Spain

Capital city: Madrid

Currency

Euro (€, EUR)

Language spoken

Spanish

Population size

47,329,981

Payroll frequency

Monthly

VAT – standard rate

21%

GDP – growth rate

2.582%

Employment law in Spain is not contained under a single law. Instead it is governed by statutory regulations codified in (among other laws) the Spanish Civil Code and the Spanish Workers’ Statute. The Spanish Workers’ Statute regulates legal and regulatory of Spain, the will of parties intended in employment contracts, local and professional customs and practices as well as collective bargaining agreements.

Spanish employment law provides strong labor conditions and protections for employees, so employing people will generally be an important investment and commitment.

Temporary agencies are popular options for more flexible workforce arrangements. For these and many other reasons, the following are only guidelines in the broadest sense, and professional legal services are recommended when employing in Spain.

Employing in Spain requires employers to own a legal entity in the country and manage payroll, tax, benefits and compliance through their own in-country resources. The complexity of employment regulations in Spain makes full compliance with employment laws a burdensome process.

Through Remote’s Global Employer of Record solution, your team is employed by our local legal entities in each country, and we take care of payroll, tax, benefits and compliance so you can focus on what matters most — your people.

Besides providing your employees with all statutory benefits in Spain, Remote can advise on and arrange for custom benefits and perks for your employees upon request.

Minimum Wage

€1108 per month in 12 payments, €950 per month in 14 payments.

EU Blue Card

An EU Blue Card gives highly-qualified workers from outside the EU the right to live and work in an EU country, provided they have higher professional qualifications, such as a university degree, and an employment contract or a binding job offer with a high salary compared to the average in the EU country where the job is.

In Spain, the gross annual salary resulting from the monthly or annual salary specified in the work contract or binding job offer must be equal to or higher than the relevant salary threshold defined by the Member State (at least 1.5 times the average gross annual salary for this profession in Spain).

For 2020, Spain set the minimum salary threshold at: €33908, which is €2.825,67 per month in 12 payments.

Taxes in Spain

Learn about employment taxes and how they affect your employees’ paycheck

Employer

Employee

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