Temporary employment in the Balearic Islands has fallen by 53% over the last seven years, dropping from 83% in 2019 to 30% in 2025. This is according to the report Quality of Employment Growth in the Balearic Islands, presented by the Vice-President and Regional Minister for Economy, Finance and Innovation, Antoni Costa, and the Director General for Economy and Statistics, Catalina Barceló.
The study shows that the Balearic labour market has an average of 584,875 people registered with Social Security in 2025, 14.4% more than seven years ago. In addition, permanent contracts have tripled during this period, rising from 85,400 to 263,200. They now account for 70% of the total, a figure that has remained stable for the third consecutive year.
According to Costa, these figures show that the labour market in the Balearic Islands remains “robust and dynamic”, with a “higher-quality” employment model and greater job stability.
Construction and hospitality lead the reduction in temporary employment
Construction and hospitality are the sectors that have contributed most to consolidating permanent employment since 2019. In construction, the percentage of permanent contracts has risen from 14% to 93% in just seven years. In hospitality, the increase has been from 18% to 85%.
“The construction sector has made the greatest effort to almost completely eliminate temporary employment,” Barceló highlighted.
Retail is also among the sectors that have contributed most to the growth of permanent hiring, although the report considers that there is still room for improvement.
Young people, lower-skilled workers and Ibiza record the greatest progress
Under-25s have seen one of the most significant changes in the Balearic labour market. The percentage of permanent contracts has risen from 13% in 2019 to 67% in 2025.
The report also reflects a particularly positive trend among workers with lower levels of education and among operational staff, two of the groups most affected by temporary employment before the labour reform.
By island, Ibiza leads the improvement. The percentage of permanent contracts has risen from 19% to 85% over the last seven years. In Menorca, the increase has been from 14% to 71%.
Remaining challenges
The study identifies several challenges for continuing to improve the quality of employment in the Balearic Islands. These include increasing permanent hiring among women, strengthening job stability in the retail sector and increasing the share of permanent contracts among workers with higher education.
Likewise, the report notes that Mallorca is the island that has contributed least to the reduction in temporary employment since 2019, meaning that it accounts for part of the remaining challenges for the coming years.
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