Program to promote the permanent hiring of qualified young people in the Valencian Community

Youth hiring programme in Valencia

Table of contents

What employers need to know about hiring under-30s in the Valencian Community

  • The Youth hiring programme in Valencia is administered by Labora and provides direct grants to employers who sign permanent full-time contracts with qualified young people registered on the National Youth Guarantee System.
  • The base grant is €11,113 per hire, rising to €31,752 for workers with a severe disability.
  • Eligible workers must be registered on the Youth Guarantee System and habitually resident in the Valencian Community at the point of hire.
  • Any private legal employer with a work centre in the Valencian Community can apply, including autónomos registered under RETA.
  • Applications are submitted electronically through the Generalitat Valenciana e-office, with each annual call setting its own submission window.

How Labora rewards employers who hire qualified young people

Youth unemployment remains structurally higher than the general rate in Spain, and the Valencian Community’s response is one of the most generous regional grant schemes for permanent hires of under-30s.

The Youth hiring programme in Valencia sits within the framework of the National Youth Guarantee System (Sistema Nacional de Garantía Juvenil), a national programme co-financed by the European Social Fund Plus, and it converts that national framework into a lump-sum grant that reduces the fully loaded cost of a first-year hire by €11,113 to €31,752.

The scheme was updated by the Resolution of 21 June 2024 from the General Director of Labora, published in the DOGV, and has been renewed through subsequent annual calls with periodic uplifts to the base amounts.

This guide sets out who qualifies, how much is available, how to apply, and how the programme combines with national employer bonifications to make a meaningful difference to the total cost of hiring a young worker in Valencia, Alicante or Castellón.

The legal framework: Youth Guarantee System and Labora

The National Youth Guarantee System is Spain’s implementation of the EU Youth Guarantee, targeted at ensuring that every person under 30 receives an offer of employment, education, apprenticeship or traineeship within four months of becoming unemployed or leaving formal education.

Registration is voluntary but is the eligibility gateway for regional and national programmes such as the Youth hiring programme in Valencia.

Labora (Servei Valencià d’Ocupació i Formació) administers the Valencian regional programme, and the current legal basis was set in the Resolution of 21 June 2024, with subsequent calls issued annually.

The programme aligns with the 2022 labour reform (Royal Decree-Law 32/2021), which reasserted the Contrato Indefinido as the default employment contract in Spain and restricted temporary contracts to narrowly defined circumstances.

Youth unemployment in Spain sat at 26.4% for those under 25 in early 2025, more than double the EU average and one of the highest rates in the OECD, framing the strategic importance of regional programmes such as the Valencian scheme.

Which young workers qualify

Eligibility under the Youth hiring programme in Valencia requires three cumulative conditions at the point of hire.

Registration on the National Youth Guarantee System

The worker must be actively registered before the hire is formalised.

Registration is free and can be completed online through the Ministry of Labour and Social Economy portal or in person at a Labora office.

Retroactive registration after a hire has already been signed is not accepted.

Residence in the Valencian Community

The worker must be habitually resident in the Valencian Community, evidenced by the padrón certificate at their address.

Qualification requirement

The programme targets qualified young people, meaning workers who hold at least an intermediate vocational qualification (Formación Profesional de grado medio), a Bachillerato, or an equivalent international qualification such as A-levels or the International Baccalaureate.

Higher-education qualifications (grado, master, doctorate) also qualify, and foreign qualifications recognised by the Spanish Ministry of Universities are treated on the same footing.

Grant amounts under the current scheme

The base grant is €11,113 for a standard qualifying hire, with uplifts where the worker also belongs to a further priority category.

Worker profileGrant amount per hireContract requirement
Standard qualifying under-30€11,113Indefinite, full-time
Woman or person with disability (33% or higher)€14,428Indefinite, full-time
Victim of gender-based violence€23,814Indefinite, full-time
Person with severe disability€31,752Indefinite, full-time or 15+ hours weekly (pro rata)

A single hire of a woman under 30 with a recognised 33% disability triggers €14,428 in Labora grant funding, meaningfully reducing the effective first-year cost of a €28,000 gross-salary employee, which typically runs at €36,500 to €38,000 fully loaded.

Which employers can claim

The Youth hiring programme in Valencia is open to any private legal employer entity with a work centre in the Valencian Community.

This covers Sociedades Limitadas, Sociedades Anónimas, cooperatives, foundations, associations, and any other private legal entity.

Autónomos registered under the Special Regime for Self-Employed Workers of Social Security (RETA) are also eligible in their capacity as employers, which is significant for the many Valencian solo entrepreneurs making their first hire under the scheme.

The new employee must render services at a work centre located in the Valencian Community.

Public sector bodies are excluded from the regional grant, though national programmes and Youth Guarantee measures remain available to them separately.

How the application process works

Applications are submitted electronically through the electronic headquarters of the Generalitat Valenciana, using the specific procedure enabled for each annual call.

StepActionDetail
1ConfirmWorker’s Youth Guarantee registration and residence
2SignIndefinite full-time contract
3RegisterWith TGSS and SEPE
4FileLabora application through the Generalitat e-office
5ReceiveGrant payment and monitor commitment period

Documents required

Signed indefinite employment contract registered with SEPE.

Alta with the Tesorería General de la Seguridad Social.

Certificate of the worker’s active registration on the National Youth Guarantee System.

Padrón certificate confirming the worker’s residence in the Valencian Community.

Copy of the worker’s academic qualifications, translated and homologated where issued outside Spain.

Employer’s alta in the applicable IAE.

Certificates of estar al corriente with AEAT and TGSS.

Bank details for grant payment.

Timing and deadlines

Each annual Labora call specifies its own submission window, typically opening in early summer with a deadline several weeks later.

The 2024 call closed on 10 September 2024, and subsequent annual calls follow a similar pattern.

Hires made before the call’s official opening may still qualify if made within the call’s reference year, but the application itself must be filed inside the specified window.

Employers making their first hire in Spain should also read our overview of labour law services in Valencia alongside our guide on hiring employees in Spain, both of which set out the wider contract and payroll framework these grants sit within.

Combining the Youth hiring programme in Valencia with national bonifications

The Valencian regional grant can be combined with national employer social security bonifications for the same hire, subject to the specific rules of each programme.

National bonifications operate through monthly reductions in employer social security contributions, whereas Labora pays a lump sum on hire, so the two operate through different mechanisms and different administrative bodies.

A single qualifying hire under the Youth hiring programme in Valencia can therefore generate:

An €11,113 lump sum from Labora on hire.

Monthly national bonifications where applicable under Royal Decree-Law 1/2023 for permanent hires of young workers.

Combined savings can reach €13,000 to €15,000 per hire over the first three years, depending on salary level and worker profile.

The Youth Guarantee System had over 1.1 million active registrations across Spain in 2025, with approximately 105,000 registered in the Valencian Community alone, giving employers a substantial pool of eligible candidates.

Compliance obligations after receiving the grant

Grant recipients must maintain the employment relationship for a minimum period specified in each call, typically three years for full amount retention.

Early termination of the contract triggers a proportional refund obligation to Labora, calculated against the remaining unfulfilled portion of the commitment period.

Exceptions apply for lawful dismissals for cause and for voluntary resignations by the worker, but the burden of proof rests on the employer.

Grant recipients also undertake to inform Labora of any material change to the employment relationship (reduction in hours, change of role, or transfer to another work centre outside the Valencian Community) within 30 days.

Foreign employers building a Valencian operation should also review our guides on relocating UK employees to Spain and creating a limited company in Spain, both of which explain the corporate and employment frameworks these grants complement.

Common mistakes to avoid

Signing the contract before confirming that the worker is actively registered on the National Youth Guarantee System, then discovering the hire does not qualify.

Missing the annual call’s submission window despite having made a qualifying hire during the reference year.

Overlooking the qualification requirement and hiring a young worker whose academic credentials do not meet the intermediate vocational threshold.

Failing to keep the worker in post for the full commitment period and being required to refund the grant.

Transferring the work centre outside the Valencian Community without prior notice to Labora, which can invalidate the grant retroactively.

Detailed technical specifications for each annual call are published on the Labora Servei Valencià d’Ocupació i Formació portal.

Talk to our team about your Valencian hire

Our Valencia office advises international and Spanish employers on eligibility for regional and national hiring incentives, contract drafting, TGSS registration and full grant application dossiers.

We work in English, French, Spanish and Russian, and have supported employer hiring decisions across the Valencian Community since 1960.

Email: felix.delaguia@delaguialuzon.com

Phone: +34 963 74 16 57

Avinguda Regne de Valencia 6, 1º-2º, 46005 Valencia.

Frequently asked questions about the Youth hiring programme in Valencia

What is the Youth hiring programme in Valencia?

A regional grant scheme administered by Labora that rewards employers for signing permanent full-time contracts with qualified young workers registered on the National Youth Guarantee System and resident in the Valencian Community. Base grant €11,113, rising to €31,752.

Who counts as a qualified young person?

Workers under 30, actively registered on the National Youth Guarantee System, resident in the Valencian Community, and holding at least an intermediate vocational qualification (FP grado medio), a Bachillerato, A-levels, IB Diploma, or higher-education credentials.

How much is the base grant?

€11,113 for a standard qualifying hire. Uplifts: €14,428 for women or workers with disability of 33% or higher, €23,814 for victims of gender-based violence, €31,752 for workers with severe disability.

Which employers can claim?

Any private legal employer with a work centre in the Valencian Community, including autónomos registered under RETA. Public sector bodies are excluded from the regional grant.

Does the worker need to be registered on the Youth Guarantee System before signing?

Yes. Registration must be active at the point of hire. Retroactive registration after a contract has already been signed is not accepted by Labora.

Can foreign qualifications count for the eligibility test?

Yes, provided they are recognised by the Spanish Ministry of Universities through the equivalence or homologation procedure. A-levels, the IB Diploma and most EU-issued upper-secondary qualifications are accepted.

How long must the worker stay employed?

Typically three years for full amount retention. Early termination triggers proportional refund unless the dismissal is for lawful cause or the worker resigns voluntarily.

Can the grant be combined with national bonifications?

Yes, in most cases. Labora pays a lump sum on hire, national bonifications reduce monthly social security contributions. Combined savings can reach €13,000 to €15,000 per hire.

Are part-time contracts eligible?

Only for hires of workers with severe disability, where contracts of 15 hours or more per week qualify with a proportional reduction of the grant amount. All other qualifying hires must be full-time indefinite.

When does the current Labora call open?

Annual calls are typically published in early summer with submission windows of several weeks. Precise dates are announced through the Labora portal and the DOGV.

Table of contents

Share on