Digital time tracking moves forward despite Government tensions in Spain

The Royal Decree that will tighten time tracking requirements in Spain is in the final stretch of its processing, though not without controversy. Yolanda Díaz and Carlos Cuerpo are locked in a standoff over the requirements companies will have to meet.

What’s happening and what does it mean for your business? Let us explain.

Current status: what we know

According to Expansión and other media outlets on February 3, 2026:

• The regulation is finalizing ministerial opinions before going to the Council of State
• The Ministry of Economy (Carlos Cuerpo) wants to moderate the text to reduce impact on SMEs
• Labor (Yolanda Díaz) insists it will pass as written and expects Economy to “correct their mistake”
• Aggravated sanctions were dropped to avoid parliamentary procedure and allow approval via regulatory route

The conflict between Labor and Economy

Vice President Yolanda Díaz didn’t hide her frustration this Monday:

“The Ministry of Economy was against the reduction of working hours and the Government presidency made that change. I hope they correct their mistake.”

“In Economy they always have someone pushing them toward a vision against the good things for our country.”

Economy’s concerns, according to ABC, include:

• Possible collision with data protection regulations (AEPD has been consulted)
• The cost for businesses of implementing mandatory digital systems
• Connectivity problems in rural areas for remote Inspection access

However, Díaz is confident she’ll prevail: “The good thing is that we are hegemonic. Afterwards, the Socialist Party ends up congratulating itself on these successes.”

What the new time tracking will require

Although the final text may undergo minor adjustments, the main requirements are clear:

1. Mandatory digitalization

Paper and Excel are out. All companies, regardless of size, will have to use digital tools for working hours registration.

2. Hour and minute detail

The record must include:

• Exact hour and minute of start and end of each workday
• Exact hour and minute of start and end of each break that isn’t effective working time

3. Remote Inspection access

Labor Inspection will be able to access clocking data in real time and remotely. Systems must be interoperable.

4. Mandatory training

Companies must provide training to workers on how to correctly use the registration system.

5. Employee responsibility

It will be the worker’s obligation to enter information about their working times into the system provided by the company.

When will it come into force?

Approximate timeline:

1. Now: Ministerial opinions (where the current conflict is)
2. Next step: Council of State
3. After: Approval in Council of Ministers
4. Entry into force: Presumably with an adaptation period

There’s no exact date confirmed, but the Ministry of Labor wants to push it through as soon as possible.

What it means for your company

If you’re an SME

The biggest impact will be on small businesses that don’t yet have a digital clocking system. You’ll need to:

• Choose time tracking software that meets the requirements
• Train your employees on its use
• Ensure the system is accessible for remote inspections

The real cost

Here’s the good news: digitizing time tracking doesn’t have to be expensive. Solutions exist from less than €2 per employee per month that meet all the draft requirements.

The important thing is to act before it becomes mandatory, not after.

Conclusion

Digital time tracking is coming. Tensions between Labor and Economy may delay or adjust some details, but the direction is clear: mandatory digital clocking with remote Inspection access.

Companies that get ahead will have an advantage: they’ll avoid last-minute rushes and can calmly choose the solution that best fits their needs.

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Is your company ready? At Cleverfy we offer digital time tracking from €1.50/employee/month, meeting all the requirements of the Royal Decree draft. Try it free →

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Sources: Expansión, Libertad Digital, ABC