After months of negotiations, the Spanish government has signed an agreement with the major labor unions to reduce the weekly working hours from 40 to 37.5, despite lacking employer consent. Minister of Labor Yolanda Díaz highlighted the need to share productivity benefits with workers. The reform aims to improve the quality of life for nearly 12 million private sector employees and will require parliamentary approval to take effect. Concerns from employer organizations about competitiveness may pose challenges to the legislation’s passage.

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