Balearic Islands have recorded historic figures in social security affiliation and unemployment reduction during the month of August, consolidating the full employment in the region. According to official data, the region reaches 666,940 social security affiliations, a 2.2% increase compared to a year ago, while unemployment stands at 25,968 people, which represents a year-on-year decrease of 7.6%, 0.3 points higher than that registered in July.
This means that the annual unemployment reduction rate in the Balearic Islands remains above the Spanish average, which stood at -5.6%.
“These are historic figures that consolidate the Islands in a situation of full employment and with the best labour results for a month of August,” stressed the regional minister for Labour, Public Function and Social Dialogue, Catalina Cabrer.
The Balearic archipelago also leads job creation across all economic sectors. The construction sector shows a year-on-year drop in unemployment of 13.1%, industry 5.5%, and the hospitality sector recorded a reduction of 8.8%. Cabrer noted that “we must wait until the end of the season to accurately assess the evolution of the hospitality sector.” Despite complaints from the sector about a less intense campaign than expected, the minister stressed that “the data show a reduction in unemployment and significant job creation, and the current figures do not reflect that negative perception.”
All the islands report year-on-year drops in unemployment: Mallorca has 22,048 unemployed people (-8.3%), Menorca 1,590 (-4.7%), Eivissa 2,261 (-1.8%) and Formentera 69 (-25%), the largest relative decrease.
Fall in recruitment
During August, 26,201 contracts were signed, of which 16,186 were permanent, representing 62% of the total, well above the national average. The remaining 10,015 contracts were temporary. However, this represents a year-on-year fall of 12.7% compared to August 2024 and almost 0.5 points more than last July, when the decrease was 8%.
“Despite the good dynamics of our labour market throughout the summer, the sharp drop in new contracts is significant, as a result of the lower turnover that various business sectors have been reporting,” said the president of the Confederation of Business Associations of the Balearic Islands (CAEB), Carmen Planas.
In addition, the special regime for self-employed workers (RETA) has more than 107,000 affiliations, about 16% of the total, almost double the Spanish average.
Overall, the data reflect a solid labour market in the Balearic Islands with full employment, although with less dynamism in the creation of new contracts, a sign that some sectors are adjusting their activity to the lower turnover observed during the season.
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