Spain’s labor market is enjoying a favorable moment as employment grows for a little more than two years, with a gentle easing in momentum. The month closed with 200,411 net new jobs, a figure that mirrors recent May activity but shows a slightly slower pace. This small deceleration may be a one-off blip or the start of a cooling trend in the coming months. Regardless, Spain remains above the 2009 peak, with around 20.8 million people active in the labor force.
Never before have there been so many SSI dependents at once, according to data released by the Labor and Social Security ministries. Alongside this, unemployment fell by 49,260 people, reaching 2.7 million, the lowest monthly figure since 2008 in May.
Spain currently benefits from a seasonally favorable period for job creation. While activity remains positive, gains are not explosive, and sectors tied to holidays and good weather are operating at full capacity. The hospitality sector—bars, restaurants, taverns, and hotels—added 67,315 jobs in May, making it the largest contributor to new employment. The strength in recent months is partly due to this sector’s resilience.
After the immediate post-pandemic restrictions, the industry initially slowed but later regained speed, with employment levels already surpassing 2019. This sector produced the most jobs in absolute terms (100,558) last year, and in percentage terms it ranked third after its own enterprises (7.1%), as well as information and communications and energy supply sectors.
June and July continue to show positive employment momentum, bolstered by summer hiring campaigns. Spain’s trajectory toward the symbolic milestone of 21 million employed remains visible, though sustainability through the autumn and winter contractions remains uncertain. If job creation continues at the same pace as last year, the country could reach about 20.9 million active workers by next month, even as the general elections approach and the labor market reshapes itself in anticipation of future policies. [Source: Labour and Social Security ministries; national statistical offices; economic reviews attributing seasonal and tourism-driven hiring patterns]”