Exempt compensation derived from the termination of special labor relationships
Senior management staff
Regulations: Art. 2.1.a) Workers' Statute
The severance pay for senior management personnel is regulated by article 11 of Royal Decree 1382/1985, of August , which establishes, in its section one, in the case of termination of the contract due to withdrawal by the employer, that the senior manager will have the right to the compensation agreed in the contract and, in the absence of an agreement, the compensation will be equivalent to seven days of salary in cash per year of service with a limit of six monthly payments.
The amount of compensation set in these cases ( 7 days with a maximum of 6 monthly payments ) is exempt in accordance with the interpretative criteria established in judgment 1528/2019, of November 5, of the Second Section of the Contentious-Administrative Chamber of the Supreme Court.
It should be noted that the ruling of Judgment 1528/2019 is based on the doctrine established in the ruling of the Plenary Session of the Social Chamber of the Supreme Court of April 22, 2014 (cassation for the unification of doctrine 1197/2013).
Likewise, in accordance with the above interpretative criteria, in the event of dismissal declared unfair, the portion of compensation that does not exceed the minimum mandatory amount provided for in section 2 of the aforementioned article 11 of Royal Decree 1382/1985, of August 1 ( 20 days of salary in cash per year of service and up to a maximum of 12 monthly payments) is considered exempt.
Professional sportsmen
Regulations: Art. 2.1.d) Workers' Statute
In the case of professional athletes with a special employment relationship (Royal Decree 1006/1985, of June 26), as article 15 of the aforementioned Royal Decree 1006/1985 establishes a minimum guaranteed compensation limit of two months per year worked , it is considered that they enjoy the exemption of article 7.e) of the Personal Income Tax Law up to the amount of compensation that corresponds to said limit.
Household employees
Regulations: Articles 2.1.b) Workers' Statute and 11 of Royal Decree 1620/2011, of November 14, regulating the special employment relationship of family home service ( BOE of 17)
In the case of employees of the family home service (special employment relationship regulated by Royal Decree 1620/2011, of November 14) the cause of the termination or dismissal must be distinguished:
If the contract is terminated due to the employer's withdrawal, the exempt compensation is:
- For contracts signed after January 1, 2012, 12 calendar days per year of service, with a limit of 6 monthly payments
- For contracts prior to that date, 7 days per year with a limit of 6 monthly payments .
If it is a case of unfair dismissal, the exempt compensation will be 20 calendar days per year of service, with a of 12 monthly payments.