A mass regularisation process in canarias has resulted in the emergence of 11,329 jobs previously part of the informal economy, while 16,194 jobs were created in other sectors within the social security system as of July. The total number of individuals registered with social security in canarias now stands at 961,638, representing an increase of 27,523 jobs compared to the same month last year.
This growth, however, must be viewed in light of the extraordinary regularisation process for migrants. Approximately 60% of the new registrations over the past year are attributed to this initiative, which has integrated individuals who were previously part of the informal economy into the social protection system.
Impact on employment figures
When comparing figures to June, the situation appears different. There was a loss of 14,622 social security registrations last month, which was partially offset by the 11,329 new registrations from the regularisation process. Consequently, the net monthly result reflects a loss of 3,293 jobs compared to June. This indicates that the month did not witness a significant creation of new jobs, but rather the formalisation of existing employment.
The regularisation process transforms previously invisible employment into legally recognised jobs, enhancing workers' rights and strengthening the social security system through an increased number of contributors. This trend is mirrored across Spain, showcasing the structural impact of this measure on labour statistics.
Unemployment trends
The registered unemployment in canarias now stands at 144,168 individuals, a decrease of 4.6% compared to the previous year, although it remains above the national average. In contrast, the monthly trend is less favourable, with an increase of 1,759 unemployed individuals since June, breaking the declining trend observed in recent years.
Particularly among the non-EU foreign population, the results show a significant variation, with 1,014 more individuals unemployed than a year ago, marking a 6.82% increase, contrasting with the overall decrease of 4.6% in registered unemployment. This rise does not necessarily indicate job losses within this group but rather reflects that many newly regularised individuals are registering as job seekers for the first time, gaining access to the rights provided by the public employment system.
Sector-specific insights
In terms of sector performance, the educational sector has been a major contributor to job losses, particularly due to the end of the academic year, which resulted in a reduction of 9,068 social security registrations in education-related activities. This seasonal trend significantly impacts the overall labour market.
Conversely, the hospitality sector saw an addition of 2,114 jobs since June, while the retail sector added 1,797 jobs, despite facing challenges in job creation this year. The extraordinary regularisation process has also contributed to mitigating the impact of job losses in other sectors.
Since January, the audiovisual sector has shown significant growth, alongside construction and activities related to water and waste management. The audiovisual sector has increased its registrations by 10.3%, becoming the fastest-growing area in canarias, albeit still representing less than 1% of total employment.
Future considerations
The regularisation process represents a substantial advancement in labour and social rights, allowing thousands of individuals who were already economically active to emerge from the informal economy and join the formal job market. This transition enhances social protection and improves working conditions while expanding the contributor base for social security.
However, the data for July highlights the ongoing reliance of the labour market on seasonal cycles, particularly evident in the educational sector's job losses. This dependency underscores the need for a more diversified economic structure that is less susceptible to seasonal changes. To foster a more resilient labour market, it is essential to strengthen economic diversification policies and align public resources with sectors poised for future growth, such as audiovisual production, circular economy, and renewable energy.
