Employment 2025

SPAIN Law and Practice Contributed by: José Antonio Segovia, A&O Shearman

in anonymised form unless an obligation to block the data applies. Contact Details The processing of personal data in the form of the con - tact data of individuals who work in a legal entity and individual entrepreneurs and freelance professionals shall be assumed (unless proven otherwise) to have a lawful basis, provided that the processing relates only to data necessary for professional purposes and the purpose of the processing is to maintain relations with the legal entity in which the data subject works. AI Legislation The new European AI Regulation, approved by the European Parliament on 13 June 2024, and effective as of 1 August 2024, aims to regulate the use of artifi - cial intelligence to mitigate risks to health, safety and fundamental rights, while also safeguarding democ - racy, the rule of law and the environment. It applies to AI system providers and users operating within the EU, regardless of origin. The regulation primarily targets high-risk AI systems, particularly those used in human resources for recruit - ment, candidate evaluation, and employment-related decision-making, due to their potential impact on indi - viduals’ career prospects and working conditions. 4. Foreign Workers 4.1 Limitations on Foreign Workers There are no maximum or minimum hiring quotas for foreign employees. 4.2 Registration Requirements for Foreign Workers Non-EU citizens require a work and residence per - mit to work. Simplified procedures apply to specially qualified employees. EU regulations relating to social security and social security bilateral agreements signed between Spain and other countries must be considered to determine the social security obligations applicable to tempo - rary employees who have been hired by a foreign employer.

As a general rule, any foreign employee rendering services in Spain shall pay into the Spanish social security system unless they are entitled to make con - tributions in their country of origin, whether under EU regulations or a bilateral agreement on social secu - rity matters signed between the country of origin and Spain. In the latter case, a formal communication must be submitted to the labour authorities. A foreign employee will need to apply for a social security number before the beginning of the contract, which will enable their employer to register them for social security purposes. Law 10/2021 of 9 July 2021 on Remote Working regu - lates labour relationships that are performed remotely on a regular basis (the work must be performed for at least 30% of the working day over a three-month reference period). This law, along with the Personal Data and Digital Rights Law (3/2018) of 5 December 2018, the Occupational Risk Prevention Law (31/1995) of 8 November 1995 and the General Social Security Law (8/2015) of 30 October 2015, cover issues of data privacy, occupational health and safety, and social security, as they relate to remote work. The main characteristics of Law 10/2021 are as fol - lows. • Remote working is voluntary for employees and companies. • Companies must assume the costs that employ - ees bear to work remotely, and they must provide their employees everything needed to carry out the services. • Employees have at least the same labour rights as they would have were working on site. • There are several issues related to this type of work that have to be negotiated with the worker’s representatives. • Companies are required to prevent any form of direct or indirect discrimination against remote workers, not only on the basis of gender, but also of age, seniority, professional group (ie, their posi - 5. New Work 5.1 Mobile Work

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