Euskadi Labour Inspectorate Detects Nearly 1,500 Potential Fraudulent Hirings This Year
The inspectorate has sent 760 communications to Basque companies to regularize potential irregularities in temporary and permanent-discontinuous contracts.
By Iker Aguirre Etxebarria
••4 min read
IA
Close-up of an electric scooter wheel parked on a stone-paved sidewalk in a Basque town, warm evening light.
Euskadi's Labour Inspectorate has identified 1,438 irregular contracts this year, prompting 760 companies to regularize potential fraud in temporary and permanent-discontinuous hiring.
The Labour Inspectorate of Euskadi, under the Basque Government's Department of Economy, Labour and Employment, has detected potential irregularities in 1,438 employment contracts so far in 2026. As a result of this control and monitoring work, 760 communications have been sent to companies in Euskadi to warn about possible hiring fraud situations and encourage voluntary regularization.
These actions are part of the work carried out through the Anti-Fraud Tool, a collaborative system between the State Labour Inspectorate Body and the Labour Inspectorate of Euskadi, which allows for the early identification of potential breaches of labour regulations.
Through this mechanism, companies receive an informative communication when indications of irregularity are detected in their hiring methods. Upon receiving the notification, they have one month to correct the situation. If regularization does not occur within this period, the corresponding inspection action is initiated.
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"The preventive action of the Labour Inspectorate is allowing us to detect and correct situations that could lead to labour fraud even before a sanctioning intervention is necessary. Although most companies comply, a small percentage does not, and our goal is not only to pursue non-compliance but also to facilitate regularization and ensure that hiring methods align with legality and the reality of the activity carried out."
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"The data show that we continue to find unjustified fixed-term practices and improper uses of the permanent-discontinuous contract. Combating these situations is essential to protect workers' rights and move towards more stable and higher-quality labour relations."
Repeated Hiring One of the main areas of action has been repeated temporary hiring. The Inspectorate has identified cases of systematic and continuous use of various temporary hiring methods—such as contracts for specific works or services, temporary contracts, interim contracts, traineeships, training, or relief contracts—with the same workers, reaching high periods exceeding 18 months in the last four years and a labour link of over 65% during that period.
In this area, communications have been sent to 435 companies, affecting 895 workers. These companies represent approximately 0.5% of the total companies with personnel registered with Social Security in Euskadi. By territory, 50 are in Álava, 235 in Bizkaia, and 150 in Gipuzkoa.
Likewise, the Inspectorate has sent communications to 132 companies for potential breaches related to temporary contracts that exceed legal or conventional duration limits. Among the detected irregularities are contracts for specific works or services valid for more than 36 or 48 months, temporary contracts due to production circumstances lasting over 12 months, as well as the chaining of two or more temporary contracts in the last 24 months, exceeding 18 months of registration, both through direct hiring and temporary work agencies.
By territory, 24 of these companies are located in Álava, 75 in Bizkaia, and 33 in Gipuzkoa. This type of non-compliance affects 0.3% of the total Basque companies with registered workers.
Regarding permanent-discontinuous contracts, the Labour Inspectorate of Euskadi has sent letters to 193 companies after detecting potential irregularities in 343 contracts. Specifically, situations have been identified where workers hired under this modality remain registered continuously or almost uninterruptedly, carrying out an activity that, in practice, responds to the company's structural and permanent needs.
The affected individuals have remained registered for at least ten and a half months during the last twelve months, representing a labour link of 87.5% of the time, either through direct hiring or via temporary work agencies. This circumstance distorts the nature of the permanent-discontinuous contract, which is designed for intermittent and non-permanent activities.
By territory, 21 companies correspond to Álava, 102 to Bizkaia, and 70 to Gipuzkoa, representing 0.9% of the total Basque companies with registered personnel.
The Department of Economy, Labour and Employment reaffirms its commitment, stating that the work of the Labour Inspectorate is essential to guarantee compliance with labour regulations, promote fair labour relations, and advance towards a higher-quality labour market in Euskadi.
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"Faced with this data, the Vice-Lehendakari and Minister of Economy, Labour and Employment, Mikel Torres, has defended his commitment and that of the Basque Government to defending labour rights, employment stability, and the fight against precariousness. 'Euskadi needs a solid, competitive labour market based on quality employment. There can be no sustainable economic growth built on precariousness or the fraudulent use of hiring'."
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"From the Department of Economy, Labour and Employment, we will continue to strengthen all instruments of surveillance, inspection, and support to ensure that job creation is accompanied by stability, security, and respect for labour rights. Defending dignified work also means strengthening our economic and social model."
