Dismissal letters and final settlements (finiquito) before you sign

Terms used

• Finiquito — The finiquito is the written settlement of the pay and other amounts your employer owes you when your job ends.
• Convenio — The convenio is the collective agreement for your sector or company, setting pay, holiday and other conditions.
• IRPF — The IRPF is Spain's personal income tax, withheld from your pay.
• Indemnización — The indemnización is severance compensation paid because of a dismissal or similar event, separate from the finiquito.
• Improcedente — An improcedente dismissal is one a court finds unfair, so the employer must readmit you or pay compensation.

Key rules

• Deadline: You have 20 working days from the day after a dismissal takes effect to challenge it, and writing "no conforme" when you sign does not extend that time.
• Signing: Signing a finiquito proves you got the money; it only waives other claims if the wording clearly says so.
• No conforme: Writing "recibí, no conforme" keeps your right to claim, but it is not a challenge to the dismissal.
• Severance: Severance is separate from the finiquito, even when both appear on one paper.
• Copies: Keep a signed, dated copy of everything you sign.

What you are being handed

You may get two papers: a dismissal letter (carta de despido) and a finiquito. They are different things. The letter ends your job. The finiquito lists the money your employer says it owes you. Signing either one does not mean you agree with it, unless you sign without any reservation.

What a valid dismissal letter contains

For a disciplinary dismissal, the letter must be in writing, state the facts that justify it and give the date it takes effect. Your collective agreement (convenio) may add more formalities. If you are a union representative, extra procedures apply.

For an objective dismissal (for example, economic reasons), the letter must state the cause. It must also give 15 days' notice, which the employer can replace with pay for the missed notice. The compensation of 20 days' salary per year of service, up to 12 monthly payments, must be made available at the same time.

Defects matter. Some formal defects in a disciplinary letter can be fixed if the employer sends a corrected letter within 20 days. Otherwise the dismissal is declared improcedente (unfair), and the employer chooses between taking you back or paying 33 days' salary per year of service, up to 24 months. Service before 12 February 2012 is counted at 45 days, with caps. A dismissal that violates fundamental rights is null (nulo): you are taken back and paid back wages.

What a finiquito contains

The finiquito normally lists:

• salary for the days you worked in your last month
• extra pay (pagas extra) earned up to your last day, unless it is paid in monthly instalments
• untaken holidays
• any bonuses, commissions, overtime or expenses owed

Social security and IRPF tax withholding are deducted.

Severance (indemnización) is a separate amount. It is often printed on the same paper, but it is not part of the finiquito itself. Compare the holiday and extra-pay calculations with your convenio.

What your signature means

Signing a finiquito normally proves you received the money. It does not automatically waive other claims. Courts only treat it as a full release if the wording clearly says you give up further claims and you signed freely. Rights that cannot legally be waived stay with you.

Read for any sentence saying you give up all future claims. If you see one, ask what it means before you sign. You can also ask for a union or workers' representative to be present.

What "no conforme" does

Writing "recibí, no conforme" next to your signature means you only confirm receipt. You do not accept the amounts or the dismissal. It keeps your right to claim unpaid amounts and to challenge the dismissal.

It does not stop the dismissal taking effect. It does not challenge the dismissal by itself. And it does not extend the deadline. You have 20 working days from the day after the dismissal takes effect, and a late claim is barred.

"Recibí a cuenta" also preserves claims, by saying the money is a partial payment. If you refuse to sign, the employer may hand over the letter in front of a witness. Refusing does not stop the dismissal either.

How to challenge the dismissal

Before suing, you must first try conciliation. You can request it at the regional labour conciliation service, or negotiate directly with your employer under the newer alternative dispute rules in force since April 2025. Filing the request pauses the 20-day count. It restarts when conciliation ends, or after 15 working days without a hearing. Then you file the lawsuit at the labour court (Juzgado de lo Social).

Claims for unpaid wages have a separate deadline: one year from when you could first claim them. If the employer is a public body, special rules apply, so ask a union or labour lawyer.

The decision, timeline, checklist and documents below walk you through these steps.

Choosing between options

How should you sign the dismissal letter and the finiquito?

• Sign as receipt only, with "recibí, no conforme": You disagree with the amounts or the dismissal and want to keep your right to claim and to challenge the dismissal.

• Sign with "recibí a cuenta": You accept that you received the money but think more is owed to you.

• Sign without any reservation: You agree with every amount, the document has no waiver wording, and you do not plan to claim anything else.

• Refuse to sign: You are unsure what the document says. The dismissal still goes ahead, and the employer may hand you the letter in front of a witness.

If any amount looks wrong or the document has waiver wording, do not sign without a written reservation. Whatever you choose, the dismissal deadline keeps running.

Timeline and deadlines

• Receive the dismissal letter and the finiquito, and decide how to sign: on the day the employer hands them over

• In an objective dismissal, the employer gives written notice with the cause and makes the compensation available at the same time: at least 15 days before the dismissal takes effect, or pay replaces the missing notice

• In a disciplinary dismissal with certain formal defects, the employer may send a corrected letter: within 20 days

• File the lawsuit at the labour court (Juzgado de lo Social): once the count restarts and conciliation has ended

• Claim unpaid wages or other amounts owed under your contract: within one year of when you could first claim them

Documents you need

• Dismissal letter (carta de despido), issued by your employer in writing. A disciplinary dismissal must state the facts behind it and the date it takes effect. An objective dismissal must state the cause.

• Finiquito (saldo y finiquito), the settlement of what your employer owes you, with each amount and each deduction listed. Severance may appear on the same document but is a separate amount.

• Your collective agreement (convenio), to check how holiday pay and extra pay were calculated in the finiquito.

• A copy of everything you sign, kept with the date and your handwritten reservation if you wrote one.

Checklist

• Check that the dismissal letter is in writing, states the facts or the cause, and gives the date it takes effect.

• Read the finiquito for salary for days worked, extra pay accrued, untaken holidays, bonuses, commissions, overtime and pending expenses.

• Compare the finiquito's holiday and extra-pay calculations with your collective agreement (convenio).

• Write "recibí, no conforme" next to your signature if you disagree with the amounts or the dismissal.

• Keep a signed copy of the letter and the finiquito.

• Note the date the dismissal takes effect and count your 20 working days from the next day.

• Ask a labour lawyer or union for advice before that period runs out.

What to watch out for

• Missing the challenge deadline: A late claim against the dismissal is barred, and writing "no conforme" does not stop the clock. Count from the day after the dismissal takes effect and get advice from a labour lawyer or union well before 20 working days pass.

• A waiver clause in the finiquito: If the wording clearly shows you accept the end of the job and give up further claims, a court may treat it as a full release. Read the finiquito for any waiver wording, and if you disagree, sign only as receipt with a written reservation.

• Signing with no reservation: The employer can use a plain signed finiquito to argue that you accepted the amounts. Courts read such receipts strictly, but you start from a weaker position. Add "recibí, no conforme" or "recibí a cuenta" and keep a copy.

• Thinking "no conforme" challenges the dismissal: The words only show you did not accept the dismissal or the amounts. The dismissal still takes effect, and you must still start conciliation. Start the conciliation step as soon as you can.

• Defects in the dismissal letter: A letter missing the facts, the cause or the compensation may make the dismissal unfair, but some defects can be fixed by the employer within 20 days. Keep the original letter, and ask a labour lawyer or union whether the defect matters.

Frequently asked questions

Does my finiquito include my severance pay?

No, the finiquito covers the pay you are owed, such as salary for days worked, accrued extra pay and untaken holidays, while severance (indemnización) is a separate amount. Both often appear on the same document, so check that each one is listed on its own line.

Can my employer correct a dismissal letter with formal defects?

Yes, for certain defects in a disciplinary dismissal, the employer can redo the letter within 20 days.

Can I refuse to sign the dismissal letter?

Yes, you can refuse to sign it, but the dismissal still goes ahead. The employer may then hand you the letter in front of a witness, so ask for your own copy either way.

How long do I have to claim unpaid wages after signing a finiquito?

You have one year from the date the money could first be claimed to claim unpaid wages or other amounts owed under your contract. This is a different clock from the dismissal deadline, so keep your payslips and the signed finiquito.