2026 may be the year in which various regulations that have been in the making in recent years see the light, such as the Intern Statute, the possible reform of the severance pay system or the Industry Law. We could also see the reform of the Law on the Prevention of Occupational Risks and the transpositions of the European directives on transparent working conditions, pay transparency or working conditions in platform work.
We said goodbye to 2025 with several legislative initiatives that were planned for that year but have finally been left pending and with the announcement of the start of the possible processing of others.
In addition to the possible reduction of working hours or the new regulation of the registration of working hours, which could continue on the list of possible upcoming reforms, we summarize below the status of processing of the main new changes that we can expect for 2026:
- New SMI. The update of the SMI for the year 2026 is being processed. The committee of experts from which the Ministry of Labor and Social Economy requested a report on the range in which the minimum wage (SMI, for the acronym in Spanish) should be increased in 2026 has recommended an increase of 3.1%, if it is not taxed, or 4.7%, if it is taxed. On the table is the debate on a possible modification of the rules of compensation and absorption. While a new one is approved, the current SMI has been extended.
- Extension of paid leave. A further extension of paid leave is expected. On December 15, 2025, the Ministry of Labor and Social Economy reached an agreement with the trade unions participating in the social dialogue to (i) extend paid leave for the death of family members to 10 working days (12, in the event of displacement), with the possibility of distributing the leave in continuous or discontinuous days over a period of four weeks, and (ii) incorporate new leaves of up to 15 working days to accompany family members in palliative care and one working day to accompany them in euthanasia. It is expected that the corresponding procedures for the regulatory change will be initiated.
- Statute of the Scholarship Holder. In 2026, the so-called Intern Statute could be approved. On 4 November 2025, the Council of Ministers, at the proposal of the Ministry of Labor and Social Economy, approved the Draft Law on the Statute of Persons in Non-Labor Practical Training in the Business Sphere (the so-called Intern Statute). It is expected that in 2026 the process for the approval of the law, that aims to delimit training activities from work activities and outlaw the use of internships as low-cost work or as a substitute for workers, will continue. Among other issues, the new regulation will require an individual training plan, direct link to the educational itinerary and specific tutoring, and sets a maximum of five people in training per tutor and a maximum of 20% of interns over the workforce. Trainees will have the right to rest; to use the services of the workplace; to protection against violence and harassment; and to compensation for expenses. More information here.
- Possible reform of compensation for unfair dismissal. In 2026, we may have news in compensation for unfair dismissal. On September 17, 2025, Congress of Deputies approved a non-legislative proposal urging the Government to reform unfair dismissal by adopting “the necessary measures to ensure that Spanish legislation complies with the provisions of ratified international instruments, in particular the European Social Charter, as interpreted by the European Committee of Social Rights, and ILO Convention 158, regulating compensation in the event of unfair dismissal that is truly dissuasive and restorative”. On October 20, 2025, the Ministry of Labor and Social Economy opened negotiations with the social partners on this possible reform.
- Industry Law. The Draft Law on Industry and Strategic Autonomy is being processed, which contemplates a reindustrialization plan for cases in which the company has a significant loss of industrial capacity and affects resources of a basic need or of a strategic nature. According to this plan, companies will have to anticipate to the competent authority 9 months in advance the possible closure or reduction of activity that entails a significant reduction in employment and explore formulas for the prevention, correction or mitigation of the effects associated with the closure or reduction of workforce.
- Possible new LPRL. Work is being done on the possible reform of the Law on the Prevention of Occupational Risks to, among other issues, strengthen the prevention of risks (i) associated with the use of technologies or exposure to certain chemical substances, and (ii) psychosocial, as well as to provide a gender perspective to the prevention of occupational risks.
- Incentive for remote work in rural environments. Certain incentives for working remotely in rural areas could be approved in 2026 to encourage young people to work from these. On October 22, 2025, the Congress of Deputies approved a non-legislative proposal urging the Government to “develop measures that encourage teleworking to fix young people in rural environments”, collaborating with the autonomous communities to adopt such measures.
- Transposition of EU directives. Spain has yet to transpose Directive (EU) 2019/1152 on transparent and predictable working conditions in the European Union, from which reforms are expected in the duty to inform about the essential aspects of the employment relationship, the permanent-discontinuous contract, the part-time contract and the complementary hours agreements, the probationary period and the irregular distribution of the working day. It must also transpose Directive (EU) 2023/970 on pay transparency in 2026 (deadline ends June 7, 2026) and Directive (EU) 2024/2831 on improving working conditions in platform work (deadline ends December 2, 2026).
