Spain has achieved a new employment record, with 21.68 million people currently employed, according to the latest Labour Force Survey. This marks the highest number of workers in the country's history. Simultaneously, the unemployment rate has dropped to 11.27%, the lowest level in 16 years. This positive development is attributed to a significant increase in the number of women and foreign workers entering the workforce.
While the overall employment figures are promising, the rate of job creation has slowed compared to the previous year. The hospitality sector, a significant driver of employment in Spain, experienced a more moderate increase in job creation compared to previous years. Other sectors, like construction, manufacturing, and administrative activities, also contributed to job growth. However, there were notable job losses in sectors such as real estate, banking, and insurance.
Despite the positive trends, Spain continues to grapple with a relatively high unemployment rate compared to other European countries. The influx of previously inactive individuals seeking work has contributed to a slower decline in the unemployment rate than expected.
Regionally, the Balearic Islands experienced the most significant drop in unemployment, largely due to their dependence on tourism. Other regions like Andalusia, the Valencian Community, La Rioja, and Extremadura also saw notable declines in unemployment. However, unemployment increased slightly in Cantabria, Asturias, and Aragon.
The report also highlighted the growing importance of foreign workers and those with dual nationality in the Spanish workforce. These groups contributed significantly to new job creation in the last quarter. Additionally, women secured a higher proportion of new jobs than men, further narrowing the gender gap in the workforce.
