# Employment



## Classified (May 9, 2010)

Still a bit confused after reading all about employment law in Sunny Spain, what will it cost me to employ a bar person working part time say 20 hours per week?


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## jimenato (Nov 21, 2009)

You should speak to your accountant. I have just asked the same question of mine. To employ somebody costs 400 Euros in social security costs per month. My accountant would also charge me 100 Euros to 'set up' an employee and 30 Euros each employee per month to process their payroll.

I won't therefore be employing anyone.


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## Pesky Wesky (May 10, 2009)

jimenato said:


> You should speak to your accountant. I have just asked the same question of mine. To employ somebody costs 400 Euros in social security costs per month. My accountant would also charge me 100 Euros to 'set up' an employee and 30 Euros each employee per month to process their payroll.
> 
> I won't therefore be employing anyone.


And that's why so much bar work, restaurant work, private classes, small building jobs etc are paid under the table (as I'm sure they are in the UK) and is which means that the government misses out on all those taxes that aren't getting paid!!

Here is some more info about employing staff in Spain
http://www.advoco.es/hot-topics/62-employing-staff-in-spain.html


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## djfwells (Sep 28, 2009)

Classified said:


> Still a bit confused after reading all about employment law in Sunny Spain, what will it cost me to employ a bar person working part time say 20 hours per week?


There are a number of different typs of legal contract with which you can employ a member of staff in Spain and you should firstly speak with your Asesor for advice as to which contract you should offer. This will also determin the contibutions that you as an Employer make to the state.
I have PM'd you with a breakdown of what contributions you can typcially expect to have to make - Please note that you should consider this as a guideline, as your Asesor will be able to advise you more accurately once all your circumstances have been taken into account.

If you should decide to proceed with Employing staff legally, you should not understimate the importance of fully understanding Spanisg employment law.


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## jimenato (Nov 21, 2009)

djfwells said:


> There are a number of different typs of legal contract with which you can employ a member of staff in Spain and you should firstly speak with your Asesor for advice as to which contract you should offer. This will also determin the contibutions that you as an Employer make to the state.
> I have PM'd you with a breakdown of what contributions you can typcially expect to have to make - Please note that you should consider this as a guideline, as your Asesor will be able to advise you more accurately once all your circumstances have been taken into account.
> 
> If you should decide to proceed with Employing staff legally, you should not understimate the importance of fully understanding Spanisg employment law.


Can you PM it to me as well please? Thanks in anticipation.


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## Classified (May 9, 2010)

Thank you all for your help and advice.


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## leedsutdgem (Jun 3, 2010)

Is it any wonder this country is in the state its in when people do not legally employ their staff here? Im sorry but it just gets on my nerves when people work here and get paid "in their hand". Yes, I know social security costs are high here but we as expats chose to live here so why not abide by the rules. We wouldnt get away with it in the UK so why even try it here. You may find that if you get a social security inspection and are caught then you pay dearly.

Sorry rant over!


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## nigele2 (Dec 25, 2009)

leedsutdgem said:


> Is it any wonder this country is in the state its in when people do not legally employ their staff here? Im sorry but it just gets on my nerves when people work here and get paid "in their hand". Yes, I know social security costs are high here but we as expats chose to live here so why not abide by the rules. We wouldnt get away with it in the UK so why even try it here. You may find that if you get a social security inspection and are caught then you pay dearly.
> 
> Sorry rant over!


I used to think like you leedsutdgem but I have through my extended spanish family seen how from top to bottom the official structure in Spain is corrupt and broken. If you are going to pay by the official route you will simply employ less people and put your business at greater risk (as you will be at a disadvantage to your competitors). You will also be supporting the Spanish rulers who ever they maybe who created 40% unemployment for the younger spanish generation .

A member of my family has just been given a little over 1 weeks notice to move home from Madrid to Barcelona or lose her job; a job she has been very successful at for 18 months. But she knows she will lose her job end of February anyway (after 2 years they would have to make her perm). And living in BC will leave her 400Es short each month and away from her family and university where she is trying to get further qualifications in her spare time.

My BIL has his daughter gravely ill in hospital with a blood disease. His company where he has worked for years told him he could have a maximum of 2 days leave. 

I would urge anyone who employs spaniards to show them the respect you would show any human being. But IMHO you shouldn't feel guilty about not paying tax.

Just my opinion


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## Pesky Wesky (May 10, 2009)

leedsutdgem said:


> *Is it any wonder this country is in the state its in when people do not legally employ their staff here? *
> *Im sorry but it just gets on my nerves when people work here and get paid "in their hand". Yes, I know social security costs are high here but we as expats chose to live here so why not abide by the rules. *
> Yes, it certainly is an economic drain on the country, and there is a certain country culture about getting cash in hand, but I must say I sympathise when employers are asked to pay such a high price in order to employ people. Apart from getting paid under the table, it has also led to many companies employing large numbers of the self employed, so that it's the employee who has the problem, not the employer. That's certainly happened with language teaching. There are far more offers for the self employed. Of course, it's far riskier for the person who's self employed, especially as you have to pay 260 euros per month.
> The people who were enquiring here about employing people have expressed interest in doing it legally,and when told the cost have said they won't be able to employ new staff. More jobs not created. I don't think they said anything about *not abiding by the rules. *However, I can understand why it's done and if you're going to do as the locals do, well, you're going to pay cash in hand, aren't you?
> ...


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