According to Velocity Global's employment agreement template, when is the salary due in Spain?

In Spain, according to the employment agreement template, salary is due on a monthly basis at the end of each month.

What date does the law specify salary must be paid in Spain?

In Spain, the law outlined in the Workers' Statute (art. 29) requires that salaries be paid by the end of the month. The statute mandates that salary payment and settlement must be conducted punctually and documented on the agreed date and location, or in accordance with standard practices. Additionally, the period for which regular, periodic payments apply cannot exceed 1 month.

How is salary calculated and what components does it consist of in Spain?

The employee's compensation in Spain consists of the following components:

• Base Salary: Established per the Collective Agreement. This depends on the employee's professional category and group.
• Plus Agreement: An additional amount paid by the employer above the minimum amount established in the collective bargaining agreement.
• Voluntary Improvement: Part of the base salary and the amount shown in our Global Work Platform™ (monthly salary, excluding months 13 and 14).
• Pro-rata Verano & Pro-rata Navidad: Months 13 and 14 prorated by 12.
• Allowances

Is there a legal obligation to pay salaries in the same month in Spain?

In Spain, there is a legal obligation for employers to pay employees within the same month that they commence work:

• Wages must be settled and paid promptly, in writing, on the agreed date, which is typically at the end of the month.
• Payments must occur at either an agreed location or follow established customs and practices.
• The payment period for regular, periodic remuneration must not exceed 1 month.

How many salary payments are made per year in Spain?

There are 12 salary payments made per year in Spain, with no accruals on our Spain entity.

Is salary payment monthly and is payment standard at the end of the month in Spain?

Yes, in Spain, salary must be paid on a monthly basis at the end of the month.

Should the employment agreement specify salary in monthly or annual amounts in Spain?

In Spain, the employment agreement should specify the salary as a gross annual amount in EUR.

What are the details of the statutory bonuses and 13th/14th-month salary, including the local name and payment schedule?

In Spain, employees are entitled to two statutory bonuses, commonly known as extra payments, each year. These are typically distributed as follows:

• One payment is given at Christmas.
• The other is distributed during the month agreed upon in the collective bargaining agreement or decided by the employer and employees' legal representatives, often before the summer vacation period.

Alternatively, these two extra payments may be distributed on a pro rata basis over 12 months, in line with the collective agreement or the individual's employment agreement. Velocity Global Spain follows this practice of distributing the bonuses in 12 installments throughout the year.

What is the minimum wage information in Spain?

Effective January 1, 2025, the Minimum Inter-professional Wage in Spain is set at EUR 39.47 per day or EUR 1,184.00 per month, calculated over 14 salaries. This wage applies across sectors including agriculture, industry, and services, regardless of whether the salary is calculated daily or monthly. Additionally, the minimum wage may be influenced by the supported employee's job title and description, as outlined in the salary tables of Annex I in our Collective Bargaining Agreement (CBA).