Spain salaries


working-office

Spanish Corporate Profit Margins Are Growing A Scant 0.45%, Half That In 2008

The figures from the Q2’16 Labour Costs Survey for Spain confirmed that salaries are stagnating. Corporate profit margins in the Spanish economy has been dependent on wage contention, but Afi’s analysts remember that they don’t just depend on wage developments. The trend in productivity and prices is also important.


Spanish Economy financing capacity

And what if salaries in Spain are increased as Popular’s chairman proposes?

Popular chairman Angel Ron’s proposal to raise salaries in line with productivity in order to speed up the consolidation of economic growth is clearly at least worthy of a discussion. In the short-term, it would have repercussions not only on corporate profits but also on improving confidence, the recovery in consumption, the increase in production and job creation.