A Mirage of Labor Optimization
Unemployment statistics for the fourth quarter of 2024 reveal a picture that, at first glance, might seem encouraging. The unemployment rate has fallen to 10.61%, a figure not seen in more than a decade, precisely when the economic crisis began to wreak havoc. In addition, the number of employed people has reached a record figure of 21.857 million.
Behind the Numbers: The Reality of the Labor Market
Despite the numbers that might ring celebratory bells, the truth is that this optimism can be misleading. One of the key factors in the decline in unemployment is the fall in the activity rate, which measures the proportion of the population that is looking for work or is already employed. The reality is that many have given up looking for work, which hides a worrying trend.
A Fall in Labor Participation
2023 saw the creation of 750,000 jobs, but during the last quarter of the same year, this figure fell to 468,100. This decline in interest in participating in the labor market raises questions about the long-term health of the economy.
Inequalities in Employment
Another worrying aspect is that most of the new jobs have been filled by foreign workers. In the last four months, 20,000 of the 34,800 jobs created were filled by non-natives, and women have played a key role in this growth. This reminds us that problems of structural unemployment persist.
The Worrying Situation of Youth
The youth unemployment rate stands at 24.9%, a figure that far exceeds the national average and positions us as one of the countries with the highest levels of youth unemployment in Europe. This situation, together with low starting salaries, represents a significant obstacle to the future of our young people.
Employment Growth: A Paradox
Employment growth has been largely driven by the public sector. In the last year, 50,400 public jobs have been added, while the private sector has experienced a decrease of 15,600 jobs. This leads us to reflect on the sustainability of this trend.
Changes in Contract Types
In a context where almost 600,000 people work part-time, it is worth noting that the increase in employment has occurred, in large part, at the expense of self-employed workers. While self-employed workers have increased by 107,900, salaried workers have decreased by 75,800.
Futuristic Perspectives: What Awaits Us?
Productivity is another factor that will need to be closely monitored. If the data for 2024 does not show significant improvements, Spain will continue to face one of its major structural challenges. The growing weight of immigration and the increase in public employment may generate tensions in the labor market that deserve special attention.
Therefore, while labor statistics may seem positive, the reality is more complex and marked by inequalities and risks that may affect the country’s economic health in the future.
