Labour scarcity and labour market policies: A comparative analysis
Labour market
Fecha: septiembre 2024
Miguel Ángel Malo
SEFO, Spanish and International Economic & Financial Outlook, V. 13 N.º5 (September 2024)
Labour shortages have become an increasingly pressing issue across various sectors and occupations since the COVID-19 pandemic, with significant economic implications. In 2023, unfilled vacancies in Spain rose by 44% compared to 2019, resulting in an estimated loss of €8.15 billion in GDP. These shortages stem from three main sources: temporary demand-driven spikes, long-term supply shifts due to demographic changes, and mismatches in skills and geography. The impact of these shortages is felt across all levels of the workforce, from high-skilled ICT and health professionals to lower-skilled roles in hospitality, construction, and agriculture. Going forward, there is a need for targeted measures to improve skill matching and address long-term structural challenges, such as population ageing and the digital transition. While Spain’s regional public employment services are implementing various initiatives, a more coordinated and sector-specific approach is needed to effectively tackle labour shortages and enhance labour market efficiency.