Díaz wants the dismissal of workers with unjustified temporary contracts to be null and void

MadridWith negotiations for labour reform between the Spanish government and the social partners in full swing, the Labour Ministry's proposals are becoming more concrete. An agreement has not yet been reached in the framework of social dialogue, but the department headed by Minister Yolanda Díaz has already put its proposals on the table. Diaz wants to limit temporary contracts to six months - extendable to one year by collective agreement - and eliminate the contract of work and service. She also proposes that the dismissal of workers with temporary contracts be considered void instead of unfair in the case that the contract was not properly justified, regardless of the reason given by the company to terminate it.

The change, which would involve amending Article 55 of the Workers' Statute, means that the affected employee would have to be reinstated immediately and the company would have to pay the wages that have been lost. This is a deterrent measure, to prevent employers from opting for fixed-term contracts without justification. For now, the employers' association, CEOE, has not commented. In any case, these measures are part of the draft that the Ministry of Labour has put on the table to negotiate changes in the labour reforms affecting temporary contracts, collective agreements and outsourcing.

Díaz announced on Tuesday that her goal was to end the abuse and made a "substantial" and "structural" reform of temporary contracts. The Spanish government has made a commitment to the European Commission to reduce it and, in fact, it is one of the objectives included in the recovery and resilience plan. Whether the reforms are fulfilled depends on the arrival of the money committed to boosting the Spanish economy after the pandemic.