Spain’s unemployment rises above expectations in Q1 2026

The number of unemployed increased by 231,500 to 2.71 million, reflecting a typical seasonal rise following the end of the holiday period. Employment declined by 170,300, bringing the total number of employed persons to 22.29 million, with the services sector accounting for the bulk of losses, shedding 228,400 jobs, while industry added 28,100 positions.

Despite the quarterly setback, the broader trend remained positive, as unemployment fell by 80,600 compared to the same period last year, while the labor force participation rate stood at 58.86% amid an annual increase of 447,000 in the active population.

Annual employment growth remained strong, with 527,600 jobs added over the past 12 months.

Sectoral data showed mixed dynamics, with gains in industry, construction and agriculture offset by a sharp contraction in services. Unemployment also increased across most sectors, particularly in services.

The labor force expanded by 61,200 people during the quarter to 25 million, indicating sustained participation in the job market.

Gender disparities persisted, with the female unemployment rate reaching 12.35%, compared to 9.47% for men.

Regionally, the Canary Islands recorded the highest job growth, while Catalonia posted the steepest employment decline and the largest rise in unemployment.

Despite short-term pressures, the overall outlook points to continued resilience in Spain’s labor market, supported by steady job creation over the past year.

Earlier, Qazinform News Agency reported that Japan’s unemployment rate rose to 2.7% in January from 2.6% in December, marking the first increase in five months, according to government data released in March. The rise was largely attributed to a growing number of workers voluntarily leaving their jobs in search of better pay and improved working conditions.