Wage Management and Labor Contracts
Wages
Wages: The total economic benefits workers receive in cash or in kind for providing professional labor services.
Wage Rates According to Payment Method
Wages in Kind: Payable in property other than money; cannot exceed 30% of total wage perceptions.
Salary Metal: Payable in legal tender, either in cash or bank transfer.
Method of Calculation of Salary
- Wage per Unit of Output: Based on the amount of work done.
- Wage per Unit of Time: Based on the duration of service.
- Joint Salary: Based on both the amount of work and the time of service.
Wage Structure
Determined by the collective agreement or contract. This should be seen as a minimum.
- Basic Salary: Part of fixed remuneration per unit of time, regardless of other circumstances. It is the minimum that a worker in the affected category must receive.
- Wage Supplements: Amounts in addition to the basic balance due to various circumstances.
Wage Guarantees
Undistrainable SMI: The SMI is unattachable, except for alimony payments ordered by judges. Amounts exceeding the SMI are subject to partial embargo (Article 607 of Civil Law).
Wage Guarantee Fund (FOGASA): Agency that covers wage debts when employers are in a situation of suspension of payments, bankruptcy, or insolvency. The maximum debt is three times the daily SMI, including bonuses, for a maximum of 150 days. In case of severance or termination of contracts, the limit does not apply.
Modification of Labor Contract
The contract specifies the conditions of work provision: content, workplace, duration of the day, hours, etc. However, some circumstances can be changed.
Labor Mobility
A worker may be subject to functional mobility (exercising other functions) and geographical mobility (working in other centers).
Functional Mobility
- Within the professional group or equivalent category: No legal justification is required.
- Outside the professional group or between non-equivalent categories: Technical or organizational grounds must exist, and the mobility should last only as long as required.
Geographical Mobility
- Type 1: Transfers: Final move to another facility requiring a change of residence. Must be justified by economic, technical, organizational, or production reasons. Requires 30 days’ prior notice (consultation period for collective transfers). Employee options: a) Accept and receive compensation; b) Appeal the decision; c) Terminate the contract with severance pay (20 days’ salary per year of service, up to 12 payments).
- Type 2: Displacements: Temporary transfer to another workplace. Requires at least 5 working days’ notice (for displacements longer than 3 months). Employee options: a) Accept and receive travel and subsistence allowances, plus time off (4 working days at their old home for every 3 months of displacement); b) Refuse and return.
Suspension of the Employment Contract
Effects: Temporary disappearance of work and remuneration obligations, with the right to return to the workplace.
Causes: a) Mutual agreement; b) Valid stipulations in the contract; c) Temporary incapacity; d) Maternity, pregnancy risk, adoption, or fostering of children under 6; e) Paternity (13 days); f) Public office; g) Deprivation of liberty (without conviction); h) Suspension of employment and salary; i) Force majeure or economic, technical, organizational, or production reasons; j) Strike; k) Legal closure of the company; l) Gender violence.
Leave of Absence
A case of contract suspension where the worker is released from providing services and the employer from remunerating work.
Types
- Active Status: For public office, union functions, etc. Duration is the term of the office. Computes towards seniority. Job reservation.
- Unpaid Leave: Voluntary, for worker’s needs. Duration: 4-5 months for workers with less than one year of seniority. Can be exercised again after 4 years. Does not compute towards seniority. No job reservation.
- Leave for Family Care: For childcare (up to 3 years) or care of a relative (up to 2 years, extendable by collective bargaining). Computes towards seniority. Right to vocational training. Workplace reserved during the first year. Can be taken in installments.
Extinction of the Employment Contract
The contract ceases to exist.
Causes of Extinction
of contract compliance of its duration: for having been determined plazxo, if the contract had a duration equal to or greater than anoia, should be notice of at least 15 days. termination of the contract by the worker will: cause: a) by resignation. the employee notice of termination does not need a reason and the contract is terminated without generating indemnizaciones.b right) abandonment. Work stops previoaviso go to work without the employer may seek damages and perjuicios.c) for serious breaches of the employer. k substantive amendments would run contrary to their training or impairment of its dignity. non-payment or delay by the employer. any other serious breach of its obligations by the employer. k lsd consequences the employee is an allowance of 45 days salary per year d d service, with a maximum of 42 months. termination of the contract at will by the employer: if the employer gives to finalize the contract, is what is known as redundancy k . type: 1) dismissal for objective reasons 2) Disciplinary dismissal: Based on the failure of the worker. causes: a) repeated and unjustified misconduct or timely assistance to trabajo.b) or indiscipline desobedencia.c) verbal offenses or physical or compañeros.d businessman) the transgression of good faith contractual.e) the steady, voluntary work performance in normal or pactado.f) habitual drunkenness or toxicomania.g) harassment with racial or ethnic origin , religious, sexual …. requirements: the dismissal must be notified to the employee must state the specific facts and date. calificacion disciplinary episode by the court: a) dismissal from: there was real cause for despedir.b) unfair dismissal