The aging of the population and its effects on the Spanish labor market
With the preparation of this work, Corporación 5 has the objective of analyzing the impact of the aging of the population on the Canary Islands labor market.
To do this, forecasts will be made on the unemployment rate in the Canary Islands in the short and long term, based on the population projections published by the INE and the CEOE report called “The aging of the population and its effects on the Spanish labor market.”
CONCLUSIONS
The main conclusion is the fact that, taking into account the aging population, The unemployment rate that would be reached in Spain between 2023 and 2025 (7.5%), in the Canary Islands would not be achieved until years after 2030.
Furthermore, the pace of growth of the economy and, therefore, of employment must be higher than estimated, but for this to be possible it is necessary to eliminate obstacles to new productive activities that allow increasing the productivity of the existing business fabric.
RECOMMENDATIONS
The reduction in the rate of population growth and its aging lead to a reduction in the active population.
As there are fewer people of working age and more and more elderly people, a problem arises that revolves around sustainability of the pension system and to the increase of social and health cost.
You must open a debate on possible solutions to improve the sustainability of the Spanish pension system, as well as on the economic impact that the aging of the population will have, not only on pensions, but also on the health, care and educational system.
REPORT
For more information, access the full report here:
