CEOE, the main employers' organization in Spain, is studying the possibility of filing a lawsuit against the Government regarding the new labor contract reform approved this Tuesday in the Council of Ministers.
The regulation was approved through a royal decree, which for sources within the business entity constitutes a legal problem. CEOE argues that this measure could be encroaching on competences of the Workers' Statute, a higher-ranking norm.
According to the same sources, the Executive would also be breaching the principle of normative hierarchy by modifying content of a higher-ranking norm through a lower-ranking mechanism.
The employers' organization has not yet made a definitive decision on whether to proceed with the complaint in the courts, and is currently evaluating the legal arguments before filing any action.
