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New labor standards: more corporate control, wage transparency, and changes in workers’ rights

Legal News – July 2026

Schneider Electric Ordered to Pay €180,000 Fine for Illegal Assignment of Workers

The Supreme Court has upheld the €180,000 fine imposed on Schneider Electric for improperly relying on workers from a temporary employment agency to cover permanent staffing needs.

The ruling supports the findings of the Labor and Social Security Inspectorate, which identified an illegal assignment of workers after detecting the sustained use of temporary contracts to perform structural functions at the logistics centre in Sant Boi de Llobregat.

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Government Seeks to Require Companies to Be Transparent About Who Receives a Pay Rise

The Ministry of Labor and Social Economy has begun negotiations with employer associations and trade unions to align Spanish legislation with the European directive on pay transparency.

The proposal will require companies with 50 or more employees to establish objective criteria for pay increases and promotions, with the aim of reinforcing pay transparency and preventing potential wage discrimination.

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Eight-Week Parental Leave Divides the Courts

The courts remain divided over whether the eight-week parental leave for the care of children under 12 must be paid, resulting in contradictory rulings.

While some judges consider that Spanish legislation has not correctly transposed the European directive and recognise the right to payment, others reject this interpretation—a disparity that, for the time being, mainly benefits public-sector employees over private-sector workers.

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Supreme Court Upholds Endesa’s Remote Work Negotiation and Dismisses Allegations of Irregularities

The Supreme Court has upheld Endesa’s conduct during the negotiation of its current remote work agreement and has dismissed allegations that the company exerted unlawful pressure on its workforce.

The ruling dismisses the claim brought by the Independent Energy Union and concludes that the sending of informational emails to employees formed part of the legitimate negotiation process, without constituting interference in trade union activity.

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Court Upholds Dismissal of Waiter Over TikTok Posts

The High Court of Justice of the Balearic Islands has upheld the disciplinary dismissal of a waiter who posted a TikTok video criticising his salary and disclosing information about the profit margins of the hotel where he worked.

The judgment finds that the publication of this footage, recorded during working hours and identifying the company, damaged its reputation, and it upholds the decision to terminate the employment relationship.

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