dismissal.
k) Dismissal
Disciplinary Dismissal: The employer can terminate the contract due to a serious and culpable breach by the worker, such as:
- Repeated and unjustified absences or lack of punctuality.
- Indiscipline or disobedience at work.
- Physical or verbal abuse by the employer or colleagues.
- Violation of contractual good faith and breach of trust.
- Steady decline in work performance.
- Habitual drunkenness or addiction affecting work.
- Harassment based on origin, religion, disability, age, sexual orientation, or gender.
Dismissal must be notified in writing (letter of dismissal), stating the reasons and effective date. Collective agreements may establish additional procedural requirements.
Dismissal can be classified as:
- Appropriate Dismissal: When the alleged infringement is undisputed by the employer in the dismissal letter. Results in contract termination without compensation.
- Unfair Dismissal: When there is no valid reason or formal requirements are not met. The employer can choose between reinstating the worker or paying compensation (45 days’ salary per year of service, up to 42 months).
- Void Dismissal: When based on discrimination, violation of fundamental rights, or occurring during pregnancy, maternity/paternity leave, or related to domestic violence. Immediate reinstatement is required.
l) Legally Appropriate for Objective Reasons
The contract may be terminated due to:
- Lack of worker adaptation to technical changes after two months.
Requirements:
- Written notice stating the cause.
- Compensation of twenty days’ salary per year of service (maximum twelve months).
- Fifteen days’ notice period, with six hours per week for job searching.
m) By decision of the worker forced to abandon their job due to domestic violence.
Settlement: Payment for days worked, proportional extra payments, vacation days, and compensation if applicable.
Modalities of Recruitment – Contracts:
Work Placement Contract: For university or professional training graduates within five years of completion. Duration: 6 to 24 months. Probationary period: one month (middle-level) or two months (higher-level). Salary: as per collective agreement for trainees, or 60% (first year) or 75% (second year) of the standard salary.
Training Contract: Aims to provide vocational training.