European Court Fines Spain €6 Million Over Parental Leave Directive Non-Compliance
The European Court of Justice fines Spain €6 million for failing to comply with a 2019 parental leave directive, with potential daily penalties on the horizon.
Key Points
- • Spain fined €6 million by the ECJ for non-compliance with EU parental leave rules.
- • Daily fines of €19,700 could apply until compliance is achieved.
- • Government's decree to extend parental leave is facing parliamentary opposition.
- • Ministry of Labor warns fines could reach nearly €10 million without action.
The European Court of Justice (ECJ) has imposed a significant fine of €6 million on Spain for its failure to comply with a 2019 EU directive aimed at improving work-life balance for parents and caregivers. Further compounding this issue, Spain will incur an additional daily penalty of €19,700 if immediate corrective measures are not taken to align with the directive's requirements.
The legal action against Spain was initiated by the European Commission in September 2022, highlighting Spain's inability to adopt necessary legislative actions to fulfill the directive. Despite the Spanish government's declaration of intent to implement the directive through a new law and royal decree, substantive progress has been stalled, prompting the court's stern response.
In an attempt to mitigate the situation, the Spanish government recently approved a royal decree that extends parental leave by three weeks for each parent. However, this measure has faced significant political pushback, notably from the political party Podemos, which collaborated with right-wing factions to block the decree over concerns regarding cuts to unemployment subsidies.
The Ministry of Labor has expressed urgency in addressing the compliance issues, warning that the overall fines could reach nearly €10 million if Spain does not compensate adequately for the government's previous neglect of the eight-week parental leave scheme, which lacks proper funding. Initially, the coalition government of PSOE and Sumar had an agreement to fund at least four weeks of parental leave starting August 2024. However, recent political dynamics could hinder these plans. Currently, the approved measures now extend paid maternity and paternity leave from 16 to 17 weeks, falling short of the initial ambitious goals set by the coalition.
Following the ECJ's ruling, the Spanish government is urged to act swiftly to prevent further penalties and to adhere to the European guidelines on work-life balance, which are a critical aspect of family policy in modern society.