The Spanish Confederation of Business Organizations (CEOE) has expressed its rejection of the Ministry of Labor’ s initiative to reduce the working day by working week to 37.5 hours, arguing that there is no to 37.5 hours, arguing that there is no evidence to support that this measure would increase productivity. According to the documents sent by the employers’ association to the Ministry, Spain would need an effective working day of 41.2 hours to reach the average productivity levels of the European Union. “The premise that the reduction of the working day increases productivity is not empirically supported,” stresses the employers’ association, which argues that the increase in productivity is what naturally allows a reduction in hours worked and an improvement in wages.
Impact on competitiveness and labor costs
The CEOE warns that imposing a reduction in working hours without improving productivity could lead to organizational misalignments, increased labor costs and a loss of competitiveness in key sectors. According to the employers’ association, since 2019, productivity per employee in Spain has fallen, while in the rest of the EU it has grown steadily. In addition, the employers’ association points out that European countries with similar working hours to Spain have significantly higher productivity levels, which shows that efficiency, and not hours worked, is the determining factor.
Tensions in collective bargaining
The employers’ association has described the draft law as an “unprecedented interference” in the autonomy of collective bargaining. It points out that the Ministry of Labor seeks to influence the working day agreed in collective agreements, which, according to the CEOE, could generate labor conflicts and halt the progress achieved so far. Currently, more than 24% of collective bargaining agreements establish working hours of between 37.5 and 38.5 hours per week, while 53% of workers have agreed working hours of between 38.5 and 39.5 hours. The flexibility of these negotiations has been key, according to the CEOE, to maintain the competitiveness of companies while favoring work-life balance.
Criticism of the government’s approach
The CEOE has questioned the lack of an economic report in the draft bill, which would allow the real impact of the measure to be evaluated. It has also criticized the fact that the social dialogue on the proposal has been “fictitious” and has been guided by the media interests of the Ministry. In comparison with other European Union countries, the CEOE points out that 25 states still maintain maximum legal working hours of 40 hours per week and that, in some cases, such as in Greece, the working day has been increased. With this statement, the CEOE reiterates its critical stance towards a reform that it considers detrimental to the economy and business competitiveness in Spain.
