From 5 October 2026, every company must provide each employee with a written statement of the essential elements of their contract and principal working conditions before the employment relationship begins, for any contract lasting more than four weeks. This is required by Royal Decree 723/2026, of 9 September, published in the Spanish Official Gazette (BOE) on 15 September 2026, which fully replaces Royal Decree 1659/1998.
If you manage a company, this directly affects how you prepare contracts and handle day-to-day employment administration. Here is a clear breakdown of what you need to know.
What is Royal Decree 723/2026 and where does it come from?
Royal Decree 723/2026 transposes EU Directive 2019/1152 on transparent and predictable working conditions. The underlying obligation is not entirely new: Article 8.5 of the Workers' Statute already required employers to inform employees in writing of the essential elements of their contract. What this new regulation does is significantly expand what must be disclosed, how, and when, and it updates the official template.
The most visible change is the timeline. Under Royal Decree 1659/1998, the company had two months from the start of the employment relationship to deliver the information. It must now be provided before that relationship begins.
When does the obligation take effect?
Royal Decree 723/2026 enters into force on 5 October 2026. From that date, the information must be delivered before the start of each new employment relationship lasting more than four weeks.
Which contracts are covered?
Only employment relationships lasting more than four weeks. Very short-term contracts, typically used for one-off campaigns, fall outside the scope. The type of contract makes no difference: permanent, fixed-term, or part-time, if it exceeds four weeks, it is covered.
Two sectors are exempt from the four-week rule. Fishing and seafaring have their own dedicated provisions within the regulation and are governed by those regardless of the length of the contract.
What information must be provided: the content of Article 3
Article 3.2 sets out, among other matters:
- The identity of the parties, the start date and, for fixed-term contracts, the expected end date or duration.
- The registered address, the place of work, and whether remote working or mobile working applies.
- The content of the role, professional category or group, and description of duties.
- Base salary and each salary supplement separately, frequency and method of payment, plus the method for calculating variable pay elements.
- working hours, scheduling arrangements, shifts, night work, overtime and annual leave.
- Duration and conditions of the probationary period.
- Entitlement to training provided by the company.
- For temporary employment agencies (ETTs), the identity of the client company and the grounds for each placement contract.
- The applicable collective bargaining agreement, including its reference code and publication date, and the arrangements for collaboration in the management of Social Security.
- The procedures and notice period timescales for termination of the contract.
Two practical points reduce the administrative burden. If all of the above information is already included in the signed contract held by the employee, the obligation is deemed fulfilled; if only part of it is covered, the missing information must be provided in writing. Certain sections, such as working hours, the probationary period, training entitlements, or termination procedures, may be satisfied by a reference to the applicable collective bargaining agreement or relevant legislation, provided the reference is precise and clearly identifies the provisions that apply.
The major development: AI and algorithmic systems
Article 3.2.k) requires employers to disclose the existence of algorithmic or automated decision-making systems, and the new Public Employment Service (SEPE) template includes a dedicated section for this purpose. If your company uses recruitment software, smart time-tracking tools, or AI applications that influence employment-related decisions, you are now required to state this in writing.
The obligation goes beyond simply naming the tool. Where such systems have a bearing on the duration and scheduling of working hours, task allocation, pay determination, career progression, place of work, or contract termination, employers must also explain the parameters, criteria, and operating rules applied. This is the point that warrants the most careful review, and where specialist employment law advice can save considerable time. We cover the general legal framework for these tools in our article on legal obligations for companies using artificial intelligence.
The required disclosures relating to equality plans, work-life balance policies, anti-harassment protocols, and measures for LGBTI employees have also been extended.
What about contracts already signed?
This is the question we hear most often. For employment relationships already in place on 5 October, there is no obligation to proactively update them: if an employee requests the information, the company has a maximum of 30 working days from receipt of the request to provide it, provided it is not already in the employee's possession.
Any changes occurring from 5 October onwards must be communicated within the timeframe set out in Article 7.3: as soon as possible and, at the latest, on the day the change takes effect. Where that change constitutes a substantial modification of working conditions, this information obligation is additional to the procedure under Article 41 of the Workers' Statute, it does not replace it.
How this affects your payroll and HR management
Much of the required information, salary, supplements, Social Security contributions and collective agreement, is precisely what appears month after month on the payroll. Having the information document properly completed and consistent with the payslip reduces the risk of sanctions and disputes. And when onboarding any new employee, the new document must accompany the formalisation of the employment contract from day one.
What you need to do now
- Review your contract templates for engagements exceeding four weeks against the checklist in Article 3.
- Download the official information document from the Public Employment Service (SEPE) or prepare an equivalent document covering all required sections.
- Integrate the handover of this document into your recruitment process, always before the employment relationship begins.
- Check whether you use algorithmic or AI-based systems that must be declared.
- Provide the information in hard copy or in an accessible electronic format that can be stored and printed, and retain proof of transmission or receipt.
We can help you adapt
At Conesa Legal, we review your contract templates, prepare the information document tailored to your collective agreement, and coordinate it with your payroll management so you can comply seamlessly from day one. Tell us about your situation.
Frequently asked questions
When does Royal Decree 723/2026 become mandatory?
From 5 October 2026, the date it enters into force, twenty days after its publication in the Spanish Official Gazette (BOE) on 15 September.
Which contracts does it apply to?
To employment relationships lasting more than four weeks, whether permanent or fixed-term. Fishing and seafaring have their own rules, regardless of contract duration.
Do I need to redo the contracts for my existing workforce?
Not automatically. You are only required to provide the information to employees who request it, within 30 working days of receiving the request, provided they do not already have it.
What happens if I use AI or algorithms in employment-related decisions?
You must inform employees in writing of the existence of any such automated decision-making systems and, where they affect working conditions, of their parameters, criteria, and operating rules.
Is it sufficient for this information to be included in the contract?
Yes. If the written contract held by the employee already covers all the elements required under Article 3, the obligation is considered fulfilled. If it only covers them in part, the remaining information must be provided in writing.
Which legislation is repealed?
Royal Decree 723/2026 repeals Royal Decree 1659/1998 of 24 July in its entirety.
