March 7, 2026
The new working time control could be approved before April
The Spanish Ministry of Labour expects to approve the royal decree on the new digital working time record within weeks. We break down what changes for SMEs and the self-employed, and when they need to be ready.
The mandatory digital working time record is now closer than ever to becoming law. Spain's Ministry of Labour has confirmed that the royal decree regulating the new system is already before the Council of State and could reach the Council of Ministers for approval in just «two or three weeks». For SMEs and the self-employed, the window to prepare is narrowing fast.
The announcement was made by the Secretary of State for Employment, Joaquín Pérez Rey. If the timeline holds, the new system — which will require companies to record working hours digitally and make them remotely accessible to the Labour Inspectorate — could enter the final approval stage before April 2026.
Approval is imminent: where things stand right now
The decree has been with the Council of State for at least a week — the body responsible for issuing the legal opinion before the regulation is officially validated. Since the measure has been declared urgent, the Government expects to receive that report in a very short timeframe.
Once the report is issued, the Executive estimates it will need a further two to three weeks to wrap up the administrative formalities and bring the decree to the Council of Ministers. All signs point to final approval before the end of March or, at the very latest, early April.
Current status of the process
The royal decree on the new digital working time record is currently before the Council of State. After its opinion, it will go through the Government’s collegiate bodies before its final approval by the Council of Ministers.
No changes to the Workers' Statute — and no need for Parliament's approval
One of the key features of this reform is how it is being pushed through: directly as a Royal Decree, bypassing Parliament and allowing the Ministry to act quickly. Labour Minister Yolanda Díaz confirmed the measure will not require a direct amendment to the Workers' Statute and will not need the approval of Congress.
This path was chosen after the proposed reduction of the working week to 37.5 hours was blocked in Parliament. Digital working time tracking has become the Government's alternative route to tightening oversight of working hours and tackling undeclared overtime.
Digital working time tracking has become the alternative route to strengthening oversight of working hours and curbing undeclared overtime. — Yolanda Díaz, Minister of Labour
What still needs to happen before it becomes official
The only remaining step before the Council of Ministers is the Council of State's report. While not binding, this opinion typically introduces technical refinements that strengthen the regulation's legal framework.
Under normal circumstances, this step can take months. However, the urgent processing significantly shortens that timeframe. Once the report is received, the text will go through the Government's collegiate bodies and land on the Council of Ministers' table for final approval.
The transitional period: the big unknown for small businesses
Beyond when the decree is approved, the question most SMEs and self-employed professionals are asking is: how long will they have to adapt? In similar past reforms, the Government has granted several months. But in this case, it remains unclear whether a generous transition period will be offered or whether implementation will be more immediate.
One telling detail: Minister Díaz originally intended to roll this out by the end of 2025. That suggests the Ministry may favour a shorter-than-usual transition window. The sooner businesses start preparing, the better.
What SMEs and the self-employed will need to comply with
This is not a minor update — it is a fundamental shift in how companies track working hours. The Ministry of Labour has described the current system as «easily manipulated» and «unreliable», and the reform is designed to fix that from the ground up.
Key new obligations
The new digital working time record system will introduce the following changes:
- Mandatory and verifiable digital record: systems must include worker authentication mechanisms and guarantee data integrity through timestamps or traceability tools.
- Remote access for the Labour Inspectorate: inspectors will be able to check working time data in real time, without visiting the premises.
- Greater control over overtime and actual hours worked: companies must detail time worked, distinguishing between ordinary hours, overtime and availability periods.
- Estimated adaptation cost of between €400 and €1,000 per year per company, depending on size and provider.
- Less flexibility in scheduling, with particular impact on sectors such as hospitality, retail and services.
For most SMEs, this means leaving behind spreadsheets and paper records and switching to technology that meets the new requirements. The minimum estimated cost for micro-businesses is around €30–70 per month, while a company with 20 employees could face between €1,000 and €1,500 per year.
Conclusion
The new mandatory digital working time control could be approved before April 2026. SMEs and the self-employed will need to adapt to a verifiable, remotely accessible system with stricter oversight of hours worked. Getting ahead of the deadline will make all the difference.
Horalia: the working time software built for the new regulation
If your company hasn't yet gone digital with working time tracking, now is the time. Horalia is the HR management platform designed to help SMEs and self-employed professionals comply with the new regulation without the hassle: digital, verifiable clock-ins with full traceability and remote accessibility built in.
Whether you're taking your first steps towards digitalisation or looking for a solution already aligned with the new legal requirements, Horalia covers everything from a single platform: digital working time control, shift management, document management with advanced electronic signature and much more.
