While Spain’s overall jobless numbers are improving, beneath the good news is a very troubling number.
The “recovery” is, in fact, skipping a generation, as experienced workers are bypassed in favor of less experienced younger workers who will labor for lower pay.
The rate for long-term joblessness in Spain has, in faqct, increased eleven-fold since the start of the Bush collapse.
The numbers point to a Potemkin recovery, in which there is improvement for some, but those hardest hit by the Great Recession are left to contemplate very bleak futures.
From El País:
The gradual reduction in Spain’s unemployment figures is not translating into any improvement for the country’s long-term unemployed, growing numbers of whom are being left behind: one in four jobless have been out of work for at least four years, says a report by the Fedea economic think tank based on official figures.
Between April and June of this year, 1,127,879 of Spain’s 4.5 million unemployed had not worked for at least four years, says Fedea’s Florentino Felgueros, adding that the figure has increased eleven-fold since the current recession began in 2008.
He points out that with unemployment at 20%, employers can pick and choose, and usually prefer to hire younger people who have been out of work for shorter periods of time.
One of the characteristics of the Spanish labor market is the large number of people with short-term contracts (25%)
For Spain’s long-term unemployed, the job creation of the last two years has had little impact. While joblessness hit its peak at the end of 2013, the number of people who haven’t worked in four years or more continued to grow until a year ago, reaching 1.18 million, says Felgueroso.