Labour migration to Spain soars 350%, an OECD record

Migrant employment soars 350% while wages lag behind

The hiring of migrant workers grew by 350% compared with 2019, the largest increase in the OECD. The figure, reported by Vozpópuli, comes alongside another reality: the real wages of many domestic workers have yet to recover lost ground. With inflation at 5% and collective wage agreements at 3%, the numbers don't add up.

The low-wage model defends its logic

Within the economic analysis, one school of thought argues that Spain's competitiveness depends on containing labour costs. In that reading, the arrival of more labour is no accident, but the fuel that keeps the machinery running. The message, stated without euphemisms, is that the business sector needs contained wages to function.

The erosion of purchasing power challenges the theory

On the other side are those keeping count at home: a 3% wage agreement rise, 5% inflation and an income tax (IRPF, Spain's personal income tax) that is not adjusted for inflation. The result: any nominal increase turns into a real loss. One account sums it all up: a mother earned more in 1998 than many workers do in 2025. The anecdote sounds like sarcasm, but the direction is unmistakable.

The numbers, however, don't lie

Labour migration is setting an OECD record while real wages lose ground. If the supply of imported labour keeps growing, downward pressure will persist. If the IRPF is not inflation-adjusted, the loss becomes entrenched. The full calculation, line by line across wage agreements, inflation and taxation, yields a gap that is startlingly large. In the medium term, the most reasonable prediction is that the debate will keep going in circles until someone touches the variables no one wants to touch.