Spanish Unemployment Tops Record, Rising At Fastest Rate In A Year

Tyler Durden's picture

In yet another worse-than-expected macro data point, Spain has just breached the 27% unemployment level - the highest since at least 1976, when data began following dictator Francisco Franco's death. At 27.2% this is already higher than the IMF's year-end estimate of 27% suggesting growth estimates are already overly optimistic. What is more concerning is the rate of increase in the joblessness is rising once again. The 1.1 percentage point rise is the largest in a year and 177,700 more households now have no actively employed members than a year ago. The greatest fear though, for European leaders and the Spanish people themselves, is the surge in youth unemployment. As we have noted a number of times in the past, the possibility of social unrest is exaggerated significantly by this number and at an incredulous 57.2% of under-25s out of work, Spain is closing in on Greece, according to official data, for the worst youth unemployment situation in Europe.



and youth unemployment is surging towards Greece's levels...


Meanwhile, as far as the world goes, none of that matters...


Charts: Bloomberg

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Dollar Bill Hiccup's picture

Another good reason to ... cut rates!

Because it works (for stocks and bonds) even while no one is working!

AU5K's picture

Work is so old fashioned.  Everyone should simply be provided for by the all knowing and all powerful State. 

Skateboarder's picture

A few units of monopoly money, a cup of overroasted failbucks coffee, a couple of jumbo jacks, and a few choomphone calls a day... in return for your soul.

Rubicon's picture

Lay-offs at Barcelona & R. Madrid

I am more equal than others's picture

They should apply the American model, move the long term unemployed to long-term disability benefits.  The 'real' unemployment rate would be much lower.  Man, if only the europeons would think like the amerikans. 

DeadFred's picture

Cut rates? Send them the BLS. That will solve their problems once and for all.

Banksters's picture

Fortunately, this is not, by definition, a depression, cough.  

eigenvalue's picture

The Spaniards are good at playing football. So just organise more football clubs and full employment will be achieved immediately.

BLOTTO's picture



They were good at playing football...did you see the Champions League results the past two days? Down to the last 4 teams...2 German teams against 2 Spanish club teams...

1st Leg Results

Bayern Munich 4.................Barcelona 0


Borussia Dortmund 4............Real Madrid 1


Those lopsided scores are actually really unheard of for Real and Barca...not to take away anything from the German side(s), but still...those two Spanish clubs are huge and talented, and they both got crushed.

Anyway, carry on...


Skateboarder's picture

The Bundesliga as a whole has gotten some great players over the last few years, especially BM and Dortmund.

BLOTTO's picture

For sure Skate.


Of course club teams have international players playing along with the domestic players and my post needs to be taken with a grain of salt a bit. But still, very surprising scores lines from Tues/Wed.

Skateboarder's picture

Almost along the lines of Japanese-style dishonor for Spaniards to lose that bad!

Haus-Targaryen's picture

Stern des Südens 


Also I'd like to throw a few fuck fuck you's out to DVD, Real Madrid, anyone whos last name ends in Z or O, Barcelona, Chelsea (from last year you cunts), Theon Greyjoy, Cercie Lannister and Ben Bernanke.  

e-recep's picture

i think both teams have payment problems. the players are not getting what they were promised ON TIME. hence the miserable results. their lack of motivation is so obvious.

Shevva's picture

It's hotting up over here in the EU temp. wise, next end of footie season, then you have a lot of hot bored unemployed people on your hands.

schnydz's picture

The domestic and international unions will give them something to do. 

maneco's picture

At least Spanish government statistiscs don't lie! That yield spread vs unemplyment rate gap is definitely not sustainable and I think we can safely say which one will close the gap eventually.

asteroids's picture

All governments lie. There's no penalty for doing so. Just imagine what the real unemployment numberr is.

maneco's picture

Maybe I should have said that the Spanish government is not as blatant as the U.S. or U.K. government when it comes to lying about unemployment.

Dr. Engali's picture

They should probably seed their sovereignty to Germany. ... Oh wait..

GetZeeGold's picture



When you run out of other peoples money you've got to expect to lose a little sovereignty.

Ancona's picture

Even with all of the "government safety nets" we have here in the USA, if we had unemployment levels like this, our cities would all be on fire, and martial law would have long ago been declared.

Fuck you Bernanke.

williambanzai7's picture

The Spaniards could learn a thing or two from the BLS.

Mercury's picture

When numbers like these don't matter, why go through the bother of fudging them?

knukles's picture

Hell, our inner city unemployment rates are already over 127.5% and growing. The only things keeping the lid on are EBT cards, sec 8, drugs and a well armed populace.
Keep guns free and let God sort out the problems... Or for you atheists, let the Mass Darwin Awards begin

newworldorder's picture

We can count on you for a few chuckles throughout the day. Keep it up.

At a practical level however, I am wondering as to what it will take in the EU periphiral counties to wake up. At some point you have to have work that will pay you a sustainable wage.  The EU is playing a very dangerous game. NO?

williambanzai7's picture

I had a brief conversation with a youngish Spaniard who manages a restaurant in HK.

I asked him what was going on back home and his response was pure misery. All the young adults want to leave. Problem is where do they go? To be laborers in South America? So they wind up being despondent.

You can't get a loan from a bank to start a new business and there is so much corruption at the local level that the idea is an extravagant fantasy.

Not a pretty picture at all. 

LawsofPhysics's picture

Say what you will but when fruad becomes the status quo, possession becomes the law and local corruption=free market.  People will do whatever it takes to survive, period.  If you built a productive business that provided a product of real value, yet politicians allowed society to collapse because of state mal-investment and mis-allocation of resources and capital what would you do?  I sure as hell would take matters into my own hands as well.  People tell this in not very compassionate, guess what, life is fucking hard, period, compassion without accountability always ends in "unforeseen" disasters.  Look at India, one man's corruption is another man's income, much like one man's debt is another man's asset.  Has been this way for a long long time.

ronaldawg's picture

Corruption is a Spanish Thang - especially in latin america.

newworldorder's picture

Excellent observation from "on the ground." WilliamBanzai7

 Problem is where do they go?

That is the ultimae question? Where do the unemployed of Europe and for that matter the world go?  For centuries men from the EU periphery traveled the world in search of jobs. The EU was supposed to bring a new prosperity to Europe. Without that in the form of jobs, what good is the new Europe?

Mercury's picture

Clearly a positive for sovereign debt service.

stateside's picture

Spain is closing in on Greece, according to official data, for the worst youth unemployment situation in Europe.

Hmmmm.......interesting.  Both Greece and Spain desparate for revenue and jobs yet both countries have been bought by the environmental nazis.  Eldorado can't get permits to develop their two gold mines in Greece and Astur Gold can't get their permit to develop their gold mine in Spain.  Wouldn't you think government officials would be begging for revenue and jobs?  I guess not if it involves gold.


observer007's picture

Euro Collapse Explained in 3 Minutes


maybe old, but its still funny:

forwardho's picture

Thanks! One must find humor where one can in this.

q99x2's picture

No work is good work.

Bearwagon's picture

There's no business like no business.

RougeUnderwriter's picture

Spain - the 51st state. We'll need another star on the flag

Sandmann's picture

It is interesting you mention Franco. it is evident that there is no way the "democratic" parties - the once riddled with corruption - are going to get these people back to work. It looks as if the return to Caudillo politics is on the cards. Europe is going back into its past but this turbo-charged attempt to escape from its history has backfired and recreated the conditions of the past post-1918

The Black Bishop's picture

Disillusioned youth. Yes, that sounds like a good and stable state. Europe in flames in 3....2....1...

Dr. Engali's picture

These unruly youths are going to need something to occupy their time. I wonder what TPTB have in mind.

The Black Bishop's picture

I have a business idea I would like to share. The flat-packed easy to assemble guilloutine! Something every youth should have! Cheaply made in China and sold non-profit in Spain, Greece and Cyprus for starters. Just short their bonds and you'll all make a killing!

Mototard at Large's picture

Sounds like a great plan.  You should submit some drawings to IKEA.  Your idea, Swedish steel for the blades, Canadian lumber exported to China for the frame and cheap Chinese labor to manufacture it.  Then Swedish experience for the distribution network as it is shipped back to Europe on a Danish owned shipping network (Maersk).

Everyone wins!

trollin4sukrz's picture

Moar War will fix everything. Crash Smash Boom, we win!

Bourbonite's picture

The Spanish youth must collectively be smoking some mighty fine weed to stay this cool. Maybe the trigger point for riots and rampage is 35-40%, but as is the case in most of Europe the youth are still too comfortably numb, dumb and unfocused, and generally believe the shit they consume in the msm.

AynRandFan's picture

The entitled generation think nothing of it.  After all, nobody is taking away their collective rights to a share of redistributed wealth, and they are taught that's all that matters.  Liberty?  What's that?

Treason Season's picture

Moroccan hashish otherwise known as "chakollate'"

LawsofPhysics's picture

Yields go down for a country that has 27% unemployment for people who should be entering the most productive phase of their lives?  Yeah this should end well.