Spain

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Congratulations on your decision to hire employees in Spain! Spain is known for having a highly educated and skilled workforce, particularly in the areas of technology, tourism, and renewable energy. Plane makes the hiring process easy for you by providing automated tax document collection, payroll, benefits, and more. This ensures compliance and efficiency throughout the process. Navigating how to hire in a new country can be challenging, so we've compiled the details below to help guide you.

Currency

EUR

 Onboarding

2.5 weeks minimum

Employer Cost

35.1%

Pay Frequency

Monthly

Public Holidays

10

5 Considerations Before Hiring in Spain

As an employer in Spain, it is important to have a comprehensive employment contract outlining the employment relationship's terms and conditions. The contract should include compensation, benefits, vacation time, and sick leave policies. Before onboarding a new employee in Spain, take a moment to consider the following questions:

Will there be a probationary period? If so, for how long?

The probation period is set between 2 to 6 months.

Plane Recommendation

We recommend establishing a probationary period of 3 months. This allows both the employee and employer to determine if the fit is right and if the employee is meeting expectations.

Time tracking is required
Employees must receive 14 salary payments
Do you want to offer private supplemental health insurance?
Should you offer additional incentives?

Getting Started with Hiring in Spain

Employment Contract

Employment contracts in Spain can be verbal or written. They exist when work is performed for an employer, at the employer's direction, by a subordinate individual who is paid for their work. Either party can request a written agreement at any time. Employers must provide employees with written information on the main terms of the contract if the employment lasts longer than 4 weeks. This information can be provided through a formal written employment contract.

The written contract must include:

  • Employer and employee identity

  • Start date and duration

  • Work location

  • Job category/description

  • Salary details

  • Working hours/days

  • Holiday details

  • Notice period

  • Applicable collective agreement

  • Details on any work abroad

Spain has four types of employment contracts:

  • Permanent

  • Temporary

  • Training

  • Apprenticeships/Internships

Temporary employees have the same rights as permanent employees. Employers must inform temporary employees of job vacancies. Changes to the employment contract are allowed, but must be provided in writing within 1 month. Both parties must sign the new agreement. Businesses have 10 days to notify the State Public Employment Service of all employment contracts executed with employees.

Hire Calculator

Get an instant, free estimate of how much it will cost to employ your next hire, including taxes.

Once you have sorted out the details mentioned above, you can add the employee to the Plane platform. We provide a step-by-step workflow that shows what tasks need to be completed, as well as real-time updates and notifications. This way, you can stay on top of the hiring process at all times. With Plane, you can confidently hire, knowing that you have a powerful platform at your disposal to manage the entire process from start to finish. Here are the instructions for adding a new employee to the platform:

How to hire and onboard an employee

Plane offers a guided process for administrators and managers to hire and onboard their new employees.

Hiring an employee in a new country can be a complex process, but with the right guidance and resources, it can be a smooth and successful transition. At Plane, we're committed to helping you navigate this process step-by-step. We'll keep you informed and up-to-date with the latest regulations and employment laws.

Frequently Asked Questions

Here are answers to some common questions about hiring employees outside of the US with Plane:

What is the relationship between my company and Plane?

Pilot Platform Inc (Plane) provides the product and service by helping you manage HR, payroll, and statutory requirements. Plane has its own entities and partners that are the EOR/legal employer where the employee is legally hired in the country. Plane and our partner do not manage the performance of the employees since we do not monitor or work directly with them.

Can Plane withhold taxes for non-cash compensation (e.g. stocks, options)?
Will I be able to pay a bonus, commission, or any other additional payments?
Can Plane guarantee the employee’s start date?