It could be the worst August since 2019, though seasonally adjusted data suggests 65,000 new affiliates
The sudden slowdown in the labor market in July – with 7,366 less than average subscribers – threatens to extend into August, in the middle of the summer season. Despite the good performance of the tourism sector in the summer months, the government expects the month of August to end with 187,000 donors.
According to the advance offered by the Social Security Department on Wednesday, this would be the biggest August setback since the same period in 2019, when nearly 213,000 affiliates were wiped off the map. In 2020, the data grew by 6,822, while in 2021 118,000 stores were lost.
Despite the expected decline, the total number of affiliates would remain above 20 million for the fifth month in a row. However, the technicians of the team led by José Luis Escrivá emphasize the affiliation data in seasonally adjusted terms, which reflects the trend of the system without taking into account the impact of the seasonality of the month, such as the summer campaign.
In these terms, the advance of the Executive indicates that the system will close in August with 65,000 new branches. As indicated by Social Security, the data is higher than the August average of the 2017-2019 period, which is about 28,000 new members. “With this new increase, 340,000 new jobs will have been added since the beginning of the year and 700,000 member companies since August last year, when pre-pandemic levels were reached,” they say.
From the executive, they also point to the improvement in the quality of employment observed in recent months as a result of the entry into force of the labor reform, with a shift in recruitment towards indeterminate formulas.
In concrete terms, 81% of the members had a permanent contract in August (12 percentage points more than in previous years). Among young people under the age of 30, the increase is 31 percentage points: from an average of 34% in August of the years 2015-2021 to 65% in August 2022. In total there are 1.6 million more members with an indefinite contract than in the pre-pandemic years.
As for ERTEs, the numbers continue to fall: workers in the ERTE ETOP process barely exceed 15,000, levels that are about half of those registered at different times in April and May.
The number of employees in the sectoral RED travel agency mechanism, in turn, stabilized just above 1,600, half the level recorded in May last year. One in two workers in ERTE ETOP and two in three in the sectoral RED mechanism have been partially suspended.
Source: La Verdad
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
