Severance pay in Spain is “too cheap and I think we must act.” These words have come from the mouth of the current Minister of Labor and Social Economy, Yolanda Díaz, who has the firm intention of reforming the Workers’ Statute, which dates from the 1980s. All this under the prism of another milestone in matters of labor law led by the second vice president of the Government, since in the middle of the month the new Minimum Salary of 1,080 euros gross per month will be produced, divided into 14 payments.
The truth is that the dismissal is now once again at the center of the controversy, although what is surprising is that it is precisely now, almost a year after the 2021 labor reform came into force. , was not addressed when negotiating with the social agents, that is, employers and unions. Diaz blames the PSOE for not having addressed this matter before and opting for remedial dismissal. Specifically, what is sought to be changed from within the Ministry of Labor is article 56 of the ET, which refers to unfair dismissal of 33 days per year worked, with a maximum of 24 monthly payments.
The compensation therefore remains the same as it has been for eleven years, since it is one of the few points that survive today from the labor reform approved during the mandate of Mariano Rajoy. The first time the dismissal was aborted was in 1980, when it went from 60 days per year worked to 45 and the cap was set at 42 monthly payments. Still, it’s more than today. The United Podemos policy has denounced that companies “have to fire”, which shows a “pathology” in the labor market in our country.
What is the remedial dismissal of Yolanda Díaz?
The Minister of Labor advocated for reparative and restorative dismissal, for this she is protected by article 24 of the European Social Charter. For the minister, the compensation would vary not so much depending on the compensation, but rather on other factors to take into account in future dismissals, with this “restorative compensation” they are: age, training or sex. However, she admits that it will be “the social dialogue” in which she incorporates it.
Today in Congress he spoke with @jsalvadorduch in a serene way about the disastrous reality of unfair dismissals.
We are making progress in the face of precariousness with the labor reform and we will continue to do so 👇🏽 pic.twitter.com/Nly7elQ6HU
— Yolanda Díaz (@Yolanda_Diaz_) February 15, 2023
In this sense, Díaz points out that Spain is one of the few countries in Europe in which “indemnities are capped”, which is why the most representative unions -CCOO and UGT- have filed claims to certify whether or not Spain complies with Article 24 of the European Social Charter. “Soon it will be Spain’s turn,” said the minister.
What type of dismissal does the European Social Charter include?
But going a step further, what exactly is said in article 24 of the European Social Charter? To guarantee the effective exercise of the right of workers to protection in case of dismissal, the Parties undertake to recognize:
The right of all workers not to be dismissed without valid reasons for doing so related to their skills or conduct, or based on the operating needs of the company, establishment or service. to adequate valid indemnity or other appropriate relief.
How much do they have to pay me if they fire me in Spain?
As contemplated in the Workers’ Statute, if it is an objective dismissal, the worker is entitled to 20 days of salary per year worked.
In the event that the dismissal is disciplinary or is an objective dismissal contested by the worker and declared unfair, the compensation will be 33 days per year worked with a maximum of 24 monthly payments. However, if the worker’s contract is prior to February 12, 2012 and unfair dismissal is declared, the compensation will be 45 days per year worked with a maximum of 42 monthly payments.