Spain's Economy
Youth Unemployment
Why Spain's unemployment rose above 26% in 2013 with youth unemployment over 50%, and why Spain's labour market has been so prone to high joblessness.
Spain has struggled with unemployment.
Peak
Unemployment peaked around 26% in 2013; youth unemployment topped 50%.
Dual labour market
- Permanent workers had strong protections.
- Many young people had temporary contracts, the first to be cut in downturns.
Effects
- Young people emigrated or lived with parents longer.
- The Indignados protests began in 2011.
Improvement
Unemployment fell to around 11% by 2025, still among the EU’s highest.
Informal economy
Some unemployed work informally, so statistics may overstate joblessness.
The temporary contract
A young graduate signs a series of short contracts, never getting a permanent job.
Thinking high unemployment means no one works
Informal work and emigration also play roles.
Key takeaways
- Unemployment peaked at about 26% in 2013.
- Youth unemployment topped 50%.
- A dual labour market hurt youth.
- It fell to about 11% by 2025.
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