Spanish banking confirms solid profits hand in hand by layoffs

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Spanish banking confirms solid profits hand in hand by layoffs

Spain economy 2018

Spain economy 2018

According to an analysis made by Publico, the bank of Spain, it didn’t only have great utilities during last year, but also the performance it had accelerated the dismissals through different programs of unemployment that are known as ERE, Employment Regulation Files, a procedure where the Spaniard company, which is in a bad economic situation, wants to have the authorization for suspension or dismissal of workers.

ERE has in mind to guarantee some labor rights according to the legislation of Spain that is effective at the moment, but, in addition, it must prioritize the measurement of visible and formal unemployment, not only those that come out of an agreement between the company and the workers.

According to the analysis carried out during last year, banking has become one of the most productive sectors in terms of jobs, this was clearly seen between January and November last year, according to the statistical reports of the Ministry of Employment.

Banking’s input on unemployment

According to the report of the media, which was also signed by Eduardo Bayona, it can be read that between the months of January and November there were approximately 2.487 employees of banking entities dismissed, this equals those that add the small, medium and large businesses, as well as quadrupling the figure of the food industry and doubles it with the growth of the motor industry.

According to the analysis, the banking sector recovered between January and November of 2017 as the destruction of higher employment through the ERE that already in the year 2015 reached 3.723 layoffs.

However, it appears that there is a very important distortion that is not the reality of the seriousness of the dismissals that were provoked by Hispanic banking sector.

According to the explanations of the company, the financial system of Spain has kept the past eight years an average of more than 200 layoffs per week, although many of these are not in the statistics of the employment regulations because these are the ones that respond to the plans of voluntary departure which applied a few years ago.

By the year 2015, layoffs aside from the regulation, together with pensions records, came to haunt about 60% of all, this means 4.948 opposite of the 3.723, if they are crossed data of the Ministry of employment with the Bank of Spain NA, according to which added the company.

In the year 2008 and with the data of the Bank of Spain. In the eve of the crisis, the staff of the bank of the metropolis added around 278,301 workers; after eight years, this list was reduced to 194,283, which means 30.2% less.

Everything indicates that in the short term it will not improve for thousand of workers and collaborators the panorama of the industry, because according to the office the financial sector surpasses the number of the dismissals by ERE.

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