The Portuguese government has recentlybeen very active approvingnew legal measures that relate to the corporate word. Most of these measures were outlinedin the Capitalisation Programme (Progama Capitalizar) that was approved by the Government lastyear.
Under Spanish law the status of a company executive officer who holds the position of general manager, or of senior executive (“alto directivo” in Spanish) and, at the same time, is a member of the board of directors of the company that employs them, can be confusing for foreign investors.
The judgement of the European Court of Justice (ECJ) in case C-682/15 (the "Berlioz" case), handed down within the framework of a preliminary ruling referral by the Luxembourg Administrative Court, was published on 16 May 2017.
In a recent decision by the Spanish High Court, dated 8 March 2017, the court concluded that severances paid for dismissal or termination of senior executive employment relationships could be totally or partially exempt from taxation for personal income tax (“PIT”) purposes.
The labour market is still widely dominated by traditional forms of employment, although various economic crises, new market needs and international movement have led us to move away from the traditional notion of jobs for life.