Severance Pay


Have you been subject to dismissal by your employer?

Here is some very important information you should know if you find yourself in this situation.

There are various types of compensation rates to which an employee may be entitled to in case of dismissal, depending on the scenario.

Let us take objective dismissal for example. This type of dismissal does not take into account employee´s “subjective” misconduct, but rather such reasons as, employee´s incompetence, employee´s failure to perform according to the contract, employee´s absence from work (specific conditions apply) or when the company needs to cut job positions due to economic, technical or productive reasons. Moreover, according to Spanish Labour Law, when the dismissal is objective, employee should first of all be receive a letter of dismissal and 30-day prior notification or wage in lieu thereof. The employer must also pay the dismissed employee the severance compensation of 20 days of salary per year for the latter’s service, up to a maximum of 12 months of salary.

In the case of collective dismissal, the cause of such must also be either economic, organizational or technical and like in objective dismissal, the employer must pay the dismissed employee the severance compensation of 20 days of salary per year for the latter’s service, up to a maximum of 12 months of salary.

However, whether your dismissal was disciplinary, for objective reasons or collective dismissal, it can be challenged. Our experts analyze the cause for dismissal issued by the company, and if the case does not fully justify the company´s action, you can claim the corresponding amount. If you declare unlawful dismissal, compensation can reach up to 45 days of compensation per year worked.

In compensacion.es we suggest that you get in touch with one of our specialists in Labour Law, as in the majority of cases, workers are entitled to a much higher compensation than that granted to them by their company.

Moreover, our experts will review all documentation you have available for employment (payroll, letter of dismissal, settlement) to study whether there are still amounts to be paid to you or check whether the compensation has been calculated correctly, such as wage differentials, overtime work or wage supplements. In addition to wage supplements, you may be entitled to personal bonus payments such as seniority pay.

So if you have been dismissed, do get in touch with us and we´ll make sure you are put in the hands of an expert, who would protect your interests and make sure you get the compensation you deserve. Remember, our first consultation is free of charge without any obligation to commitment.

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