Basic Employment Rights

Types of Dismissal in Spain

There are three types of dismissal every worker should know:

Fair Dismissal (Despido Procedente)

The employer proves a justified cause (serious employee misconduct). No severance is due, though you may still qualify for unemployment benefits.

Unfair Dismissal (Despido Improcedente)

The most common type. It occurs when the employer cannot prove the alleged cause or fails to follow proper procedure. The company can choose to:

• Reinstate the worker under the same conditions.
• Pay severance of 33 days' salary per year worked, capped at 24 monthly payments (for contracts after February 12, 2012).

Void Dismissal (Despido Nulo)

Declared when fundamental rights are violated: pregnancy discrimination, retaliation for claiming rights, etc. The result is mandatory reinstatement with back pay.

Deadlines to File a Claim

• 20 business days from the effective date of dismissal to file a conciliation request with the SMAC.
• If conciliation fails, another 20 business days to file a lawsuit.
• This is a forfeiture deadline: it does not pause except for mandatory prior conciliation.

Severance Calculations

The base is your gross daily salary, including base salary, bonuses, and the proportional share of extra payments.

Example: 5 years at 30,000 €/year (82.19 €/day), unfairly dismissed:

• 33 days × 5 years = 165 days
• 165 × 82.19 € = 13,561.35 €

ERTE vs ERE

• ERTE: Temporary suspension or reduction of working hours. You keep your job and receive unemployment benefits during the suspension.
• ERE: Collective termination of contracts, applied when a significant number of workers are dismissed.

Minimum Wage, Overtime and Holidays

• SMI 2026: 1,184 €/month in 14 payments. It is exempt from garnishment except for child support.
• Overtime: Maximum 80 hours per year. Can be compensated with rest or paid.
• Holidays: Minimum 30 calendar days per year. Cannot be replaced by money except when the contract ends.