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The Spanish
Constitution provides that the public authorities shall
maintain a public system of social security for all citizens
which will guarantee social assistance and services
which are sufficient in cases of need. Complementary
assistance and services shall be free.
Spanish
Social Security system covers all Spanish nationals
who reside and perform their labour activities in Spain as
well as foreigners with residence permits in Spain. Spanish
nationals, who do not reside in Spain, are also covered
under certain circumstances. Protection also covers the
family of the insured person.
Spanish
Social Security System has two schemes applicable:
-
The
general scheme, or scheme for the dependent worker:
It imposes a set percentage of income as a contribution
to be paid jointly by the employer and the employee.
-
The
scheme for the self-employed: The employee, who
works on his own account, is responsible for the total
amount of contribution, he can choose between a maximum
and a minimum percentage of contribution. It provides no
unemployment benefits.
Employer
and employee's contributions constitute the main social
security financing, however employer pays the greater
share, he will usually complete all formalities to ensure
that workers are covered by the social security system.
Personnel
are classified into labour categories for the purpose
of determining their social security contributions, the
government annually establishes the maximum and minimum
contribution rate. The minimum salary on which social
security contributions must be paid is around € 421 a
month.
The
contributions that dependent workers and employers pay
jointly are higher than self-employed contributions, as
employees are entitled to unemployment benefits if they lose
their jobs. The mandatory unemployment contribution is paid
as a percentage of the salary.
Pursuant to
social security agreements between Spain and some other
countries, including all the European Community countries
and United States, expatriates may remain members of
the social security system of their country of origin for a
limited period.
Spanish
Social Security contributions start as you start working in
Spain, not when you obtain your
residence card.
2. Main
benefits
The Spanish
Social Security System includes benefits for health care
(sickness and maternity), injuries at work,
unemployment, pensions, invalidity and death
benefits.
The
following are only general guidelines and not definitive
statements of the law, all questions about the law's
applications to individual cases shall be directed to a
Spanish Lawyer.
2.1.
Unemployment
Unemployed
workers in Spain have the right to receive benefit if they
have contributed the social security over a minimum
period of 360 days within the last 6 years
before they get unemployed.
The
amount that the unemployed shall receive will depend on
the contributions they have made within the last 180 days.
There exist a minimum and maximum amount of benefit they may
receive.
You retain
the right to unemployment benefits for a maximum period
of 2 years, provided that you have worked
during 6 years before becoming unemployed.
They must
register as unemployed with the Spanish Institute of
Employment (INEM) and apply for their unemployment benefit
within 15 days of becoming unemployed.
They must
be legally unemployed to receive the benefit, they
have no right to this benefit when it had been their own
decision to terminate their work contract and therefore
become unemployed.
As a
general rule, employers or self-employed persons
are not entitled to unemployment benefit.
However, it is possible to do some spare time work and still
get unemployment benefit.
Foreigners
entitled to unemployment benefit in Spain will lose this
benefit if they go back to residing to your country of
origin.
2.2.
Maternity leave
The mother
employee has the right to suspend her work
contract during 16 weeks to take care of her
newborn child.
In case of
a multiple birth, this period is extended to 2
more weeks for every newborn child. Moreover, her post
must be kept for her until she comes back to work, during
this period she is entitled to receive her salary as
normally does.
The
employee must have been registered with the social
security. She shall have contributed during 180 days
within 5 years before the child born.
2.3.
Retirement
In general
terms, Spanish workers may retire at the age of 65 years.
They shall have previously contributed to social security
for 15 years, two of them must be included within the
previous 15 years, from the date in which the worker
has the right to retire.
The
amount of pension that the worker shall receive will
depend upon the number of years that he had contributed and
his taxable income. He could receive 100% of his
taxable income with a total contribution period of not less
than 35 years.
The
worker's final pension is based principally on his payments
during the 8-year period prior his retirement.
If in doubt
about your rights you should consult a
Spanish Solicitor.
Article by iAbogado Servicios Jurídicos SL (Madrid, Spain).
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