Royal Decree 723/2026: new information obligations on working conditions

From October 5, 2026, companies are required to inform employees in writing about their working conditions in greater detail than before. This is established by Royal Decree 723/2026, of September 9, published in the Official State Gazette (BOE) on September 15, which incorporates Directive (EU) 2019/1152 on transparent and predictable working conditions in the European Union into Spanish law.

The regulation implements Article 8.5 of the Workers' Statute. Its objective is to strengthen transparency and legal certainty in labor relations: employees must know, clearly and completely, from the first day, the conditions under which they will be working.

Who does it apply to?

The Royal Decree applies to companies and workers covered by the Workers' Statute. The general obligation to provide information applies to employment relationships lasting more than four weeks.

What information must be submitted in writing?

If the written contract already includes all the required information, no additional documents are necessary. If it only includes some of the information, the company must provide the rest. The minimum content includes, among other things:

• The identity of the parties, the start date and, where applicable, the end date, and the workplace.
• The reason for hiring, in temporary contracts.
• The professional group or category and the functions.
• The salary, with the base salary and each supplement detailed separately, and its frequency.
• The workday, its distribution and the overtime system.
• Holidays and leave.
• The duration and conditions of the trial period.
• The right to training provided by the company.
• The applicable equality plan, if any.
• The contract termination procedure and the notice periods.
• The applicable collective agreement.
• The Social Security entities that receive the contributions.

Some of these points may be indicated by a reference to the relevant law or collective agreement, provided that the reference is accurate.

Algorithms and artificial intelligence

One of the most significant new requirements is that companies must disclose whether they use algorithmic or artificial intelligence systems to make decisions regarding working hours, task assignments, salaries, promotions, job positions, or contract terminations. In such cases, they must also explain the guidelines and criteria on which these systems are based.

Predictability of the day

When working hours are distributed irregularly, the company must specify how schedules are set, the reference days and hours during which work may be required, and the minimum notice periods that will be given before starting or canceling a task. In fixed-term intermittent contracts, periods of activity and inactivity must also be indicated, or, if this is not possible, an estimate.

I work abroad

If the employee is going to work outside of Spain for more than four consecutive weeks, the company must provide them with additional information before departure: the destination country, the duration, the currency in which the salary will be paid, the compensation linked to the assignment and the conditions of return.

Delivery times and method

The information must be provided before the start of the employment relationship. Any subsequent changes to these conditions must be communicated in writing as soon as possible and, at the latest, on the same day the change takes effect. This is not required when the change results directly from an amendment to the law or the collective bargaining agreement to which the information referred.

The information can be provided on paper or electronically, as long as the employee can access, save, and print it. The company must keep proof of sending or receiving the information. The regulation also requires ensuring that the information is accessible and understandable for people with disabilities. The State Public Employment Service (SEPE) has published sample information documents to facilitate its implementation.

What happens to contracts signed before October 5th?

Companies are not obligated to automatically modify existing contracts. However, if an employee hired before the new regulations came into effect requests a modification, the company must provide the missing information within a maximum of thirty business days. Any changes to working conditions that occur after October 5th must be communicated according to the new regulations.

Failure to comply with these information obligations may be sanctioned in accordance with the Law on Infringements and Sanctions in the Social Order (LISOS).

Recommendation from Puigverd Assessors

New hires will now be processed using the new model provided by the SEPE (Spanish Public Employment Service), adapted to this regulatory change. Even so, companies should review their pre-hiring protocols and take into account all the additional information that, from now on, must be included in all new employment contracts. Special attention should be paid to the breakdown of salaries, the distribution of working hours, and, where applicable, the use of algorithmic tools in personnel management. It is also advisable to have a procedure in place to respond promptly to information requests from current employees.

The Puigverd Assessors office is available to its clients to review their employment documentation and adapt it to the new legal framework.