In Spain, the 'Convenio Colectivo' is a collective bargaining agreement subscribed to by the representatives of the workers (e.g. trade unions) and those of the employers, in order to establish the minimum working conditions along with other aspects of the working relationship that will apply to all those covered by the agreement. There are essentially 2 types of collective agreement:
1) Company-specific Agreements
2) Sector-specific agreements (e.g. agriculture, commerce etc).
The collective bargaining agreements can also have geographical limitations e.g. agreement limited to Madrid, Barcelona, Valencia, Andalusia etc.
In the case of company-specific agreements, the parties to the agreement can be:
• Committee of the company or employee delegates
• Trade Union representatives
• The entrepreneur or his or her legal representative.
• In the case of sector agreements the parties can be.
• The trade unions which are most representative at a national level or at the level of the Autonomous Community.
• Trade Unions with a minimum of 10 per cent of the members of the committees of the company or delegates appointed to represent personnel, within the territorial area or within the implementation field of the agreement.
• Employers' associations, provided that they include at least 10 per cent of the entrepreneurs within the implementation field of the agreement, and which, what is more, can count on at least 10 per cent of the workers in the area concerned.
In all cases, it will be necessary for both parties concerned to acknowledge each other as being official and valid representatives in order for any agreement reached to be valid.
In terms of content, typically these agreements cover the following matters and are valid assuming none of their articles contravene general employment legislation in force (specifically the Workers' Statute):
• Minimum economic conditions (wages, indirect remuneration and so on)
• Work (standard working day or week; maximum annual working time in hours; rest periods; professional categories; duration of contracts, performance requirements etc)
• Trade union issues (work committees, personnel delegates, rules affecting negotiations etc.)
• Conditions of employment
• Welfare (voluntary improvements of the Social Security benefits)
• Measures for professional promotion.
• Dismissal requirements
The collective agreement should also make reference to the following:
• The parties to the agreement.
• Personal, functional, territorial applicability.
• Procedure and conditions for lodging a complaint against the agreement, as well as the prescribed time limit for formally declaring the same.
These agreements are normally although not necessarily updated on an annual basis to make sure that the salaries keep in line with changes in the cost of living.
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