The Spanish Ministry of Labor has made a significant move to safeguard salary bonuses during minimum wage increases, specifically targeting the practice where companies absorb these bonuses to mitigate the impact of the salary hike. Workers often find that their net salaries do not increase even when the minimum wage is raised, as companies may remove essential salary elements like bonuses, which the new decree aims to prohibit. Labor Minister Yolanda Díaz has confirmed that this initiative was a commitment made in the latest agreement to raise the minimum wage to 1,221 euros for 14 payments, and the proposed regulations are currently out for public consultation.

This initiative is particularly important for unions, which have raised concerns about the frequent practice of companies adjusting their remuneration structures to avoid the intended financial benefits of a minimum wage increase. By establishing clear rules that prevent the average worker's pay from being offset by the removal of bonuses, the Ministry of Labor seeks to ensure that the promised wage increases effectively reach employees. The decree, which has already been drafted, reflects a broader commitment by the government to enhance workers' rights and protect their earnings amidst rising living costs.

The opposition from CEOE, a major Spanish employer association, highlights the ongoing tension between labor regulations and business interests. They argue against the feasibility of enforcing such measures by decree, suggesting that the government could be overstepping its bounds. As the situation progresses, it could lead to significant discussions about labor market reforms and the balance of power between employers and employees in Spain.