Along with Greece, Bulgaria and Lithuania, Spain faces a ‘critical situation in terms of income inequality’, according to the draft 2018 Joint Employment Report, which uses data from 2016 and early 2017.
The wealthiest 20% of households in the country received an income share 6.5 times that of the poorest 20%, compared to an average of 5.1 times across the union.
Unemployment ranges across the EU, from 3.1% in the Czech Republic to 17.3% in Spain and 21.6% in Greece.
But Spain is still suffering from chronic youth unemployment, sitting at 40%, compared to an EU average of 18.7%.
Meanwhile, more than 70% of young workers in the country are working under a temporary contract (compared to only 13.1% for workers aged 25-49).
Spain’s youth situation has been described as ‘critical’ because almost 20% of young Spaniards leave school early, compared to the EU average of 10.7%.
Spain was praised for having a quicker-than-average drop in the unemployment rate and shortening of the gender pay gap.