Self employment in Spain

New Laws Governing Self Employment in Spain come into effect

The news laws governing self-employment in Spain which have taken 3 years of careful negotiations came into effect this weekend. The various measures included in the new laws will be implemented in phases.

One of the new measures is that the self-employed, or autonomos as they are called in Spanish, can now contract their children under 30 years old.

From the 1st January 2008 when the new Spanish financial year begins, self employed workers who pay according to the Régimen General system and more specifically those who work under the RETA scheme will have the right to reduce their costs.

According to the President of the Association of Self Employed Workers in Spain disabled self-employed workers, those who travel and work and those who work in direct sales should have their costs reduced.

The minimum wage established under the proposals for next year is 700 euros which according to the Association of Self-Employed Workers in Spain needs to be reduced to 380 euros in order to make it worthwhile registering as self-employed.

There are other aspects of self-employment laws that need to be developed further such as the working contract between autonomos that obtain more than 75% of their income from one client. This group of self-employed workers, known as TRADE workers will be allowed at least 18 days unpaid holidays and will be able to sign interprofessional agreements with their employers. The government has a maximum of one year to pass a law that regulates the type of contracts and the possibility of creating a register of TRADE workers that could be governed either by each regional authority or the state.

Sebastián Reyna, the General Secretary of the Union of Professionals and Self-Employed Workers, believes that the recognition of TRADE workers is one of the most important aspects of the new laws giving security to this emerging group and will also give these workers the opportunity to have a ‘full professional career’.

The government still needs to pass a law which regulates payment to the self-employed who suffer accidents while at work, those who suffer from work related illnesses and those who work in dangerous or harmful conditions.