Spain: New Hindrance to Hiring of so-called

15 November 2018 - Monika Bertram

Monika Bertram Abogada +34 91 319 96 86

With the approval of Royal Decree-Law 28/2018 of 28 December, for the revalorisation of public pensions and other urgent measures in public, labour and employment matters, the Government makes its discourse stricter and for the first time, expressly acknowledges as a serious offense [ex. art 22.16 of Royal Legislative Decree 5/2000, of 4 August, which approves the consolidated text of the Law on Offences and Sanctions in Public Order] that conduct by which entrepreneurs, training entities, entities that assume the organisation of the professional training actions for employment programmed by the companies, freelance workers and similar workers (asimilados) communicate the removal from a Social Security regime for employees despite the fact that they continue the same employment activity or rendering of services by way of undue registration in a freelance workers’ regime.

The above implies that in the event that the Labour and Social Security Inspectorate  verifies that an entrepreneur is using services rendered by a freelance worker when all the signs of being an employee are present [mainly working in the employ of another and dependence], and, consequently, considers that such worker is a “false freelancer” (falso autónomo), said conduct shall be sanctioned with a fine ranging from EUR 3,126 to EUR 10,000 per affected worker; all of this without prejudice to the imposition of other sanctions for committing other applicable offences.