Who actually works in Spain? The 10am mystery

Streets are full at 10am, yet Spain's labour force survey says 22 million people work. An analysis that dismantles the official statistics.

English · Original discussion in Spanish · Published

Why Spain's streets are full at 10am on a working day

Anyone who has stepped outside at 10am on a Monday in a Spanish city has asked themselves: where is everyone working? The feeling that half of Spain is sitting on café terraces while the other half works is nothing new, but it has intensified. Official data say 22 million people work in Spain out of a population of 49 million. But early risers see a different reality: apartment blocks with 25 doors where barely 4 people leave for work, and streets that look like a theme park of terraces and shops that don't earn enough to cover their owners' self-employed contributions.

The gap between the EPA and the street

Unofficial analyses estimate that the real number of productive workers does not exceed 10 million. The count discounts public employees who are «plugged in» or low-productivity, the so-called «funcivagos» (a Spanish portmanteau for civil servants who barely work), and those living off extended sick leave or the Ingreso Mínimo Vital (Spain's minimum income scheme). The statistical illusion rests on three pillars: the bubble of dispensable services (cafés, clothing franchises), the golden retirement of those who bought a flat in 1985, and an economy of inheritances and family pensions.

Where the non-early-riser's income comes from

The menu of income sources for Spaniards who don't work includes: a pension from parents or grandparents (the «living inheritance»), sick leave for anxiety or chronic lower back pain, permanent disability benefits, and the IMV. The million-euro question — or the 22-million question — is what the people filling the streets at 10am live on. The answer, according to the bluntest analyses, is that they live off a system that rewards appearances over real production.

Conclusion

As long as the real economy remains stuck in that gap between statistics and the street, the question will have no official answer. But experience will keep shouting it: not as many people work in Spain as the numbers claim. The theme park stands, but its foundations are shaking.

Summary of a discussion on Burbuja.info - Foro de economía, actualidad y política., translated from Spanish and reviewed before publication. Read the full discussion (46 replies).

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