How to Create Offer Letters for Employees in Spain | Rippling (2024)

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    Want to hire an employee based in Spain? Today, it’s easier than ever to expand your hiring base and collaborate with workers around the globe. It’s important to ensure that you’re compliant with international employment regulations. Spanish labor laws are determined by the European Union, The Spanish Constitution, and the Workers’ Statute (Estatuto de los Trabajadores).

    Full-time employment contracts in Spain do not have to be in writing—meaning that the employment agreement can be made verbally. Either party can request a formal contract in writing at any time. Even though it’s not legally required, it’s highly recommended that you draft up a formal job offer letter to outline the role’s terms and conditions of employment, set expectations, and help protect you and your business should any legal disputes arise.

    Here is your guide to sending a comprehensive and legally compliant offer letter to a full-time employee in Spain.

    Spain job offer letter checklist

    • Before you get started: Spain regulates jobs by professional categories, with laws around working hours, salaries, and vacation days for each profession type. Make sure that your contract adheres to the requirements for the job category. It’s also crucial to know that collective bargaining is very common in Spain and it will likely impact the terms of your contract.
    • Position (job title), job description, profession group/category, start date, and probation period. Outline the job duties and explain that the prospective employee’s suitability for this role will be evaluated during a probation period. In Spain, probation periods are common, but must not exceed two months for most “unqualified” employees and six months for “qualified” technical experts. During that probationary period, either employer or employee may terminate the work at will.
    • Working hours. Detail the days and times you expect your employee to work. In Spain, the typical full-time workload is 40 hours per week, unless determined otherwise through collective bargaining. Employees are not allowed to work more than 80 overtime hours per year. Employers must also keep a daily record of the start and end time for each employee, and maintain those records for four years.

      Any work at night (between 10 p.m. and 6 a.m.) is considered a “night shift” and requires premium pay. This is typically determined through a collective agreement.

    • Compensation & Benefits.
      • Salary. Specify the employee's monetary compensation in euros, in addition to any other compensation they may receive, such as bonuses, allowances, insurances, or equity compensation.Note the pay periods and frequency of payments, keeping holiday subsidies in mind. In Spain, salaries are split into 14 payments throughout the year rather than 12, with pay doubled as a Christmas holiday bonus and another bonus. That second bonus date is typically decided through collective bargaining and is often in June. This can be handled in one of two ways:
      • Equity. If applicable, specify any equity compensation they will receive. This might include stock options, restricted stock units (RSUs), and stock purchase plans.
      • Benefits. Benefits can be outlined in the offer letter. Address them in general terms so that an amendment to the offer letter isn't required if benefits change in the future. In Spain, the following benefits are mandatory for full-time employees:
      • Vacation and leave. Full-time workers in Spain are entitled to 30 calendar days (22 working days) of vacation per year. Employees are also entitled to 14 days of public holidays. In Spain, it’s typical for employees to be required to use up their vacation in the year it was earned, meaning that vacation days do not transfer to the next year. If your contract allows for them to transfer paid time off/vacation days, be sure to explain that in the employment letter. Note: Spain has very specific laws around sick leave. Employees are not entitled to pay for the first three days of their absence but must be paid a percentage of their salary from the fourth to the fifteenth day of illness. After that, social security kicks in to pay for their sick leave.
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    • Termination policy. Clearly outline your limits for termination. In Spain, you may legally dismiss an employee due to misconduct if they are unable to complete the tasks of the job (unless that’s due to illness, pregnancy, or disability), or if the business no longer requires their services (in the case of redundancy). Disciplinary dismissals can be done at will, whereas general dismissals typically require 30 days’ notice. If your employee agrees, you may also substitute pay in lieu of notice.
    • Confidentiality and non-disclosure. If there are confidentiality or non-disclosure agreements required for this job, outline them in detail. Such agreements are considered legally binding in Spain.
    • Other key details. This includes:
      • Contact information, including phone number. You must identify both your registered address, as well as your employee’s location.
      • Any additional collective bargaining instruments available to resolve employment disputes.
      • The employee’s professional category.
      • Place of work for your employee. If there is no fixed location (such as an office), indicate that the place of work is flexible. (Note that all remote workers in Spain are afforded a working-from-home allowance of €100/month.)
      • List out any contingencies for the offer, such as satisfactory results from a routine background check, signing company policy documents, or proof of their eligibility to legally work in Spain.
      • Request that the employee signs and returns the offer letter to confirm their acceptance of the job before their start date.
    • Non-compete and non-solicit agreements. Restrictive covenants, such as non-competes, are enforceable in Spain as long as you have a legitimate business interest to protect. Non-competes should be executed in writing, not exceed two years for technical experts or six months for other employees, and provide compensation for the duration of the restrictive covenant. Typically, the compensation is 30-60% of the employee’s salary.

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    Disclaimer: Rippling and its affiliates do not provide tax, legal or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors before engaging in any related activities or transactions.

    last edited


    May 11, 2024

    How to Create Offer Letters for Employees in Spain | Rippling (2024)


    How to Create Offer Letters for Employees in Spain | Rippling? ›

    First, you will need to request a CIF, or “no residente sin Establecimiento permanente,” which is a tax ID for a non-resident company without permanent establishment. You can then register your US company's employees in Spain with the social security office.

    How do I create an offer letter? ›

    The following are common elements to include in an offer letter, although your company may want to include additional information as needed.
    1. Official letterhead or logo. ...
    2. Formal letter guidelines. ...
    3. Opener. ...
    4. About the position. ...
    5. Salary and benefits. ...
    6. At-will status. ...
    7. Closer.

    Can a US company employ someone in Spain? ›

    First, you will need to request a CIF, or “no residente sin Establecimiento permanente,” which is a tax ID for a non-resident company without permanent establishment. You can then register your US company's employees in Spain with the social security office.

    How do I employ someone in Spain? ›

    Every worker in Spain must have a legally binding employment contract. Such agreements must specify the length of the contract, the salary, and the number of hours worked. In Spain, businesses must pay into the social security system on behalf of their employees.

    How much notice do you need to give your employer in Spain? ›

    The standard legal notice period is 15 calendar days; however, collective CCTs may require more time. It is common for employees in Spain to get up to a maximum of 3 months' notice. The notice requirement does not apply to interim contracts, probation periods, or temporary contracts shorter than 12 months.

    Can you write your own offer letter? ›

    If the buyer is not working with a real estate agent and does not have representation, the offer would come directly from the buyer. Represented buyers can also write their own offer letter and have their agent submit it for them.

    How is an offer letter generated? ›

    A job offer letter is a formal document that is issued by an employer to a candidate who has been selected for a job position. It provides the details of the job offer, including the position title, start date, compensation, and benefits.

    Can a US citizen work remotely in Spain? ›

    Applications for the Spain Digital Nomad Visa are open to non-EU/EEA citizens. Citizens of the European Union and European Economic Area do not need a DNV to work remotely in Spain. United States citizens and Green Card holders, as well as citizens from Australia, New Zealand, and Canada, are all eligible to apply.

    How can a US employer hire a foreign employee? ›

    First, employers must seek certification through the U.S. Department of Labor. Below you will find a link to documents and forms. Once the application is certified/approved, the employer must petition the U.S. Citizen and Immigration Services for a visa.

    Are Americans legally authorized to work in Spain? ›

    If you want to live and work in Spain as a non-EU/EEA citizen, you will need a residence and work permit (visado de trabajo y residencia). There are various types of work permits for different types of jobs and lengths of employment.

    How do they pay workers in Spain? ›

    Payroll processing in Spain

    To process payroll, employers need to calculate both gross and net pay, taking into account mandatory deductions such as income tax and social security contributions. Employees must have a personal tax number for tax filings and a social security number (NAF).

    How do I set up payroll in Spain? ›

    After registering with the Spanish Tax Agency (Agencia Estatal de la Administración Tributaria), employers obtain a company tax number, which is needed for payroll processing and withholding income tax from salaries and wages, as well as a Contribution Account Code (CCC) which is needed for social security registration ...

    How to hire Spanish people? ›

    Try the following proactive recruiting tips to attract more local Hispanic workers.
    1. Apartment building promotions. ...
    2. Talk to a priest. ...
    3. Spanish language radio advertising. ...
    4. Hispanic newspaper ads. ...
    5. Bulletin boards around town. ...
    6. Festival booths. ...
    7. Referral bonuses with a caveat. ...
    8. Open house.
    Mar 16, 2015

    What are the mandatory benefits for employees in Spain? ›

    As of January 2023, Spanish full-time employees are entitled to a minimum wage of €1,080 per month. In addition to base pay, Spanish workers are also entitled to a number of benefits, including meal vouchers, medical insurance, and company vehicles (for qualifying employees), all paid for by the employer.

    What is the severance law in Spain? ›

    Severance pay in Spain is generally a minimum of 20 days' salary per year of service capped at 12 months. This is usually for individual dismissals on objective grounds. However, this amount varies depending on the circ*mstances surrounding your situation.

    What is the minimum salary for a work visa in Spain? ›

    Eligibility Criteria for Non-EU Citizens

    Additionally, they must have a work contract or a legally binding job offer with a salary that is at least 1.5 times the average wage in Spain (or 1.2 times for in-demand jobs). The minimum annual salary requirement for non-EU citizens applying for a Spain work visa is €33,908.

    What is an example of an offer letter? ›

    Informal Offer Letter Template:

    We're pleased to offer you a full-time position as a [job title] with [Company Name]. We think that your experience and skills will be a valuable addition to our company. If you accept this offer and meet the conditions for hire you can expect the following benefits and responsibilities.

    What is a standard offer letter? ›

    An offer letter is a written contract that confirms the terms of employment. It's a document that lays out what your job will be and how much you'll be paid. It might also include the benefits and other details about the job.

    How to create an offer letter without contractual implications? ›

    How to Create an Offer Letter Without Contractual Implications
    1. Step 1: Opening and Basic Information. ...
    2. Step 2: Job-Specific Information. ...
    3. Step 3: Benefits Information. ...
    4. Step 4: Paid Leave Information. ...
    5. Step 5: Terms of Employment. ...
    6. Step 6: At-Will Employment. ...
    7. Step 7: Closing. ...
    8. Step 8: Legal Review.


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