Malaga ends Year with Record Employment and Fall in Unemployment

Malaga Ends the Year with Record Employment and Decreased Unemployment

Malaga has closed 2024 with impressive employment figures. The province now has a total of 743,100 employed individuals, the highest number ever recorded at the end of the year, according to the latest figures from the Active Population Survey (EPA). This increase in employment is largely attributed to the strength of the services sector, which continues to grow even in the off-season and now accounts for 82.7% of all jobs in the province. This is a 0.3 percentage point increase compared to last year.

With unemployment dropping by 33,900 people in the fourth quarter of 2024, the unemployment rate stands at 12.76%. This is nearly four percentage points lower than the rate a year ago, underscoring the positive trend in the regional labor market. Unemployment did rise slightly compared to the previous quarter (an increase of 2,300 jobless individuals), but remains significantly lower than in the same period last year. The number of unemployed at the end of 2024 is the lowest since the economic recession of 2007.

Growth Across Various Sectors

The employment growth is not just limited to the services sector but is also evident in other areas. In October, November, and December, the number of employees in the services sector increased by 15,200, reaching a total of 614,400. This is a clear rise compared to the same quarter in 2023. The construction sector has also continued to grow, distancing itself from the industry as the second-largest sector in Malaga’s labor market, with 65,400 employees (an increase of 4,100).

The agricultural sector also saw modest growth, adding 1,500 employees, bringing the total number of workers in agriculture to 17,100. Meanwhile, the industrial sector experienced a slight decline, with 4,300 fewer workers, bringing the total number of employees in industry to 46,200.

Although the total number of employed individuals at the end of 2024 is 743,100, it still falls short of the record set in the third quarter of 2024, which reached 775,000.

National and Andalusian Unemployment Figures

On a national level, Spain saw a significant decrease in unemployment in 2024, with 265,300 fewer unemployed individuals, a 9.3% decrease compared to 2023. Employment increased by 468,100 jobs (a 3.8% rise), ending the year with a record 21,857,900 employed people and fewer than 2.6 million unemployed individuals.

The reduction in unemployment in 2024 was greater than in 2023 (-193,400 unemployed) and 2022 (-79,900), though it was not as significant as the dramatic drop in 2021, when the return to normalcy following the pandemic led to a decrease of over 600,000 jobless individuals. In terms of employment, the 468,100 new jobs created in 2024 is less than the 783,000 created in 2023 but higher than the 278,900 jobs added in 2022.

Meanwhile, Andalusia also saw a notable decline in unemployment in 2024, with 74,800 fewer jobless individuals, a 10.3% decrease compared to 2023. Employment in the region rose by 86,100 jobs (+2.53%), ending the year with 3,488,500 employed individuals and fewer than 652,700 unemployed people at the end of the fourth quarter. In the final quarter of the year, the number of unemployed in the region dropped by 17,700, and the unemployment rate stands at 15.76%.

These figures represent the lowest unemployment rate in a fourth quarter since 2007. Since the beginning of the INE data series, Andalusia’s unemployment in the fourth quarter has most often decreased (14 times), while it has risen nine times, with the most recent decline being the smallest since 2022.

Conclusion

Malaga’s labor market continues to thrive, with a record number of employed individuals and a significant drop in unemployment. The province’s recovery in the services sector and growth in the construction sector provide a strong and diverse employment foundation. While there is still room for improvement, especially when compared to the national unemployment average, the region offers opportunities for both job seekers and investors. 2024 ends on a high note, and the outlook for 2025 remains positive.

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