Spain is taking a significant step toward modernizing its labor landscape by advancing legislation to reduce the standard workweek from 40 to 37.5 hours without any reduction in pay. This initiative, approved by the Council of Ministers in early May 2025, aims to enhance work-life balance, boost productivity, and align the country with evolving global labor trends.
Labor Minister Yolanda Díaz emphasized that the proposal is more than a mere adjustment in working hours; it’s a transformative approach to how work is perceived in Spain. “We don’t live to work; we work to live,” she stated, highlighting the importance of improving quality of life and economic efficiency through reduced working hours.
The proposed legislation is expected to benefit approximately 12.5 million workers, particularly those in sectors like retail, hospitality, agriculture, and services, who often lack collective bargaining agreements. Public sector employees and many large companies in Spain already operate under a 37.5-hour workweek, making this move a standardization across various industries.
Beyond reducing working hours, the draft law introduces additional measures to protect workers’ rights. It enshrines the right to disconnect from work-related communications outside of official hours and mandates digital timekeeping systems to ensure compliance. Companies failing to adhere to these regulations could face fines of up to €10,000 per worker.
While the initiative has garnered support from major labor unions like CCOO and UGT, it faces opposition from business associations such as CEOE and Cepyme. These groups express concerns about potential impacts on small and medium-sized enterprises and argue that such changes should be negotiated through sector-specific agreements.
The government’s commitment to this reform is rooted in a broader vision of economic modernization and social progress. By reducing the workweek, Spain aims to foster a more equitable and productive society, reflecting a shift towards valuing quality of life alongside economic growth.
The legislation now moves to the Spanish Parliament for debate and approval. If passed, the reduced workweek could be implemented by the end of 2025, positioning Spain at the forefront of progressive labor reforms in Europe.
