Spain: The Employment Relationship of Professional Athletes
By María de Sousa, Lawyer, Statim, Barcelona, Spain
In Spain, the relationship between professional athletes and their clubs is considered an employment relationship and is subject, therefore, to the provisions in the general Spanish Worker’s Statute, regulated by the Royal Legislative Decree 2/2015, of October 23, as any other labour relationship.
However, the Spanish Workers' Statute will apply in a supplementary manner, as the specific characteristics of professional sports make this employment relationship a special one, specifically regulated by Royal Decree 1006/1985, of June 26, which governs the special employment relationship of professional athletes (the Royal Decree 1006/1985). In addition, specific collective bargaining agreements, such as the Collective Agreement for Professional Football Players, also regulate the employment relationship.
The practice of professional sports involves certain peculiarities, which, undoubtedly, distinguishes it from the standard labour relationship. In this regard, Royal Decree 1006/1985 regulates certain working conditions for professional athletes that are significantly different from those applicable to ordinary employment relationships governed solely by the Spanish Workers' Statute and the applicable collective bargaining agreements.
These peculiarities are as follows:
- Duration of the Employment Contract
One of the primary differences impacts the employment contract duration. Whilst ordinary employment relationships are considered indefinite, unless specific exceptions apply, the contract regulating the special employment relationship of professional athletes must always be for a fixed term, either for a certain period or for a quantifiable number of sporting events. There is no provision for indefinite employment, as extensions, if any, must also be for a fixed term.
- Working Hours
The working hours of professional athletes also have certain peculiarities. Although Article 9 of Royal Decree 1006/1985 establishes that the working hours cannot exceed the maximum in the Spanish Workers' Statute (40 hours per week on an annual basis), it also specifies that only services rendered in front of the public, and training or physical and technical preparation under the orders of the sports entity, are considered "work time." Pre-competition training stays or travel related to competitions are explicitly excluded from being counted as working hours.
- Temporary transfer of Athletes
Another noticeable characteristic of the employment relationship of professional athletes is the possibility of temporarily transferring them to another club, as provided in Article 11 of Royal Decree 1006/1985. Unlike the Spanish Workers' Statute, which prohibits the transfer or placement of workers, except in the case of temporary employment agencies (ETTs), Royal Decree 1006/1985 allows such transfers if the athlete provides express consent. Furthermore, the athlete is entitled to receive at least 15% of the value of the transfer, if there is any financial compensation or other established amount in the case of a reciprocal transfer. The receiving entity takes on the labour rights and obligations of the transferring entity, and both are jointly liable for labour and Social Security matters related to the transferred athlete.
- Termination of the Employment Contract
The termination of the contract for professional athletes has distinctive features compared to those of an ordinary employee, which are governed solely by the Spanish Workers' Statute. Whilst the Spanish Worker’s Statute provides specific grounds for termination and legally fixed compensations, Royal Decree 1006/1985 broadens these possibilities of termination and allows the compensation to be agreed upon in the contract in cases of termination. It also allows the athlete to rescind unilaterally the labour agreement in exchange for a compensation (the so-called “cláusulas de rescission”).
In other words, whilst the termination by the employee's initiative only requires prior notice to the employer, if the athlete decides to terminate the contract, the employer could be entitled to receive a compensation for any damages or losses caused by the termination.
- Dispute Resolution
Several disputes can arise from the employment relationship, including breaches of contractual conditions; the interpretation of ambiguous clauses; compensation for mutual termination of the contract; or the termination itself.
In accordance with Article 19 of the Royal Decree 1006/1985, the competent bodies to resolve these disputes are the Spanish Labour Courts.
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