The new proposal for labor reform and time tracking in Spanish companies

The labor reform has been a key topic in Spain in recent years, and now a new reform proposal puts the importance of timekeeping at the center of attention in companies. This measure aims to protect the rights of workers, ensure transparency in the hours worked, and prevent labor fraud in terms of unpaid overtime. Timekeeping has been mandatory since 2019, but the reforms led by Minister Yolanda Díaz will increase control, and for this, all companies must be prepared.

## What is employee time management?

Although it is a term that we encounter daily, for those who are not familiar with its meaning, time management is nothing more than a system to control the entry and exit hours of workers. As mentioned earlier, time tracking has been mandatory since May 2019 for all companies, regardless of their size.

To comply with the law, it is necessary to ensure that this time tracking process meets the following objectives:

– Record the shift of each employee daily.
– Provide the identifying data of the company.
– Show the worker’s data.
– Indicate the date of the workday, as well as detail the exact time of entry and exit. It is also necessary to clock in during break periods, for example, lunch.
– Keep the record for a minimum of four years.

### Digital time management

So far, to carry out this time monitoring, it was possible to do it on paper, that is, on a template where workers were recording their entry and exit times, but with the new proposal, this will no longer be valid. In this way, companies must have time management software that allows this time tracking, keeping all records digitized.

The government aims to be able to consult this data immediately and from anywhere. In this way, it will be easier to detect possible irregularities by working more hours than stipulated by law.

This new measure is expected to come into force in the coming months, so it is necessary for all companies to start preparing for this important change that will affect how they record the entry and exit time of employees.

## Time management software: the solution to time registration management

To ensure compliance with time management regulations, it is highly recommended to use software developed for this purpose, taking into account everything that the regulations indicate. This way, the company will ensure that it does not violate the law.

One of the options available in the market is Sesame HR, a solution specifically designed to manage time registration automatically and digitally. Its features include:

– Precise clock-ins, avoiding any errors that may cause problems for the company.
– Centralized control system, meaning all information will be in one place, allowing the management of employee entries and exits.
– Ability to see at all times which employees are telecommuting, on break, or working in person.
– Compliance with the Time Management Law, storing the created records in the cloud. Information is kept for four years.
– Automatic time management report generation.
– Easy calculation of overtime hours for each worker.

## Other measures proposed in the labor reform

In addition to digital time management, a series of other reforms are included in the new labor reform proposal. Let’s look at some of the most important ones.

### Reduction of the workday
Reducing the workday is another important point of this reform, a reduction that has been discussed for some time and aims for workers to have their workday reduced to 37.5 hours without affecting their salary.

### Allowed overtime hours
The employers are pressuring for a modification of the maximum number of overtime hours allowed per year, currently set at 80, although this is still under negotiation.

### Sanctions
Finally, the amount of fines for non-compliance with the law regarding this reform must also be discussed. The fines for violations related to the workday, overtime, breaks, or timekeeping will increase.

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