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Employees who belong to companies that, due to a collective bargain or agreement, replaces them at the time of retirement with other workers, whenever the required conditions and requirements are met:

Regarding the worker:

  • Have an actual age of 64.
    For triggering events as from 01/01/2008, date of entry into force of Law 40/2007, of 4 December, on Social Security measures, the age must be the actual age, without any allowances for arduous jobs or disability being taken into account (|art.  161 bis LGSS ).
  • Meet the other general requirements for normal or ordinary retirement: being affiliated or in a situation assimilated to affiliation in the corresponding scheme and having certified the minimum contribution period.
  • Belong to a company that, due to a bargain or agreement, is required to simultaneously replace the retiring worker with another worker who is registered as unemployed in the corresponding Employment Office.

Regarding the company, the contract to replace the retiring worker:

  • Must meet the requirements and conditions required by the specific regulations for the selected hiring practice, which may be any of those legally established, except part-time hiring and temporary hiring due to market conditions, work accumulation or excessive orders.
  • Must have a minimum duration of one year.
  • It is formalised in writing, indicating the name of the worker who is being replaced.
  • It is registered in the corresponding Employment Office where one copy is kept on file; another copy is given to the retiring worker to be presented to the management entity when applying for the retirement pension.

Company obligations:

  • If the worker is dismissed during the period in which the contract is in force, he or she must be replaced within 15 days by another unemployed worker, for the time remaining to reach the minimum contract duration, except in situations beyond the company's control.
  • In the event of failure to comply, the employer must pay the managing entity the amount of the retirement pension paid from the moment the employee was dismissed through the minimum period of one year or until the failure to comply is remedied.
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