2023-07-31 15:00:00
ECONOMY – Spain exceeds 21 million active workers for the first time, with an unemployment rate of 11.6%. This level represents a new historical record for the labor market: 603,900 people were newly employed between April and June, according to data from the Labor Force Survey (EPA) released Thursday. Unheard of since the real estate crisis of 2008, which strongly affected the country.
In the second quarter of 2023, the labor market situation in Spain was very favorable, according to the Ministry of Economic Affairs and Digital Transformation. “This is (…) a historic record, which testifies to the confidence of workers in finding a job”he points out.
With 365,300 fewer unemployed out of a total number of 2,762,600, this is indeed the lowest figure observed in the last 15 years, since the great real estate crisis of 2008.
The private sector, engine of employment
On the other side of the Pyrenees, the spring season is traditionally favorable to the labor market thanks to the arrival of good weather, at Easter and the start of the tourist season.
But the increase in the number of employees employed in the private sector (+610,100) is higher than usual and is accompanied by a reduction in the number of positions in the public sector (-6,200), according to the figures. from the National Institute of Hispanic Statistics (INE).
The usual criticisms of the PP (Partido Popular), which put the job creations of the socialist government into perspective by attributing them to the public sector, cannot really be heard this time around. In total, over the past twelve months, net job creation amounted to 588,700 people, ie a job creation rate of 2.9%.
The permanent contract reaches new heights
According to the executive in place, this improvement has its origins in the latest labor reform. According to the PSE, this has enabled a sharp drop in the number of people on temporary contracts in favor of a record number of permanent contracts.
410,100 more people have benefited from a permanent contract since April for a total number, another record, of 14.8 million.
The reform was implemented from December 2021. Its primary objective was to combat temporary, short-term employment, one of the most important problems in the Spanish labor market in recent years.
To do this, the government has decided to finance companies that agree to reduce weekly working time, setting up 32-hour weeks for their employees (instead of 40, editor’s note).
According to the latest data from the EPA, the temporary employment rate has never been so low at 17.3%. 95,400 additional workers under temporary contract are however to be counted between April and June.
#Historic #drop #unemployment #Spain