Spain: the judicial system is systematically reestablishing the principle of extending collective agreements beyond their expiration date

The Supreme Court magistrates have once again called into question one of the country’s key 2012 labor reforms. They confirmed the primacy of the labor law content of agreements previously agreed between the social partners and confirmed that those agreements remain valid until the next agreements are negotiated. The 2012 law attempts to put an end to the automatic extension system (known as the ‘ultra-activity’) for collective agreements and explicitly cancels all agreements that are not renegotiated within a year after the official expiry date.
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In its judgment of March 2015 made known on May 04 the Supreme Court ruled on a dispute between the Air Nostrum airline and the pilots union SEPLA. The dispute was over the validity of a collective agreement undertaken in 2006 and under renegotiation since 2010. Management at Air Nostrum had considered that given the reform to the Labor law of July 07, 2012 (c.f. article No. 120462) that were there were no agreement by July 08, 2013 then the one year legal extension as provided for by the new reform would have been deemed as having elapsed and the 2006 collective agreement would no longer apply.

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