More jobs than ever before: Spain is approaching the 22 million employment mark. But how sustainable is this growth – and what does it mean for expats on the ground?
Spain Expat Press Editorial Team
Spain reached a new historic high in its labour market in March. A total of 211,500 new jobs were created, bringing the country close to the symbolic threshold of 22 million people in employment. At the same time, unemployment fell by 23,000, reaching its lowest level since 2008.
At first glance, these figures appear highly encouraging. Spain has not only recovered its pre-pandemic employment levels but significantly exceeded them: there are now almost three million more people in work than in 2019. However, for international residents and those considering relocating to Spain, it is not just the scale of growth that matters, but its structure.
Tourism as the main job engine
March is traditionally a strong month for Spain’s labour market. Semana Santa marks the beginning of the tourist high season and consistently provides a significant boost to employment.
Around 40 per cent of all new jobs were created in the hospitality sector. More than 81,000 positions were added in this sector alone. Regions such as Andalusia, the Balearic Islands and the Valencian Community benefit particularly from this seasonal effect.
For expats, this highlights a key structural reality: Spain’s economy remains heavily dependent on tourism.
Growth also visible in other sectors
Beyond hospitality, other sectors have also recorded growth. Construction continues to benefit from a dynamic property market, while administrative services, education and healthcare have also seen increases in employment.
However, it is important to note that none of these sectors currently match the pace of growth seen in tourism.
Foreign workers driving the labour market
One particularly relevant aspect for international readers is the role of foreign workers.
One in three newly created jobs in March was taken by a foreign national. Since the beginning of the year, this figure rises to 44 per cent. Spain is therefore not only growing with international support – in many areas, it increasingly depends on it.
Andalusia and the Costa del Sol in focus
Regionally, job creation is concentrated in key areas. Andalusia leads with more than 50,000 new jobs, while Málaga alone accounts for over 14,000 additional positions.
On the Costa del Sol in particular, this growth is not just reflected in statistics but is clearly visible in everyday life: rising demand, new business activity and an expanding international community.
A record – but with limitations
Despite the positive figures, a more nuanced view is necessary.
A significant proportion of the new jobs is seasonal and directly linked to short-term peaks in demand. Many of these positions are temporary and offer limited stability. In addition, wages in the fastest-growing sectors often remain below average.
The key question therefore remains: is Spain creating more jobs – or better jobs?
Spain once again demonstrates its ability to generate employment quickly and flexibly. At the same time, the structural challenge remains: improving the quality, stability and productivity of these jobs in the long term.
For expats, investors and professionals, the message is clear: Spain offers real opportunities, but within an economic model that is strongly shaped by tourism and whose dynamics should be clearly understood before making long-term decisions.
