Spanish unemployment falls by 28,700 but foreign workers drive all job growth

Unemployment in Spain fell by 28,700 people, but all net jobs created went to immigrants. The mass regularization is distorting the figures and reopening the debate.

English · Original discussion in Spanish · Published

Spanish unemployment drops by 28,700 but immigrant employment soars: success or replacement?

June's unemployment figures hide a story that goes beyond the optimistic headline. Average Social Security registrations grew by 128,533 people in the month and 605,244 year-on-year, reaching new all-time highs. But 100% of that growth came from foreign workers: for the first time in a long while, Spaniards lost jobs on net while immigrants gained them all.

The regularization that changed the numbers

Since April, coinciding with the start of the immigrant regularization process that ended on June 30, job creation accelerated at a pace matched only by the exit from the pandemic. Regularization applications surged, and with them new Social Security registrations. The dynamism is undeniable, but the quality of the jobs created and their impact on the native labour market raise doubts.

The debate: creation or replacement?

Some read the figures as a success of migration policy: more workers paying in, more revenue for the Social Security system, more consumption. Others see the Spanish working class being replaced by foreign labour willing to accept more precarious conditions. The argument that "at least there will be no shortage of waiters" clashes with the perception that wage and labour standards are being lowered.

What the figures don't hide: tensions and scepticism

Some question the credibility of the official figures, comparing them to CIS polls. But Social Security registration is an administrative record, not a survey. The discussion centres on whether this model is sustainable and whether it really benefits unemployed Spaniards. Meanwhile, the official message keeps repeating "dynamism, dynamism", but October will bring new figures that will confirm or refute the trend.

For now, the Spanish labour market is a machine for creating jobs for immigrants. For nationals, the ball is in the court of training and mobility. Or maybe not. Time —and October's data— will tell.

Summary of a discussion on Burbuja.info - Foro de economía, actualidad y política., translated from Spanish and reviewed before publication. Read the full discussion (32 replies).

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