The Spanish Government agrees on the labor reform with employers and unions

The unions UGT and CCOO have supported the Government’s proposal, to which the CEOE committee had given the go-ahead early this Thursday. The text touches, among other aspects, hiring and collective bargaining.

The Spanish Government has managed to agree, after months of negotiations, on the changes to the labor reform both with the CEOE employers and with the UGT and CCOO unions. Both unions have unanimously supported this Thursday the labor reform proposal brought to their management bodies and to which the CEOE committee had already given the go-ahead first thing in the morning.

As highlighted by the Ministry of Labor in a statement, “it is a question of historic agreement regarding labor relations that homologates the Spanish labor market to the European one. “The Government’s intention is to approve the labor reform in the Council of Ministers on the 28th, which would allow it to comply with the commitment it acquired with Brussels to have the labor reform before December 31.

The text proposed by the Government touches on various aspects of the Workers’ Statute, such as the hiring and the Collective negotiation, and has among its main objectives the reduction of the high temporary employment in Spain. Thus, it establishes that the ordinary employment contract will be indefinite and that can only be done two types of temporary contracts: structural and training.

The first of them, the structural one, can only respond to two causes: by production circumstances and by substitution of another worker with reservation of job, as long as it is perfectly specified who replaces the contracted worker.

At the same time, it is intended reinforce the definition and causality of the training contract, offering two types of contract: the alternate training contract, which will combine work and training, and the contract for the acquisition of professional practice.

The new labor legislation that the Government wants to introduce will promote the discontinuous fixed contract for the performance of work of a seasonal nature or seasonal activities. Work in administrative or commercial contracts will be able to take advantage of this modality and the seniority of the entire period of the employment relationship will be recognized, not only of the periods actually worked.

On the other hand, the text modifies the 2012 labor reform to recover the balance in collective bargaining, reinstating full ultra-activity, so that collective agreements will be extended until they are replaced by new ones, without a time limit, compared to the period of one year previously established.

Likewise, they want to promote internal flexibility measures such as temporary employment regulation files (ERTE) to avoid collective layoffs.

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