SPAIN’S labour market saw the unlikely combination of increasing both the number of people in work and the number of people out of work during the third quarter of 2025, according to fresh figures released by the National Statistics Institute (INE).
Between July and September, the number of workers increased by 118,400, reaching a record high of approximately 22.39 million.
Meanwhile, the unemployment rate also ticked upwards to 10.45% from 10.29% in the previous quarter, which had been the country’s lowest recorded rate since 2008 – the year of the financial crash.
Around 60,000 people lost their jobs, bringing the total number of people out of work to about 2.61 million.
The unemployment rate of 10.45% is Spain’s lowest for a third quarter since 2007, but remains stubbornly high when compared with the European average of under 6%.
Meanwhile, the number of people either in work or actively seeking work exceeded 25 million for the very first time, fuelled by a 0.7% increase compared to the previous quarter – equating to around 178,500 people.
The rise in the number of workers was supported by strong increases in health and social services (+112,700 jobs), administration (+47,500), arts and entertainment (+35,700), manufacturing (+33,600) and construction (+32,600).
READ MORE: Spain’s unemployment rate has surprise September fall with lowest total for 18 years

However, employment growth in the third quarter is the smallest gain since 2019, suggesting that job creation is slowing down.
Education saw a big drop-off with 174,400 fewer workers, reflecting seasonal trends, while the number of people employed in information and communications (-39,100) and agriculture (-17,400) also fell.
This quarter’s figures also shine a light on Spain’s widening gender divide.
The number of unemployed men fell by over 22,000, bringing the male unemployment rate below 9%.
But the number of women out of work increased by 82,700, pushing the female unemployment rate up to 12.11%.
On a year-on-year basis, employment in Spain has risen by 564,100, equating to a 2.6% rise.
Meanwhile, the number of people out of work has fallen by 140,900 – a 5.1% decrease.
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