Spain’s labour market has reached a historic turning point: for the first time since records began, more newly created jobs have been taken by foreign-born workers than by people born in Spain. According to the latest data from Spain’s Social Security system, around 58% of all new employment positions in the first six months of 2026 were filled by foreign workers. In the same period a year earlier, this figure stood at 42%.
Spain Expat Press Editorial Team
by Marlon Gallego Bosbach
The development has sparked political debate across the country. While Prime Minister Pedro Sánchez’s government views the trend as evidence that its labour market and migration policies are working, critics point to the consequences of the controversial regularisation of hundreds of thousands of migrants who previously lacked legal residency status.
A significant increase within one year
The figures mark a significant shift in Spain’s labour market. The proportion of foreign workers has been steadily increasing for years, but for the first time they now account for the majority of newly employed workers.
According to the Ministry of Social Security, around 45% of all newly created jobs since 2022 have been taken by foreign-born workers. During this period, the number of foreign employees increased by approximately half a million in total.
At the same time, the number of workers registered with Spain’s social security system reached a new record high.
Why is the number of foreign workers increasing?
Experts identify several factors behind this development: Spain has been facing a significant labour shortage for years, affecting numerous sectors of the economy. The tourism and hospitality industries, agriculture, construction, as well as healthcare and social care are among the areas most affected. Many companies in logistics and the service sector are also increasingly struggling to fill vacant positions. Despite overall high employment levels, many employers are unable to find enough staff, particularly for physically demanding, seasonal or less attractive jobs. As a result, these positions are increasingly being filled by workers from abroad.
This development is further intensified by demographic change. Spain is one of the European countries with one of the lowest birth rates, while the average age of the population continues to rise. As a result, the number of people leaving the workforce is growing faster than the number of new entrants joining the labour market. Many experts therefore believe that current employment growth would be significantly weaker without additional workers from abroad.
Controversial regularisation sparks debate
Another key factor is the regularisation of migrants without legal residency status, approved by the Spanish government at the beginning of 2026. Through this measure, the government aimed to grant legal residency and work status to several hundred thousand people, many of whom had already been living and working in Spain for years.
Madrid had initially expected around 500,000 applications. However, the actual number of submissions was significantly higher. As a result, many people who had previously been working informally were able to enter the official labour market for the first time.
For the government, this represents a success: people who previously worked in the informal economy are now paying taxes and social security contributions and receiving regular employment contracts.
Criticism from the opposition and economic experts
The opposition, however, takes a far more critical view of the development. Conservative and right-wing parties accuse the government of creating an additional incentive for irregular migration through the regularisation scheme. In their view, the policy sends a signal that illegal entry could later be legalised through an amnesty.
Critics also fear that competition in the labour market could intensify, placing particularly low-skilled Spanish workers under greater wage pressure. Some migration experts also point out that repeated amnesties cannot serve as a long-term substitute for a sustainable immigration policy.
Government points to economic benefits
The Spanish government rejects these criticisms. The Labour and Social Security Ministry emphasises that many of the workers who are now employed legally had already been living and working in Spain for years. According to the government, legalisation will reduce undeclared work, increase social security contributions and strengthen the financing of the pension system.
Furthermore, the government argues that Spain would struggle to overcome its shortage of skilled and general labour without immigration. According to official statements, the increase in employment is making a significant contribution to Spain’s continued above-average economic performance.
Spain remains dependent on immigration
Regardless of the political assessment, many labour market researchers agree on one point: Spain will continue to depend on immigration in the future.
An ageing population, low birth rates and the growing demand for workers across numerous sectors of the economy suggest that foreign workers will play an increasingly important role in Spain’s labour market in the future.
The current development therefore reflects not only the immediate effects of the regularisation scheme, but also a long-term structural transformation of the Spanish economy.
