What should i know about the Draft Bill on working hours reduction, timekeeping, and strengthening of digital disconnection?

What should i know about the Draft Bill on working hours reduction, timekeeping, and strengthening of digital disconnection?

Currently, labor legislation in Spain requires mandatory timekeeping for all employees, regardless of the sector in which they work. Since the approval of Royal Decree-Law 8/2019, companies must maintain a reliable, accessible, and secure time control system, ensuring that workers accurately record their clock-in and clock-out times.

Implications of the approval of this law

In recent years, the labor market has undergone significant transformations, such as the increase in remote work, more flexible schedules, reduced commuting, staggered working hours, as well as the rise of automation and digitalization. These changes have driven the adaptation of labor regulations to new realities and organizational models, which have demonstrated the feasibility and associated benefits of reduced working hours. Consequently, there has been a transition toward digital systems that ensure data integrity and traceability.

The reduction of working hours and the increase in remote work are accompanied by the need for more precise regulation of timekeeping to ensure compliance with labor regulations. This benefits both employers—who can maintain proper control over employees’ working hours—and employees—who are protected against the proliferation of unlawful overtime hours.

In this way, the bill aims to strengthen the right to digital disconnection, preventing work obligations from extending beyond agreed-upon hours, thereby safeguarding employees’ right to rest and privacy.

When will these measures come into force?

These measures have been incorporated into the Draft Bill to reduce the ordinary working day, regulate timekeeping, and strengthen the right to digital disconnection, which was approved by the Council of Ministers on February 4, 2025.

However, for it to enter into force, it must be approved by the Spanish Congress of Deputies and published in the Official State Gazette (BOE). It is expected to come into force before the summer of 2025.

Once in force, companies will have until December 31, 2025, to adapt their collective bargaining agreements and internal systems to the reduced 37.5-hour workweek.

Regarding the digital timekeeping system, companies will have a six-month adaptation period from the date of entry into force of the law to implement it.

How does this affect my company?

This Draft Bill modifies the consolidated text of the Workers’ Statute Law, approved by Royal Legislative Decree 2/2015 of October 23 (hereinafter, the ‘Workers’ Statute’ or ‘ET’, introducing key changes in timekeeping management:

1. Reduction of the workweek to 37.5 hours.
2. Further reinforcement of employees’ right to digital disconnection.
3. Mandatory real-time digital timekeeping: paper-based timekeeping will no longer be allowed, requiring all companies to use an electronic system.

The digitalization of timekeeping systems presents significant challenges for certain industries, such as the agricultural sector.

Companies will be required to implement a digital timekeeping system that records employees’ clock-in and clock-out times, as well as overtime hours. This record must be provided alongside the payroll and the corresponding economic compensation.

This system will be mandatory for all workers, regardless of the type of employment contract (permanent, part-time, temporary, etc.).

Additionally, this new regulation establishes that timekeeping systems must ensure objectivity, reliability, and accessibility, meaning that employees themselves must personally record their working hours without the employer being able to manipulate the data. To comply with these requirements, the timekeeping system must:

1. Clearly differentiate between regular, overtime, and additional hours.
2. Uniquely identify each employee.
3. Present the information in a readable, processable, and compatible format for documentation and duplication purposes.
4. Guarantee interoperability of access and records.
5. Provide remote and immediate access for employees, legal representatives, and the Labor and Social Security Inspectorate.
6. Store records and monthly summaries for four years, ensuring availability for authorized individuals during this period.

Many companies are opting for digital systems that are more agile and autonomous for employees, such as systems that allow clock-ins via biometric verification, fingerprint scanning, QR codes, or similar methods.

However, since November 23, 2023, companies can no longer require employees to use fingerprint scanning or facial recognition for timekeeping, as the Spanish Data Protection Agency (AEPD) has restricted the processing of such personal data. To implement such systems, companies must:

1. Conduct a Data Protection Impact Assessment (DPIA) analyzing the risks of biometric data processing, the security measures applied within the company, and the justification for the necessity and proportionality of such systems in relation to employees’ personal data.
2. Have a proper legal basis for processing this personal data.
3. Comply with the principle of data minimization and establish an adequate protocol for deleting such data.
4. Comply with all data protection obligations under the General Data Protection Regulation (GDPR).

If you are considering implementing a digital timekeeping system or have any questions about this Draft Bill, do not hesitate to contact Letslaw.