New Delhi, Jan. 28 -- Spain's government announced Tuesday it will grant legal status to potentially hundreds of thousands of immigrants living and working in the country without authorization, the latest way the country has bucked a trend toward increasingly harsh immigration policies imposed in the United States and much of Europe.

The extraordinary measure will be implemented by expediting a decree to amend immigration laws, according to Spanish Minister of Migration Elma Saiz, bypassing a similar bill that has stalled in parliament. Eligible immigrants will be granted up to one year of legal residency as well as permission to work.

In contrast to other nations that have moved to restrict immigration and asylum, many emboldened by th...