65% of firms in Spain set to hire this year

65% of firms in Spain set to hire this year

65% of firms in Spain set to hire this year

As Spain’s economy recovers and the labour market shows signs of improvement, local firms are set to increase their workforce in 2015, according to Adecco.

The consultancy firm interviewed over 300 companies and human resource professionals last month, discovering that 65 percent of businesses plan to hire additional staff. This is good news for the country’s just over 4 million who are unemployed.

The following positions make up this year’s new hiring contracts:

  • Line-level workers: 46 percent
  • Middle-managers: 33 percent
  • Technical and executive categories: 21 percent

General services will provide the most job opportunities, with legal services also needing new employees, Adecco said.

But departments like human resources and communication and marketing will also need to boost their workforce over the next two years, although to a lesser degree than in the past.

In July, the Spanish government said the economy would create more than 600,000 jobs this year.

SUMMER TOURIST SEASON IMPROVES LABOUR MARKET

In May this year, Adecco predicted that about 989,000 employment contracts would be generated in Spain in the period June-September, a rise of 13 percent from a year ago.

Retailers, restaurants and hotels traditionally bolster their staff for the busy summer tourist season.

Adecco flagged that logistics and transport, commercial and call centre sectors would also have a share of the job market.

According to job portal Infojobs, nearly 120,000 job vacancies were registered in August, up 27 percent year-on-year. The majority of the jobs were in sales, IT and telecommunications and customer service.

Of the candidates who applied for positions, 77 percent said they wanted an indefinite contract, although just over 20 percent indicated a preference for a contract with a specific duration.

SPAIN NEEDS FURTHER LABOUR REFORM

Spain returned to growth in 2014 after five years of recession or stagnation following the collapse of a labour-intensive building boom in 2008. In the first half of 2015, the economy grew at close to 4 percent.

The country’s so-called temporary contract economy has been widely blamed for its high jobless figures. By early 2012 it accounted for 1.4 of the 1.6 million jobs lost since 2007.

In 2012, the government implemented a labour reform, including measures to close the vast gap in benefits for temporary and permanent workers.

It has pledged a second labour reform, which is set to simplify the hiring process, as well as provide more incentives for companies to offer permanent contracts. The International Monetary Fund has called for further structural reforms in Spain’s labour market.

Fiscal issues can be a stumbling block for employers because the social security payments they have to pay for their staff are “excessive,” according to 29 percent of Adecco’s interviewees. Spain’s fiscal reform has addressed some of these issues.

For information on Spain’s jobs’ market, contact corporate law firm Argali Abogados.

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