At a glance
- A recent decision of the ECJ found that a Spanish social security law breaches EU discrimination rules by providing for automatic termination of the employment of disabled staff.
- Unless there is evidence that no adjustments can be made to accommodate the employee’s disability, the Spanish Courts can no longer approve these automatic terminations.
- The Ministry of Labour is working on revised legislation to incorporate the ECJ’s judgment into Spanish law.
Under existing Spanish law, if an employee is declared by the Social Security System to be permanently unable to work due to disability, it is mandatory that they become a beneficiary of the Social Security System and consequently their employment contract terminates automatically.
On 18 January 2024, the ECJ ruled that this automatic termination of an employment contract breaches EU disability discrimination laws. The ECJ ruling allows scope for a termination only where it is impossible to modify or adapt the employee’s role to accommodate their disability.
As a result of the ECJ ruling, Spanish courts can no longer approve these types of automatic terminations. Employers are now required to explain and provide evidence in court (if necessary) to demonstrate that it is not possible to adjust or adapt the employee’s role to accommodate their ill-health.
Given these developments, the Ministry of Labour is working on a draft bill to adapt the ‘offending’ Spanish regulation (contained in the Workers’ Statute) to comply with the requirements of the ECJ’s judgment. The Ministry of Labour’s proposal will not be adopted by the government for submission to parliament until there has been public consultation and consideration/reports by other relevant ministries.
More to explore
