Demographic aging is not softening the job market. As the baby boom generation reaches another milestone, Alicante faces rapid shifts in its labor landscape. Across more sectors, it becomes harder to replace retirees with qualified workers, signaling a widening generational gap in the region’s growth engine.
Over the ten-year span from the first quarter of 2013 to the same period in 2023, the active population in Alicante aged over 55 rose from 115,000 to 206,900. That almost doubles the number, according to detailed EPA data from the Valencia Institute of Statistics. In relative terms, older workers now account for 21.6% of the total workforce, including employed and job seekers, up from 12.9% a decade earlier.
The shift challenges the region’s tourism hubs where a steady influx of younger workers is essential. Among younger residents, 16 to 24 years old, the active pool barely declined, moving from 64,100 to 63,100 this decade. The dip is modest because many in this age group remain in school and are not counted as actively seeking work in the labor force.
Lack of relief, a problem for Alicante’s traditional trade
But the impact of lower birth rates is more visible in the outgoing cohort. The 25 to 34 age group, typically entering the business world, dropped from 209,500 ten years ago to 168,100 today. In other words, the younger generation is nearly 20% smaller than the cohort nearing retirement.
When looking at the total number of workers under 35, the share of the active population considered young has fallen from 30.7% to 24.1%.
Is there a clear signal of generational change across the Spanish economy that Alicante will have to confront in the coming years? Analysts suggest that every potential solution carries an economic or social cost, a point emphasized by a Randstad Research director. [Attribution: Randstad Research]
The initial strategy must address the vast pool of unemployed people who could be requalified. Re-skilling this group would boost both the Spanish economy and Alicante’s, unlocking financial resources and transforming individual effort into meaningful employment for those affected. Looking ahead, officials anticipate a rise in workers from abroad, which would demand more focused social integration efforts.
Another part of the answer may lie in automation. In many cases, the new staffing needs created by baby boomer retirements are expected to appear well before the technology to replace them is ready. This could push the working life beyond traditional retirement ages, a trend already seen in countries with more aging populations and beginning to emerge in Spain as well.
Footwear aims to attract young people aged 16 to 24 to guarantee generational change in the industry.
Agriculture
In agriculture, the sector’s aging is pronounced. Up to 37% of Alicante’s primary sector workers are over 55, and among the employed, the share rises to 49.6%. Foremen and farm managers are predominantly in the 55–65 range, with few younger workers stepping into field roles. Many in the industry see the disappearance of certain training programs that existed two decades ago as a setback. Much of the current workforce is of foreign origin, reflecting a trend where the younger generation tends to reject manual labor in farming.[Citation: industry observers]
Elsewhere in industry, the share of workers over 55 remains notable, though lower than in farming. In more labor-intensive sectors like footwear, the lack of young entrants is sharper. Industry leaders note that parents encourage their children toward schooling and college rather than direct industry work, which diminishes long-term recruitment. They are calling for expanded vocational training to attract young people, including targeted campaigns to promote the sector as a viable career path.
The aging workforce also affects services, where the share of experienced workers has grown from 11.5% to 21.2%. While the EPA lacks a more detailed decade-long breakdown, studies from the Sepe Occupations Observatory using 2021 data show many sectors facing an aging tilt, with health and management roles particularly affected as more workers reach 60 years old.
Regional workers programs warn against age-based discrimination when older workers are excluded from reentry into the labor market. Employers are increasingly viewing the value in longstanding experience, reliable performance, and lower turnover than younger hires. This evolving perception, alongside demographic realities, is driving conversations about smarter hiring practices and inclusive retraining strategies.