# Spanish labor law and dismissal regulations > Live situation record from CLSTR: https://clstr.news/situations/spanish-labor-law-and-dismissal-regulations > Updated: 2026-09-27T08:34:06.000Z. Sources: 5. Developments: 2. The Spanish labor landscape is seeing increased scrutiny regarding employee dismissals. The Ministry of Labour is considering a Royal Decree that would impose a 1,000 euro fine on companies dismissing staff during probationary periods without specific, pre-communicated criteria. This proposal follows reports that dismissals during these periods have increased by more than 400%, leading to concerns that the window is being used as a loophole for “free dismissal” without compensation. In a separate legal development, the High Court of Justice of Catalonia ruled against the energy company Repsol in an unfair dismissal case. The court upheld a ruling that the termination of a long-term employee over alleged expense report irregularities was improper. Repsol has been ordered to either reinstate the worker with back pay or provide a severance payment of approximately 240,967 euros. ## Timeline ### 2026-09-27: Repsol ordered to reinstate worker or pay 240,000 euros after unfair dismissal ruling A Spanish court ruled the dismissal of a long-term Repsol employee over 1,263 euros in disputed expenses was unfair, forcing the company to choose between reinstatement or a 240,967 euro payout. 3 sources. https://clstr.news/cluster/repsol-ordered-to-reinstate-worker-or-pay-240000-euros-after-unfair-dismissal-ruling ### 2026-09-23: Spain considers 1,000 euro fine for probationary period dismissals Spain is considering a 1,000 euro fine for companies dismissing workers during probationary periods to prevent the use of trial phases as a loophole for unpaid dismissals. 2 sources. https://clstr.news/cluster/spain-considers-1000-euro-fine-for-probationary-period-dismissals --- Cite as: Spanish labor law and dismissal regulations. CLSTR, https://clstr.news/situations/spanish-labor-law-and-dismissal-regulations