“We are in a situation where retired people’s pensions are bigger than the salaries paid to the people working in the jobs they left. Something has broken down. All the education and infrastructures we have created should be directed towards a society with decent salaries,” says Alejandro Legarda Zaragüeta, who knows the ins and outs of Spanish industry after 20 years as managing director of CAF.
The latest figures have again confirmed what we have been seeing in the last few quarters: Spain is not only not losing industry at the moment, but in fact this is recovering very fast. In January, for example, Spanish industry’s revenues rose 13.1% from a year earlier, the biggest increase since April 2008.
“…One of the reasons for the high level of youth unemployment in Spain has to do with the fact that companies hardly get involved in the dual training system,” explains Hermann Simon the chairman of Simon-Kucher, the preferred consultancy firm of the “hidden champions,” those German mid-cap companies which compete globally. “Spain’s level of innovation is very weak…the whole country cannot live just off tourism services.”
The Corner | April 7, 2015 | European markets reopen this morning, with three areas of specific interest likely to dominate events on trading floors. The first, will be the continued wrangling between Greece and its creditors, with hopes for a deal becoming increasingly slim as the acrimony between the various parties seemingly increased over the weekend. On Wall Street, quarterly results presentations will commence, while traders will also be closely monitoring a swathe of data which may offer an insight as to the future direction of the Fed’s monetary policy.