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Spain - Andalucía

Short overview of the labour market

 

Andalusia is located in the south of the Iberian Peninsula, in the southernmost part of the European continent. It borders with the Autonomous Communities of Extremadura and Castile-La Mancha to the north, with Murcia to the east, with the Mediterranean Sea, the Strait of Gibraltar and the Atlantic Ocean to the south, and Portugal to the west. It is the second largest Autonomous Community in Spain in terms of area (87 597 km²) and the first in terms of population. It consists of eight provinces (Almeria, Cadiz, Córdoba, Granada, Huelva, Jaen, Malaga and Seville) with 8 410 002 inhabitants as of 1 January 2019 (provisional figures from the INE), and has a population density of 96 inhabitants/km². The most populous provinces are Seville, Malaga and Cadiz. A total of 653 146 non-nationals live in Andalusia, accounting for 7.77 % of the population. Over the last year, the population in Andalusia has increased by 0.31 %, and the population of non-nationals has grown by 5.11 %.

According to data from the most recent update of the Central Directory of Companies of the National Statistics Office, the business community of the Autonomous Community of Andalusia comprises 509 137 registered companies, 53.77 % (273 774) of which have no employees. Of the total number of companies with employees (235 363), 91.35 % have fewer up to nine employees, and 7.49 % have between 10 and 49 employees, reflecting the predominance of small and medium-sized enterprises (98.83 %).

The GDP in the Autonomous Communities of Andalusia is around 13 % of domestic GDP and the services sector accounts for 73.5 % of Andalusia’s economic activity. This is followed by industry (12.8%), construction (7.2 %) and agriculture (6.5 %).

According to data published by the National Statistics Office, (Regional accounting of Spain. Base year 2010. Series 2010-2018), the first estimate of GDP in Andalusia for 2018 reflects an increase of 3.1 % on the previous year. Per capita, the GDP in 2018 was EUR 19 132, 3.1 % more than the previous year.

According to the Labour Force Survey (LFS) data from Q3 2019, of the total population aged 16 and over in Andalusia (6 976 800), 3 966 600 are economically active. 78.17 % are employed and 21.83 % are unemployed. The Autonomous Community of Andalusia continues to have the highest unemployment rate in Spain: 21.83 %, compared to the national average of 13.92 % (surpassed only by the Autonomous Cities of Ceuta and Melilla). The provinces of Cordoba, Jaen and Cadiz have the highest unemployment rates. Malaga and Almeria have the lowest, 18.09 % and 19.75 %, respectively.

Over the last year, there has been a positive trend in the labour market, based on administrative data from the social security system and the Public Employment Services. The number of people paying social security contributions and the number of registered contracts have increased, while the number of unemployed jobseekers has declined.

According to information from the Jobs Observatory of the National Public Employment Service, there were 763 355 registered unemployed persons in Andalusia at the end of September 2019 (including the slight increase at the end of the summer season). This marks a year-on-year decline of just over five percentage points. The percentage of unemployed non-nationals in the Community was 7.14 %. The average year-on-year decline in registered unemployment in Andalusia over the last two years remains below five per cent - a threshold which was reached in Spain as a whole only in 2019. There has also been a 4.45 % increase in recruitment, with agriculture and hospitality leading the way. More than thirteen per cent of the contracts registered in Andalusia were for non-nationals.

 

Text last edited on: 08/2020


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