Key employment issues for companies in the hotel sector
The hotel sector is one of the main economic drivers in Spain and is expected to continue growing significantly due to the expansion and strengthening of the tourism industry.
However, this sector has traditionally been one of the most contentious from a labour and legal perspective, presenting major challenges for hotel companies and their HR departments. For this reason, we’ve prepared this 2025 practical guide highlighting the key aspects to consider when managing employment relations—particularly those areas most prone to disputes and closely monitored by the Labour and Social Security Inspectorate.
Main regulations applicable to the hotel industry
Any hotel business in Spain must comply not only with the Workers’ Statute, but also with the relevant Collective Bargaining Agreements (CBAs) for the hospitality industry, which vary depending on the province where the workplace is located, as well as the applicable National Labour Agreement for the Hospitality Sector (currently ALEH VI).
Permanent seasonal staff and managing temporary employment
The hotel sector is characterised by seasonality, which varies based on geography and the type of tourism. Generally, companies maintain a core permanent workforce to cover year-round operations (unless the business is seasonal), and supplement this with permanent seasonal contracts (fijos discontinuos) during peak periods.
When using fixed-discontinuous contracts, companies must pay close attention to two key aspects:
That the annual period of activity does not exceed 320 days, unless duly justified, in order to avoid reclassification as a standard permanent contract.
That the rules on call-up and termination are followed, which are typically based on seniority, job category, position, or area of expertise.
Following recent labour reforms, there has been a significant reduction in the use of temporary contracts. While not prohibited, fixed-term contracts are now strictly limited and must be clearly and lawfully justified—whether the need is predictable or not, it must be occasional. The duration must also be specified. These contracts have become a focal point for the Labour Inspectorate in recent years.
Working hours, overtime, shifts, and rest periods
A large share of employment-related disputes in the hotel sector arise from discrepancies between actual working hours and those stated in the employment contract, as well as excess hours worked (overtime) and failures to comply with rest period regulations.
Employers must not only respect working time limits set out in local CBAs, but also adhere to statutory rest periods, including:
- Daily rest of at least 12 consecutive hours between shifts, and
- Weekly rest of at least 36 consecutive hours, typically a day and a half. Some provincial CBAs regulate this further, especially with regard to weekend rest.
There has also been a sharp rise in breaches relating to working time records, so it’s important to ensure systems are in place and that staff are properly informed on how to record their hours. In cases of non-compliance, disciplinary action should be taken to mitigate potential liability or sanctions for the company.
Conflict in this area has intensified since the legal requirement for working time registration came into force, and further legal obligations are expected—particularly with the upcoming reduction of the statutory working week.
Leave entitlements in the hotel sector
Labour regulations are increasingly providing for more generous paid leave entitlements, and these are being requested more frequently by staff. It is therefore essential to stay up to date with the different types of leave available, as well as their specific conditions, in order to properly manage related rights, responsibilities, and limitations.
Absenteeism in the hotel sector
Currently, absenteeism is a major concern—not only in this sector but across the broader employment landscape in Spain. As a result, many provincial CBAs address absenteeism by linking certain employment conditions to absence rates. For example, some agreements determine whether a top-up on statutory sick pay (to be paid by the employer) is applicable, depending on the company’s absenteeism index.
Health and safety in the hotel sector
A strong, proactive approach to occupational health and safety (OHS) is crucial in hospitality businesses—not only to reduce absenteeism and improve workplace conditions, but also to prevent fines or legal liability.
It is essential to protect both the physical and mental well-being of the workforce, as well as that of third-party personnel providing services within hotel premises.
Key OHS concerns in the sector include:
Obligations to inform and train staff
Provision and monitoring of personal protective equipment (PPE)
Assessment and prevention of physical and psychosocial risks, particularly in roles such as kitchen staff or room attendants
Coordination of business activities, especially when outsourced staff operate on the premises
Use of disciplinary procedures
It is common for breaches of conduct to occur within hotels, so it is important to manage the disciplinary process properly. This is governed by the National Labour Agreement for the Hospitality Sector, and companies are encouraged to also implement an internal disciplinary policy covering procedures and misconduct.
Employers must comply with all formal requirements for disciplinary measures or dismissal, clearly setting out the facts with the highest degree of detail, and ensuring the company is prepared to substantiate the allegations in court if the disciplinary action is challenged.
Given the current complexity and contentious nature of employment relations in the hotel industry, it is essential to be supported by a legal team that provides ongoing labour law advice, assisting with day-to-day HR management, legal defence, and dealing with Labour Inspectorate procedures.
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