Fired for Inability: The New Protection in the Labor Statute

In May 2025, the Workers’ Statute underwent a significant modification affecting human resource management in companies. The new provisions state that termination of an employment contract can no longer be based on an employee’s permanent disability. Despite this regulatory change, many companies continue to apply automatic dismissals for this reason, which can lead to severe legal and reputational consequences.

Valoira Abogados, a law firm with over 30 years of experience in Labor Law, warns that companies maintaining this practice risk facing lawsuits for wrongful termination. This not only entails the obligation to reinstate the affected worker, but also to pay back wages from the date of dismissal. Furthermore, improper management of disability could lead to violations of fundamental rights and administrative penalties for labor discrimination.

The new legislation requires a more individualized approach to managing disabilities, compelling companies to assess the possibilities for job adaptation and internal relocation of the employee to align with their level of disability. This regulation means that human resources departments must update their protocols and adequately train their personnel to avoid errors in implementation.

Consequently, the risks of failing to adapt to the new legislation are varied, ranging from economic repercussions to damage to the company’s reputation. Therefore, it is crucial for organizations to consult with labor law advisors and adjust their processes to ensure regulatory compliance.

Valoira Abogados, with offices in Barcelona, Madrid, and Palma de Mallorca, positions itself as a leading firm in this sector, providing companies and professionals with strategies to tackle the complex legal challenges of today’s labor environment. Its specialized approach and commitment to effective labor conflict resolution ensure that organizations comply with current regulations and maintain a strong market image.

Source: MiMub in Spanish

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