News about a new law to reduce the working day is not expected to arrive before September at the earliest. The employers have successfully bought time, and the Ministry of Labor has not managed, as it hoped, to close this file before the summer holidays. Unions, seeing that more delay yields more concessions from employers, left Monday’s meeting reiterating their threat of mobilizations starting in September to push the talks forward.
Little progress was made this Monday in the talks between the ministry, the employers, and the unions on reducing the weekly hours to 37.5. This reform is slated to become the flagship labor measure of the current legislature and would have a broad impact on the labor market, potentially affecting the maximum weekly hours for eight out of ten workers covered by a collective agreement, according to data compiled by the ministry on collective bargaining.
The employers, despite the two most recent meetings in which the department led by Yolanda Díaz granted more latitude to distribute the hours across the year or opened up to a phased implementation, have maintained their stance against a statutory reform of the working day. “We continue to reject a reform imposed on the legal working day, since this matter is already being addressed through collective bargaining,” said sources at the CEOE.
A rejection that contrasts with the optimism the Secretary of State for Employment, Joaquín Pérez Rey, tried to project. “The table has advanced very positively. We have clarified the scope of movement. The atmosphere at the table was quite favorable. I think all parties made a constructive attempt to reach an agreement,” he said.
That sentiment was not shared by the unions. “We again urge the employers to join negotiations in good faith,” stated Fernando Luján, deputy general secretary of UGT, after the meeting.
Negotiations Move Slowly
What had appeared a rapid negotiation a few weeks ago has since stalled. The Ministry of Labor softened its initial stance and succeeded in getting employers to enter talks, though with considerable reluctance and still far from any agreement. From the government’s side in Moncloa, the hasty approach urged by Yolanda Díaz was criticized, and more breathing room was asked to attract the CE0E to a consensus. Even if a deal materializes, it could translate into a break with the coalition’s electoral program if timelines slip further.
In their coalition pact, the PSOE and Sumar promised to reduce the maximum working week to 38.5 hours this year and to 37.5 hours starting January 1, 2025. The law has not yet cleared the social dialogue phase and must still pass through Congress, where current support is not guaranteed. A second reading, expected to stretch for months, would push the law even further down the calendar. Had the measure closed in July, it could have entered into force by late December. Now, with social dialogue paused until September, it looks virtually impossible for the rule to take effect January 1, 2025, should the PP use its majority in the Senate to delay the process.
The Secretary of State for Employment has expressed the intent to close this file in September. “In September we expect to reach an agreement and send it to Parliament as soon as possible,” he stated.