Spain: Unemployment rate falls to lowest level in nearly a decade
October 25, 2018
The jobless rate declined to 14.6% in the third quarter, coming in below the 15.3% rate logged in the second quarter and marking the lowest reading since Q4 2008. In absolute terms, the number of unemployed workers fell to 3.33 million, a marked reduction from the 3.49 million jobless in the second quarter.
Employment gains were again centered in the services sector, adding 210,200 jobs in the third quarter—largely driven by buoyant tourism activity during the summer months. Jobs were also created in the construction (+24,900) and industrial (+2,800) sectors. However, jobs were shed in the agricultural sector (-54,000). Temporary jobs were up 151,000 in Q3, significantly above the 25,300 permanent positions created. Meanwhile, the total workforce rose marginally by 19,800 people in Q3 to a total of 22.9 million.
Spain Unemployment Rate Forecast
FocusEconomics Consensus Forecast participants expect unemployment to average 15.4% next year, which is unchanged from last month’s projection. For 2020, the panel foresees an unemployment rate of 14.2%.
Author: Javier Colato, Economist