To switch employer of record providers in Spain, first establish who employs each worker and which legal mechanism permits the change. Then agree rights treatment, work permission, records, funding and payroll dates before ending the existing employment.
Spain adds an earlier question: can the incoming arrangement lawfully supply this worker to your company? Article 43 restricts temporary worker supply to duly authorized temporary work agencies and identifies circumstances constituting unlawful labor supply. A different provider name does not resolve an unlawful operating model.
What changes when you switch EOR in Spain?
Call the outgoing provider EOR A and the incoming provider EOR B. Compare the legal names and tax identifiers on the employment contract, payslips and incoming documents. Establish who actually directs the work. An entity lookup identifies a company; it does not prove lawful worker supply or employment succession.
| Situation | Legal mechanism to verify | Evidence required | Implication |
|---|---|---|---|
| Platform or intermediary changes; legal employer stays | Continuing employment with administrative changes | Matching employer identity, service amendments and payroll authority | Avoid unnecessary termination; reconcile records and access |
| An economic entity transfers and retains its identity | Business succession under Article 44 | Facts about the organized activity, workforce, assets and continuing identity | Employment obligations transfer by law if the test is met |
| Applicable collective agreement requires subrogation | Exact convenio clause and its interaction with Article 44 | Agreement scope, qualifying facts and required notices | Follow that mechanism before considering fresh employment |
| Employers differ and no succession duty applies | Lawful exit plus fresh employment, or a separately validated consensual arrangement | Worker agreement where required, employment documents and lawful incoming route | Recognition and settlement require explicit treatment |
Article 44 requires an economic entity retaining its identity. A commercial account migration is insufficient evidence. Check workforce-based succession as well as assets; an asset sale is not the only possible trigger.
For temporary agency supply, verify authorization, the permitted assignment reason and the written assignment agreement under Law 14/1994. Its duration rules do not make an ordinary permanent role eligible merely because an agency employs the worker.
The CJEU's 2024 judgment in C-441/23 applies EU temporary-agency protections even where the supplier lacks domestic recognition. It does not establish blanket permission for every Spanish EOR arrangement. The EU directive also preserves national licensing requirements. If B cannot substantiate its country and worker-specific route, defer the switch and assess an appropriate employment arrangement.
Review the existing service and employee position
Keep commercial and employee obligations in separate checklists.
Commercial agreement checklist
- Identify A's contracting entity, employing entity, intermediary and authorized signatories.
- Check service notice, minimum term, exit charges, disputed invoices and export assistance.
- Record deposits, refund conditions, reconciliation dates and liabilities surviving exit.
- Confirm payroll cutoffs, funding dates and whether notice can be conditional or extended.
Employee arrangements checklist
- Verify legal employer, start date, contract type, role, work location and applicable convenio.
- Reconcile salary, extra payments, leave, working time, expenses, bonuses, equity and benefits.
- Identify pregnancy, protected leave, sickness, accommodations, disputes and pending claims without circulating unnecessary medical details.
- Check nationality or actual work authorization, employer restrictions and expiry dates.
- Record wage periods, normal payday, outstanding adjustments and employee representatives.
A service notice ends a commercial relationship on its contractual terms. It does not serve as employee notice or provide a dismissal ground. Under Article 49, mutual agreement and employee resignation are different termination routes; resignation notice follows the applicable convenio or local custom. Do not prescribe a universal 15-day resignation.
Establish transfer and continuity treatment
For qualifying Article 44 succession, the new employer assumes employment and Social Security obligations, including relevant supplementary social protection. Both employers must provide prescribed information to affected representatives, or directly to affected workers where representatives are absent. Information must be given sufficiently in advance; proposed labor measures trigger consultation before implementation. A new contract is not a substitute for these duties.
Outside succession, distinguish worker agreement from statutory rights. A promise to recognize an original start date needs defined purposes, such as notice or future severance calculations. It does not retrospectively create statutory succession or release A.
| Item | Statutory treatment to verify | Recognition or settlement needed | Who confirms |
|---|---|---|---|
| Prior service and liabilities | Article 44 continuity where applicable; otherwise the actual route | Specify service-credit purposes and responsibility for historical claims | A and B with Spanish employment adviser |
| Probation | Article 14 limits; a repeat trial for the same functions previously performed in the company is void | Identify any proposed trial; in the worked case B agrees none | B and employee |
| Leave and protected absence | Article 38 minimum annual leave is 30 calendar days; convenio may improve it | Carry continuing rights under succession, or reconcile termination balances; preserve protected-status handling | A, B and payroll leads |
| Notice, settlement and severance | Depend on lawful exit ground, service and convenio | Separate earned final pay from any applicable indemnity; document settlement | A and employee, with adviser |
| Salary, extra pay, bonus and equity | Applicable convenio and contracts; temporary agency equal-treatment rules where relevant | Identify accrued extra pay, bonus triggers and equity-plan leaver provisions | Payroll, client and plan owner |
| Private insurance and pensions | Article 44 supplementary obligations where applicable; otherwise governing promises and plan rules | Confirm end/start dates, exclusions, waiting periods and outstanding claims | A, B and insurer or plan administrator |
| Work permission | Actual authorization category and employer-change rules | Obtain required communications or decisions before work for B | B, employee and immigration adviser |
Articles 14 and 38 govern probation and annual leave. Article 11 of the agency law requires essential conditions tied to the user undertaking's comparable role. Identify the convenio's geographic, functional and personal scope rather than accept B's default classification.
Work permission needs its own decision. For the ordinary initial residence-and-employed-work authorization, Article 79 allows a same-occupation employer change after three months of validity during the first year. Earlier changes have specified exceptions. Renewed ordinary authorizations have broader scope under Article 81. Other categories require their own analysis; a residence card alone does not establish permission to work for B.
Set one coordinated cutover calendar
Worked case assumptions: A Spanish national works at a Madrid client workplace through authorized temporary work agency A. B is also authorized. The role genuinely replaces an identified absent employee with a reserved post. Before proceeding, Spanish review must confirm that the substitution remains valid, the applicable convenio imposes no succession duty, Article 44 is not triggered, and B's assignment meets the agency rules.
The conditional route is voluntary mutual termination under Article 49(1)(a), followed by fresh employment with B on Tuesday, December 1, 2026. This is a scoped temporary-assignment example, not a route for every permanent EOR role.
Assume the service agreement accepts provisional notice received Friday, October 30, with at least 30 calendar days before a November 30 service end and a written extension if readiness fails. The dates are 31 calendar days apart. Employee documents are reviewed separately. Assume monthly wage periods, a November 18 data cutoff and November 19 initial funding deadline.
| Milestone | Dependency | Outgoing EOR | Incoming EOR | Client or employee action | Completion evidence |
|---|---|---|---|---|---|
| October 30: provisional service notice | Contract permits conditional notice | Acknowledge terms and extension process | Identify employing entity and proposed route | Client appoints transition owner | Notice receipt and agreed contingency |
| By November 13: route and rights review | Assignment facts, convenio and worker status | Supply contract, balances and exit proposal | Verify authorization, substitution basis and proposed terms | Client supplies absence facts; employee receives explanation | Written mechanism and rights schedule |
| November 18: secure records and calculation test | Lawful disclosure and verified source records | Deliver payroll and leave extracts | Validate identifiers, balances and draft December calculation | Employee checks personal/bank details securely | Reconciled test and exception log |
| November 19: funding received | Approved payroll budget and bank instructions | Confirm final-pay funds | Receive agreed first-payroll funding | Client funds B independently of A's refund | Cleared funds and approved budget |
| November 20: incoming readiness gate | Lawful B route, agreed documents/consent, work entitlement, benefit start and cleared payroll funding | Keep employment active | Confirm documents ready, coverage and payroll owner | Client verifies funding receipt; employee agrees terms voluntarily | Dated readiness record; defer if any dependency fails |
| November 23: execute documents and notify | Readiness gate passed | Sign mutual termination effective November 30; provide settlement proposal | Sign December 1 contract and submit employment communication promptly | Employee signs voluntarily; receives copies | Signed documents and filing receipt |
| November 30: A's final wage period closes | Agreements remain effective and no new blocker | Pay November 1 to 30 wages and settlement; end private cover at month-end | File advance Social Security alta effective December 1 | Employee receives final payslip and handoff | Payment, coverage and registration receipts |
| December 1: B employment starts | Advance alta, permission and cover effective | Complete baja for November 30 within legal period | Start December 1 to 31 wage period and private cover | Client checks attendance and employee access | Effective registration and coverage evidence |
| December 30: first B payday | December 18 assumed change cutoff; validated final calculation | Resolve historical corrections | Pay December wages, including scheduled December 31 pay; own filings | Employee reviews payslip; client reconciles cash | One live B payment and closed exceptions |
For the General Scheme, TGSS deadlines require alta before work starts; baja is due within three calendar days. Thus A's November 30 cessation must be reported by Thursday, December 3. Do not wait for that deadline to register B.
The agency regulation requires written employment contracts and communication within ten days of conclusion. B submits on November 23 in this example, avoiding a filing calculation based incorrectly on December 1.
Madrid's 2026 holiday calendar includes November 2, December 7 and December 8; municipal holidays include November 9. December 25 is also a holiday. The operational dates above avoid them. Other workplaces need their own regional, municipal and banking-calendar check.
Reconcile transition costs and cash
Budget employee obligations and provider invoices separately. A refund receivable is unavailable payroll cash until received.
| Fee, liability or funding item | When due | Responsible party | Refund or settlement treatment |
|---|---|---|---|
| Exit or records-export fee | Actual service terms | Client pays A if contractually due | Check scope and disputes; no standard Spain fee |
| Final wages and accrued entitlements | Applicable wage and settlement timetable | A pays employee; client funds under service terms | Itemize wage, leave, extra pay and expenses |
| Notice or termination indemnity | Only where the actual exit route requires it | Legally liable employer; commercial funding separately agreed | A provider switch alone fixes neither entitlement nor amount |
| Overlapping service or benefit charges | Actual overlapping period | Client and respective counterparties | Reconcile invoices and coverage; overlap may be intentional |
| A's deposit or reserve | Contractual reconciliation | A accounts to client | Deduct supported liabilities and record refund deadline |
| B's initial payroll and benefit funding | Agreed deadline, November 19 here | Client funds B | Keep separate from historical earnings and A's deposit |
| Corrections and statutory contributions | Relevant filing timetable | Employer responsible for the period, subject to applicable succession | Maintain owners after commercial closure |
In the worked case, assume A's verified final leave balance is six calendar days, unpaid and unconsumed. Its payroll calculation establishes EUR 100 gross per day. These are scenario inputs, not a universal Spanish daily-pay formula.
A's November salary is EUR 3,000 gross, with extra payments already correctly prorated under the applicable convenio. A pays 6 × EUR 100 = EUR 600 for unused leave on termination. The illustrated gross subtotal is EUR 3,600, before deductions and excluding employer contributions, fees or any separately established entitlement. B's December gross wages are EUR 3,000, without importing the EUR 600 as new pay or crediting those six settled days again. B accrues new leave from December 1. Fund B for its EUR 3,000 gross wage component plus validated employer contributions, benefits and fees; A's EUR 600 settlement is not a funding credit.
Spain's Social Security law requires complementary contributions for paid unused leave even when a new employment relationship starts during that period. A handles the six-day post-exit leave period, December 1 to 6, and its appropriate supplementary filing. Payroll must check applicable contribution ceilings and overlapping bases. This contribution overlap does not mean the employee is taking six days off from B.
Under genuine Article 44 continuity, the leave analysis changes: carry the continuing entitlement rather than use this termination-settlement example.
Test the first payroll and close the old arrangement
Mark each check pass only when the evidence reconciles; otherwise mark fail and assign an owner before cutover. A parallel calculation produces a comparison; it does not authorize a second live wage payment.
- Periods and pay: A covers November 1 to 30; B covers December 1 to 31. Identify proration, extra payments, allowances and later adjustments.
- Historical values: Label A's year-to-date gross pay, withholding and contribution bases by employer and period. B validates their use; history is not December earnings or new funding.
- Withholding and filings: Obtain the employee's Modelo 145 communication to B. Recalculate rather than copy A's withholding percentage. Assign each payer's applicable 111 and 190 reporting and correction responsibilities; do not close A's obligations because B starts.
- Contributions and leave: Verify NIF/NIE, Social Security number, employer contribution account, effective alta/baja, the EUR 600 settlement and supplementary leave contributions.
- Benefits and protected status: Obtain insurer confirmation of cover through November 30 and from December 1, including exclusions and ongoing claims. Confirm any protected absence is handled under the selected mechanism.
- Duplicate prevention and cash: Release one authorized payment per wage obligation; keep test files outside payment channels. Reconcile bank acknowledgments, client funding, invoices and A's refund separately.
- Records and closure: Preserve payslips, settlement, filing receipts and the exception log with named correction owners. Disable obsolete access after lawful retention and handoff needs are satisfied.
B's payroll lead owns missing-record exceptions, with the client's transition owner escalating to A. Minimum validated records include employment terms and amendments, identifiers, permission evidence where relevant, wage and payment history, year-to-date values, leave/extra-pay balances and benefit dates.
Use authenticated records and employee-supplied documents only through a lawful, sufficient reconstruction validated by B's payroll and legal owners. Do not obtain unrestricted Social Security histories or medical files as a shortcut. The AEPD employment guide explains lawful bases, minimization, security and international-transfer requirements. Define recipients, access and retention before exchange. If essential records remain unreliable, extend or defer before employee exit; after exit, escalate immediately and arrange lawful payroll correction without improvising authority to work.
For the employee handoff, provide a plain-language route and rights comparison by November 13, the proposed settlement and B documents before signing, and a named local contact at both employers. Explain agreed service credit, no new probation in this case, the EUR 600 leave payment, new accrual, any benefit exclusions and the first payday. November 23 is an assumed signing appointment, not a statutory consent deadline. Explain the right to request a representative when signing the settlement receipt under Article 49(2); silence is not agreement.
Two employee situations that change the switch
Hypothetical case 1: Spanish national in the replacement assignment. The dated example can proceed on December 1 only if its specified legal, consent, data and funding conditions pass. B agrees to use A's original start date for contractual notice and any agreed severance calculation, with no probation. Neither promise establishes Article 44 succession. A settles the six-day balance once; B starts new accrual and retains the original absence facts. The replacement ends with its lawful substitution basis, not a fresh period created by changing agency.
Hypothetical case 2: worker with an employer-linked initial authorization. The proposed route requires fresh employment with B. Assume only two months of authorization validity have elapsed and no serious employer breach or qualifying supervening circumstance exists. A commercial preference to change provider does not satisfy Article 79's ordinary three-month threshold or its earlier-change exceptions. B and the employee must establish the proper communication or modification process, occupation/territorial limits and lawful start date. Residence while a request is pending is not, by itself, permission to work for B.
This worker cannot inherit the December 1 date merely because the first case can. The transition owner must defer irreversible exit and seek a lawful continuation or alternative; B must also prove that its proposed employment model supports the actual authorization category.
For occasional, unforeseeable production needs, Article 15(2) sets a six-month maximum that a sectoral convenio may extend to one year. For production-circumstance contracts, Article 15(5) counts relevant direct and temporary-agency contracts toward its 18-month-in-24-month rule. Switching intermediary does not erase that history. Apply the correct rule to the contract category; the worked substitution is not a production-circumstance contract.
Questions about switching EOR in Spain
Does every EOR switch trigger Article 44?
No. The economic-entity test and actual transfer facts decide. Also check any applicable convenio subrogation obligation. Matching job titles or copying an original start date cannot settle the mechanism.
Should employees resign to make the transfer easier?
Establish the route first. Succession does not require treating employment as a fresh start. Where fresh employment is appropriate, use a lawful, genuinely agreed exit or another justified route; resignation has its own notice and consequences.
Can accrued leave simply move into B's system?
Only after establishing its legal treatment. Continuing entitlement under succession differs from unused leave settled on termination. The example settles EUR 600 through A and prevents B from crediting the same six days again.
How long does switching providers take?
There is no single duration established by this article. The controlling dates come from the legal mechanism, information/consultation duties, employee agreement, permission, records, coverage and funded payroll readiness.
Can we fund B after A refunds our deposit?
Only if that still meets B's agreed funding deadline. In the example, November 19 funding cannot depend on an unreceived refund. Keep the two cash movements separate.
Borderless AI provides EOR services, including employment administration and payroll. If you are considering a Spain switch, ask us to assess the proposed employing entity, role, employee status and transition requirements before committing to an exit. Confirm support for the specific arrangement in writing.
