In August, the Canary Islands recorded a notable drop in unemployment, reaching its lowest level for this month since 2007. The number of registered unemployed fell by 443 people compared to the previous month, resulting in a total of 163,045 unemployed individuals. This decline represents a 0.27% reduction, marking the fourth consecutive month of decreasing unemployment in the region, according to data from the Ministry of Labour and Social Economy.
Regional Trends and Sectoral Breakdown
The Canary Islands led Spain in absolute terms for the most significant reduction in unemployment, followed closely by Extremadura (-365) and La Rioja (-130). In contrast, regions such as Catalonia, the Valencian Community, and the Basque Country experienced significant increases in unemployment, with Catalonia alone seeing an additional 8,707 unemployed people.
The unemployment decrease in the Canary Islands represents the most significant drop for a month of August in 17 years, highlighting a consistent downward trend in joblessness. This marks the 21st instance since 1996 that unemployment has fallen in August within the region, contrasting with seven instances of increases over the same period.
Annual Overview and Sectoral Changes
Over the past year, the Canary Islands have seen a cumulative decrease in unemployment by 9,884 people, equating to a 5.7% reduction. This downward trend is evident across multiple sectors:
- Services: The sector experienced the most significant reduction, with 319 fewer unemployed (-0.25%).
- Agriculture: Unemployment fell by 93 people (-3.18%).
- Industry: A reduction of 36 unemployed persons (-0.6%).
- Construction: This sector, however, saw an increase of 101 unemployed (+0.69%).
Gender and Age Demographics
Out of the 163,045 unemployed individuals, 94,274 were women, with a slight reduction of 173 people (-0.2%). Meanwhile, the number of unemployed men stood at 68,771, reflecting a decrease of 270 individuals (-0.4%).
Youth unemployment (under 25) in the Canary Islands increased slightly in August, with 137 more unemployed individuals (+1.7%), while unemployment among those aged 25 and over fell by 580 (-0.37%).
Provincial Differences and Recruitment Dynamics
Both provinces in the Canary Islands recorded declines in unemployment figures, with Las Palmas experiencing the most significant reduction (-298), followed by Santa Cruz de Tenerife (-145).
In terms of recruitment, the Canary Islands saw a 6.6% increase in new contracts in August compared to the same month last year, totaling 56,739 contracts. Of these, 23,408 were permanent contracts, representing a slight decline of 0.6%, while 33,331 were temporary contracts, showing a 12.4% increase. Temporary contracts accounted for 58.74% of all contracts, while permanent contracts represented 41.26%.
National Context
Nationally, unemployment in Spain rose by 21,884 people in August, marking a 0.8% increase. This is the lowest August rise since 2016 and brings the total number of unemployed people in Spain to 2,572,121. Despite the rise, this figure represents the lowest unemployment level for August since 2008.
Unemployment fell in agriculture (-2.6%) but rose in services (+1.1%), construction (+2.1%), and industry (+1.5%). Female unemployment increased by 10,913 women (+0.7%), while male unemployment rose by 10,971 men (+1.09%).
Overall, the data indicate a positive trend for the Canary Islands, with sustained decreases in unemployment over recent months. However, challenges remain, especially for specific sectors and demographics, such as youth and female workers. The region’s strong performance contrasts with national trends, offering a measure of optimism amid broader economic uncertainties.
