unemployment

A day after the President of the Catalan Government and leader of the centre-right pro-Catalan State coalition CiU, Artur Mas, announced his plan to further develop the so-called state structures before the 27 September elections, the leader of the left-wing Catalan independence party ERC, Oriol Junqueras, has once again requested to be part of the Executive and sit in Cabinet. Junqueras justified his request in order “to guarantee the indispensable state structures”, such as Catalonia’s own tax administration and Social Security system. The embryonic frame of such structures should be created before the next Catalan elections, which will be called early and will be transformed into a ‘de facto’ referendum on independence from Spain. On Tuesday, Mas had already ruled out the possibility of the ERC sitting in Government and, on Wednesday, the Catalan President stressed that the current Cabinet will only be in office for the next 6 months.

Registered unemployment in Catalonia grew by 6,821 people by the end of January, compared to figures from December. However, it is the lowest increase since 2007 for a month in which many seasonal contracts related to Christmas sales end. Furthermore, more good news comes in the form of the 8.06% drop in annual terms posted in January and the fact that registered unemployment has been decreasing for the last 19 consecutive months in annual terms. However, registered unemployment has also been increasing in monthly terms for the last 3 consecutive months (November, December and January). In the whole of Spain, registered unemployment increased by 77,980 people compared to a month ago, also the lowest increase for this time of year since 2007.

Catalonia posted a 19.88% unemployment rate at the end of 2014, almost 4 percentage points lower than the rate for the whole of Spain, which was 23.70%. On 31 December 2014, there were 756,500 unemployed people in Catalonia, which represents 83,000 less jobseekers than a year ago, according to the Spanish Statistics Institute (INE). Despite the positive annual results, unemployment increased by 30,500 people in quarterly terms, compared to figures from the end of September 2014. Back then, Catalonia's unemployment rate was 19.10%. In terms of jobs, the Catalan economy ended 2014 with 49,300 more people in employment than at the end of 2013, reaching 3,048,100 workers. The Catalan Government is said to be "moderately optimistic" with the figures and highlighted that both 2014 and 2013 ended with less unemployed in annual terms, accumulating two consecutive years of decreased numbers.

The Spanish Prime Minister, Mariano Rajoy, who is also leader of the conservative and Spanish nationalist People’s Party (PP), strongly criticised the announcement of early elections made by the Catalan President, Artur Mas, the evening before. Mas announced elections in Catalonia for 27 September this year, transformed into a ‘de facto’ referendum on independence. These elections are the only way Catalans can vote on this issue, taking into account the Spanish Government’s total opposition to even talking about self-determination demands, which were backed by an absolute majority of citizens in the last Catalan elections (held in November 2012) which themselves were already a plebiscite on having a legal vote on independence. However, as opposed to the British Government, Rajoy refused to even discuss these demands, has not made any concessions, and has showed total opposition, which has even involved the criminal prosecution of the Catalan President.

The President of the Catalan Government, Artur Mas, assessed on Tuesday the Executive’s work during 2014, which he found to be “positive” overall, although he admitted there are still many people in great need and many social and economic challenges ahead. Referring to the current debate on whether to call early elections transformed into a ‘de facto’ referendum on independence from Spain, Mas promised immediate decisions to be announced on Thursday. Before taking the definitive decision and after weeks of admitted “confusion”, the Catalan President wants to hold a last round of talks with the main civil society organisations supporting independence and the left-wing pro-independence party ERC – with whom the governing centre-right pro-Catalan State coalition CiU has shared a parliamentary stability agreement for the last 2 years. “I will not slack” in the self-determination process, Mas stated.

At the end of 2014, there were 575,948 people registered with the Catalan Public Employment Service (SOC) as being unemployed, according to figures released this week by the Spanish Ministry of Employment and Social Security. This represents 48,924 fewer jobseekers than were on the register at the end of 2013; a 7.83% drop achieved during the last 12 months. During 2014, registered unemployment dropped by 5.39% in the whole of Spain. There were 4,447,711 people registered as unemployed throughout the country, which represents 253,627 fewer jobseekers than a year ago, the largest reduction in unemployment since 1998. 

“Unity gives us strength as a country”, stated Artur Mas, President of the Catalan Government, in the New Year’s official speech, which is broadcast annually on 30 December. Mas emphasised that “the [Spanish] State wants us to be divided”, because this way “we are weaker and more vulnerable”. The Catalan President makes this statement in the middle of the talks he is carrying out with the opposition left-wing independence party ERC in order to decide whether to run together in early elections that should be transformed into a ‘de facto’ independence referendum. However, the left-wing ERC is reluctant to run with Mas and members of the centre-right pro-Catalan State coalition CiU, which he leads. In his address, Mas also spoke in praise of the symbolic independence vote held on 9 November, which was “an exercise of democracy”, which “should call for dialogue and negotiation, instead of criminal prosecutions”.

The Catalan economy grew by 1.5% at the end of the 3^rd quarter of 2014 in annual terms, while at the end of June it was growing at a rate of 1.3%. Catalonia has therefore accumulated 4 consecutive quarters with positive annual economic growth. However, although the economic recovery has slowed somewhat, growth remains positive, as other figures show. In quarterly terms, Catalonia’s GDP increased by 0.3% between July and September, which represents a drop from the 0.5% growth registered for April – June and also for January – March. Meanwhile, in Spain as a whole, the economy grew by 1.6% in annual terms at the end of September and by 0.5% in quarterly terms. The European Union is posting the same growth rates as Catalonia: 1.5% in annual terms and 0.3% in quarterly figures.

Joan Herrera, the leader of the Catalan Green Socialist and post-Communist coalition ICV-EUiA, also held his own conference on Catalonia's political future and self-determination road map, after those of the Catalan President, the Spanish Prime Minister and three other political leaders. Despite supporting Catalans' right to vote on independence, Herrera rejected exclusively voting on independence, since after years of budget cuts and corruption scandals, citizens also have to vote on social issues and measures to clean up the democratic system. Herrera strongly criticised the austerity measures approved by the centre-right pro-Catalan State coalition CiU and the People's Party (PP). The ICV-EUiA does not have an official position regarding independence and about half of its leadership and voters would support it, while the other half supports greater powers for the Catalan Government within a federal Spain.

The President of the Left-Wing Catalan Independence Party ERC, Oriol Junqueras, has explained his own road map to allow citizens to vote on independence from Spain and build a new state. Junqueras proposed running in immediate early elections through different pro-independence lists with shared elements and opened to independents, in order to respect diversity. The ERC leader differed from the proposal of running through a single electoral list made by the President of the Catalan Government and leader of the centre-right pro-Catalan State coalition CiU, Artur Mas. Junqueras insisted on the need to answer to the social and economic concerns of many citizens in addition to those about independence. Should they altogether obtain a majority, the different pro-independence candidatures should form a national unity government and start building the new state from day one. He particularly emphasised the need to include those who did not voted for independence in the constituent process, which should be finally ratified in a referendum.

According to the Spanish Ministry of Employment and Social Security, the number of unemployed people registered in Catalonia stood at 581,652 in November, representing a decrease of 0.93% since October, with 5,481fewer people without jobs. In terms of the unemployment data, last November was the best one in Catalonia since the data series began in 1996, 18 years ago. In annual terms, unemployment is down again and marks 17 consecutive months of decreases, though with the November decline this makes it an -8.8% decline this year, the most extreme fall since June 2000 (which was -9.25%). Across the whole of Spain, November has also shown the best unemployment figures on historical record, with 14,688 less people unemployed. Within Catalonia, unemployment fell in Barcelona and Lleida, but increased in Girona and Tarragona. 

According to official data released by the Catalan Ministry of Economics and the Statistical Institute of Catalonia (Idescat), the Catalan economy grew by 0.5% between and July and September 2014, the latest in six consecutive quarters of positive economic growth. A signal that the recession is far left behind. The whole of Spain also grew by 0.5% in the same 3 months. In annual terms, Catalonia's GDP has grown by 1.8%, mainly thanks to the boost by the services sector,which has demonstrated an annual growth of 2.4%. The sector of industry grew by 1.5% and those of construction and agriculture decreased by -2.6% and -1% respectively. Idescat’s previous predictions for 2014 quarters has been reviewed: the 0.5% initially estimated for the first quarter increased to 0.7%, while the 0.6% for the second quarter dropped to 0.5%.

Catalonia’s registered unemployment figures for October have been released by the Spanish Ministry of Employment and Social Security, and while they have increased it is the lowest rise in four years. The number of people registered at the Catalan Public Employment Service (SOC) stood at 587,133 people in October, a rise of 1.97% since September, with an increase of 11,321 people. This October increase is the lowest in four years according to the Ministry series, which began in 1996. Compared with October last year, the number of unemployed people in Catalonia decreased by 7.37%, equivalent to 46,699 people. Since July 2013, this represents 16 consecutive months of annual decreases. In the whole of Spain, there were 4,526,804 people unemployed in October, 79,154 more than in September. Across Catalonia, unemployment increased in monthly terms in all four provinces, but decreased throughout in annual terms. The Catalan Government "confirms positive trend" in employment.

Figures released by the Barcelona Chamber of Commerce on Monday showed that the economy of Catalonia is set to grow by 1.6% in 2014 and 2.1% in 2015. The Chamber also predicted that by 2015, there will be a 2% rise in Spain’s GDP and 1.4% in that of the Eurozone countries average. According to the President of the Chamber, Miquel Valls, the recovery of Catalan and Spanish economies is "solid", but he stressed that the "austerity in wages" must be maintained. This report comes after the success of all Catalan banks passing the stress tests issued by the European Banking Authority and the European Central Bank, which 25 banks across Europe failed. Related economic news is that the unemployment figures released for third quarter of 2014 set Catalonia’s rate at 19.1% and Spain’s at 23.67%.

Spain's unemployment rate at the end of the third quarter stands at 23.67%, according to the latest Active Population Survey (EPA). The unemployment rate for Catalonia has fallen below 20% for the first time in the last 3 years and is set at 19.10%. The number of unemployed people in Catalonia has dropped by 44,400 in the third quarter of 2014, a decrease of 5.76% compared to the previous quarter. This is the biggest reduction since at least 2002, when the Spain's Statistical Institute began the series. Thanks to the creation of 69,100 new jobs in Catalonia over the last 12 months, there are now 34,800 more people employed in the third quarter. This makes Catalonia have the second highest unemployment drop in Spain, second only to Madrid Region (-48,200 people). The Catalan Minister for Business and Employment, Felip Puig, has called the figures are "encouraging" and "hopeful", although a 19.1% rate is still "very high".