Business

coronavirus destroys 623,000 jobs and leaves 528,000 more unemployed in 2020

EPA results: Coronavirus destroys 623,000 jobs, leaves 528,000 more unemployed in 2020

The impact of the covid-19 pandemic on the labor market in 2020 resulted in the destruction of 622,600 jobs and raised the unemployment rate by 2.35 points, to 16.1%, with 527,900 more unemployed . Despite the bad year for employment due to the pandemic, in the fourth quarter, the evolution was favorable compared to the third, with 167,400 more employees, up to 19.34 million, and 3,100 less unemployed, or 3,719,800 , according to the Labor Force Survey (EPA) released this Thursday by the National Institute of Statistics (INE). However, rising unemployment and falling employment reflect the worst annual data from the LFS since 2012.

In annual terms, the labor force has fallen by 94,700 people, who have stopped working and are not looking for work, which is why the destruction of jobs has been greater than the increase in unemployment. It must be taken into account that the persons concerned by a temporary work regulation file (ERTE) with suspension of employment, according to the methodology of the Statistical Office of the European Union (Eurostat) and the International Organization of work (OIT) that applies in the EPA, they are considered occupied. Rising unemployment in 2020 ends a seven-year streak of decline. In the case of employment, it has been growing for six years, since 2014, but the figure for 2013 (-204,200 jobs) is better than that known in the year of the coronavirus.

The private sector and services, the most affected

These figures were reached after a fall in unemployment of 3,100 people in the fourth quarter of 2020 (-0.08%), its worst record since 2017, and an increase in employment of 167,400 people (+ 0.87%), its higher fourth quarter growth since 2004 despite the second and third waves of the pandemic. The creation of 737,100 jobs in the second half of the year recovered 55% of the jobs lost in the first half of 2020. The average annual unemployment rate stood at 15.5% last year, improving the government’s forecasts.

All the jobs destroyed in 2020 belonged to the private sector, where 748,400 jobs disappeared (-4.4%), unlike the creation of 125,800 jobs in the public sector (+ 3.8%). Thus, 2020 ended with 15.9 million people employed in the private sector and 3,379,100 workers in the public sector. In 2020, employment fell in all economic sectors, in particular in services (-537,100 jobs) and in industry, where 70,100 people were lost. For its part, the number of active workers decreased by 94,700 people in 2020, 0.4% compared to 2019, when the Spanish working population consisted of 23,064,100 people, of which 19.34 million were employed and 3.71 million unemployed. In the last quarter of last year, the volume of assets increased by 164,300 people (+ 0.7%), placing the participation rate at 58.19%, half a point lower than in 2019 .

* If you found this article interesting, we encourage you to follow us on TWITTER and subscribe to our DAILY NEWSLETTER.

HRDigital

Back to top button