Legal News – July 2026
A Dismissal Communicated to the Entire Workforce May Be Declared Unfair
The Court of First Instance of San Sebastián has declared an employee’s disciplinary dismissal unfair after finding that the company informed the rest of the workforce of the termination before giving the employee the mandatory prior hearing.
The judgment concludes that the decision had already been made and communicated internally. The company must therefore either reinstate the employee or pay compensation of more than €15,000.
Supreme Court Immigration Ruling Requires Temporary Employment Agencies to Reconsider Their Approach
The Supreme Court has removed the prohibition that prevented temporary employment agencies from recruiting foreign workers in their countries of origin for seasonal employment, following its ruling on the appeal against the new Immigration Regulations.
The judgment modifies the scope of the regulations approved in 2024 and once again makes this option available to temporary employment agencies, in a decision that has surprised the sector.
Courts Restrict Tax Authority Claims Against Company Directors
The Supreme Court has established new limits on action by the Spanish Tax Agency, ruling that it cannot hold company directors secondarily liable for the debts of a dissolved company without first declaring the company’s shareholders insolvent.
The judgment reinforces the Supreme Court’s case law on the transfer of liability and clarifies the procedure that the Spanish Tax Agency must follow before seeking payment of these debts from company directors.
Courts Find Certain Dismissals of Interim Employees Unfair Following the Allocation of Their Positions to Civil Servants
Madrid Employment Court No. 36 has awarded additional compensation to an interim employee who was employed under successive temporary contracts for 19 years, finding that the temporary employment arrangements had been used abusively.
The judgment also declares her termination unfair, finding that the employment position was improperly converted into a civil service post, and increases the total compensation to €41,223.
Court Ruling Puts Leitat’s Collective Redundancy Plan at Risk and Increases Its Cost
Terrassa Employment Court No. 1 has declared several dismissals included in the collective redundancy procedure implemented by Leitat in 2024 null and void after identifying shortcomings in the negotiation process with the workforce.
The judgment upholds the claims of approximately 60 employees who challenged the procedure and could increase the total cost of the collective redundancy plan to approximately €17 million or €18 million, although the ruling remains subject to appeal.