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Spain’s temporary hiring needs remain at levels before labour reform

Spain’s temporary hiring needs remain at levels before labour reform

November 1, 2024
Toledo Spain

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Asempleo confirmed that two years after the implementation of Spain’s labour reform, the need for temporary employment in the Spanish labour market remains at the levels before this regulation, reports El Español. During the first half of 2024, temporary employment agencies (ETT) managed 2.9% more employees than in the same period last year.

During a meeting, the president of Asempleo, Andreu Cruañas, assessed that “the labour reform implemented since the first quarter of 2022 has led to a statistical reduction in temporary employment in the country, with the disappearance of contract modalities, such as work and service contracts, and the increase in figures such as the fixed-term contract. These changes have not altered the temporary needs of companies in Spain, which is highly dependent on services, tourism, agriculture and logistics, where seasonality and punctual demand continue to be fundamental factors.”

Asempleo also noted the fact that one in three people who start working for a temporary employment agency or employment agency ends up being employed by the user company.

Asempleo also highlighted that employment indicators in Spain show a mixed picture. Since the start of the reform, employment has grown by 8% year-on-year, and unemployment has decreased by 17.5%. However, several structural problems persist: the unemployment rate remains in double digits, with 11.21% in the third quarter of 2024, and Spain maintains one of the highest levels of youth unemployment in the European Union (26.9%), with significant unemployment among those over 55 years of age (10.1%).