Bloomberg Law for HR Professionals is a complete, one-stop resource, continuously updated, providing HR professionals with fast answers to a wide range of domestic and international human resources...
By Brett Allan King
Dec. 7—Spain's minimum wage will increase by 8 percent to 707.60 euros ($761) in 2017 and social security contributions by 3 percent under Royal Decree-law 3/2016, published Dec. 3
“The government deems it desirable to increase the minimum interprofessional salary in light of improved general economic conditions,” according to the decree-law, which adds that “the evolution of wages in the employment recovery process” must accompany the “balanced” encouragement of competitiveness.
Royal Decree-law 3/2016 also raises the minimum income subject to social security contributions from 1,067.40 euros ($1,148) monthly to 1,152.80 euros ($1,240) and raises the maximum from 3,642 euros ($3,916) to 3,751.26 euros ($4,034).
According to treasury minister Cristóbal Montoro, the government would be open to eliminating the upper limit on Social Security contributions as “part of a program undertaken within the Toledo Pact, where we would talk about the removal of the ceiling on social contributions and, obviously, its reflection on relative pensions.”
The Toledo Pact was a 1995 overhaul of the social security system, which is monitored by a permanent parliamentary commission.
Spain's largest labor unions, the General Union of Workers and the Workers' Commissions, called for raising the minimum wage to 800 euros ($860) in 2017 and 1,000 euros ($1,075) in 2020 to make up for lost earning power. In a Nov. 28 report, the unions said the current minimum wage is just above the poverty line and could leave some working families below the line.
The Spanish Confederation of Employers and Industries did not immediately respond to a request for comment.
To contact the reporter on this story: Brett Allan King in Madrid at firstname.lastname@example.org
To contact the editor responsible for this story: Rick Vollmar at email@example.com
For more information on Spanish HR law and regulation, see the Spain primer.
Copyright © 2016 The Bureau of National Affairs, Inc. All Rights Reserved.
All Bloomberg BNA treatises are available on standing order, which ensures you will always receive the most current edition of the book or supplement of the title you have ordered from Bloomberg BNA’s book division. As soon as a new supplement or edition is published (usually annually) for a title you’ve previously purchased and requested to be placed on standing order, we’ll ship it to you to review for 30 days without any obligation. During this period, you can either (a) honor the invoice and receive a 5% discount (in addition to any other discounts you may qualify for) off the then-current price of the update, plus shipping and handling or (b) return the book(s), in which case, your invoice will be cancelled upon receipt of the book(s). Call us for a prepaid UPS label for your return. It’s as simple and easy as that. Most importantly, standing orders mean you will never have to worry about the timeliness of the information you’re relying on. And, you may discontinue standing orders at any time by contacting us at 1.800.960.1220 or by sending an email to firstname.lastname@example.org.
Put me on standing order at a 5% discount off list price of all future updates, in addition to any other discounts I may quality for. (Returnable within 30 days.)
Notify me when updates are available (No standing order will be created).
This Bloomberg BNA report is available on standing order, which ensures you will all receive the latest edition. This report is updated annually and we will send you the latest edition once it has been published. By signing up for standing order you will never have to worry about the timeliness of the information you need. And, you may discontinue standing orders at any time by contacting us at 1.800.372.1033, option 5, or by sending us an email to email@example.com.
Put me on standing order
Notify me when new releases are available (no standing order will be created)