Spain Allows Geolocation Time‑Tracking While Unpaid Overtime Costs Billions

Under Spanish law, employers may use geolocation‑based clock‑in systems without individual consent, provided they inform workers in writing, justify the necessity of location data, and respect proportionality. Article 90 of the LOPDGDD permits this as a tool for controlling work hours, but companies must disclose the system’s purpose and limits.

The government has postponed the debate on mandatory hourly registration, while unpaid overtime remains a major issue. Data from the Instituto Nacional de Estadística show that 3 million overtime hours were worked without pay in the second quarter, translating to an estimated loss of up to €3.4 billion annually for the state, according to the union Comisiones Obreras. Economists warn that this fraud drains public finances and reflects lower productivity compared with other EU countries.