For the first time in decades, People over 55 are in a worse unemployment situation than that of the rest of the adults in the Spanish labor marketA group that until very recently had the lowest unemployment levels has now gone on to top the statistics, demonstrating a profound change in the dynamics of employment.
According to an analysis prepared by the BBVA Foundation and the Valencian Institute of Economic Research (Ivie)The unemployment rate for this age group has already reached 9,8% on average in the first three quarters of 2025, in other words, 0,4 points that among workers aged 25 to 54 (9,4%). This shift occurs amidst a demographic aging process and at a time when Spain is trying to delay the effective retirement age to alleviate pressure on the pension system.
A historic shift in the relationship between age and unemployment
During years, Those over 55 had enjoyed significantly lower unemployment rates compared to the rest of the working population. In 1994, the gap reached as high as 9,2 percentage points in their favor compared to the 25-54 age group. However, that advantage steadily decreased until disappear completely in 2023, when the unemployment rates of both groups became equal.
The study by Ivie and the BBVA Foundation confirms that, from that moment on, the differential has flippedNow it is senior workers who are bearing the brunt of the higher unemployment rate. This worsening situation is described as “very substantial” in relative terms, taking into account that it occurs despite the general reduction of unemployment in Spain and a labor market which, on average, shows better figures than in previous crises.
There is no single cause behind this change, but a combination of structural factorsThe aging of the workforce, technological transformations, sectoral reorganization, and the persistence of age stereotypes in companies have all contributed to this. As a result, when a worker is over 55 and loses their job, their probability of put back on It is significantly reduced.
The report emphasizes that this phenomenon has direct implications for the sustainability of the pension system and, in general, for the welfare state in Spain. Promoting longer and more stable working lives is becoming increasingly necessary, but at the same time, the data reveals that Seniors who become unemployed find it extremely difficult to re-enter the workforce..
Two opposing realities among those over 55.
The decline in senior employment does not affect all seniors equally. The report clearly distinguishes between those who have maintained a continuous work history and those who, having passed the age of 55, They lose their jobs, try to enter the job market for the first time, or return after a period of inactivity.
Among the older workers who have held their positions for decades, the picture is much more favorable: They tend to have permanent contracts, higher quality jobs, and higher average salaries than those of other age groups. They are workers with seniority of 25 or 30 years, settled in relatively stable positions and, in many cases, in skilled occupations.
The situation changes completely when you look at the elderly who "have to start all over again". These are the ones that have the highest unemployment rates and the worst working conditionsThe study indicates that their integration into the market becomes very complicated: they suffer longer periods of unemployment, fewer options to find a position that matches their experience and a significantly lower quality of employment.
The perception of companies themselves plays a significant role. For many employers, The appeal of hiring a senior worker is lessThis is partly due to their historically high wages and partly due to prejudices about their ability to adapt. In turn, for the older worker themselves, Accepting a new job may involve giving up salary and working conditions. which makes the idea of extending their working life at any cost less attractive.
Examples such as people who accumulate years searching for work without successHaving spent much of their lives in the same sector or company, they illustrate the human dimension of this problem. Many point out that Their experience is no longer valued as it once was and that the transition to new professional profiles is proving difficult for them.
Long-term unemployment: the biggest burden for seniors
One of the most worrying signs detected by the study is the high proportion of long-term unemployment among those over 55 years of age. Currently, the 57,9% of the unemployed in this age group have been looking for work for more than a year without achieving it, a percentage that is practically double that of other sections.
In the 25-54 age bracket, the long-term unemployed represent the 36,1%, while among young people aged 16 to 24 it is around 17,8%This disparity shows that, once a senior citizen becomes unemployed, It is much harder for him to get out of that situation. than a younger worker, even in contexts of general improvement in employment.
This longer period of unemployment not only represents a [missing word/phrase], but also erodes professional skillsThis distances people from technological innovations and increases the risk of disconnection from the job market. Some experts describe this as a vicious cycle: The longer you remain unemployed, the lower the probability of finding a quality job..
La digital divide It appears as one of the factors exacerbating this situation. Many older workers acknowledge difficulties in retraining in increasingly digital environments, especially if they come from companies or sectors where technological transformation has been limited. Without access to tailored training and support, Getting back into employment becomes an obstacle course.
This scenario complicates public policy efforts to delay the effective retirement ageAlthough on paper people are encouraged to work longer, the reality is that a significant portion of older people are forced out of the job market before even reaching retirement, and then encounter enormous difficulties in returning.
More temporary work, worse jobs, and a decline in job quality
The differences between older workers who maintain stable employment and those who manage to reintegrate into the workforce after an interruption are especially visible in the type of contract. Among the salaried employees over 55 years of age with less than one year of seniority in his position, 52,6% have temporary employmenta 10% in precarious employment situations (contracts of up to three months) and a 4,5% as fixed-term intermittent workers.
In contrast, among senior workers with more than 25 years old In the company, the temporary employment rate falls to 2%Precarious employment is barely detected, and the percentage of fixed-term intermittent workers is reduced to just over 2%The duality is clear: Those who have managed to remain in their positions enjoy far greater stability. to that of those who are forced to start from scratch after the age of 55.
The type of occupation also changes radically. Among older workers with long careers, almost half (around 45,6%) hold highly skilled positions —managers, scientific professionals, technicians— and only one 7% is concentrated in elementary occupations. In contrast, among seniors who gain access to new jobs, only a 15,6% attains highly qualified positions, while Approximately 29,4% are concentrated in basic jobs, which require less training and offer worse conditions.
Compared to other age groups recently entering the workforce, The disadvantage of the older generation becomes even clearerIn the 25-54 age bracket with less than one year of seniority, temporary contracts represent the 44,2% (with 9,2% precarious employment), figures that are somewhat better than those of senior workers. Furthermore, among these middle-level workers, Highly skilled occupations represent approximately 29,1%while elementary jobs account for around 20%. Among young people aged 16 to 24, the percentages of highly skilled and elementary jobs are also less unfavorable for them than for newly hired older workers.
Other indicators, of a more subjective nature, reinforce the idea of worse quality of new senior jobsAmong the older employees who have been in their position for less than a year, around one 21,5% say they want to change their schedule and approximately one 16,4% are still looking for another job despite being employed. In contrast, among veterans with more than 25 years at the company, only one 9,7% He expresses a desire to modify his work schedule and barely one 0,8% He continues to look for another job, which indicates a much higher level of satisfaction and stability.
A wage gap that penalizes those who start over
In terms of income, photography is, once again, dual. The average annual earnings of workers over 55 years of age In aggregate terms, it is higher than that of other wage earners: the study places their average salary at around 30.038 Euros, in front of 26.855 Euros of those who are between 25 and 54 years old.
However, that salary advantage disappears when the analysis is limited to older workers who have just started a new job. For seniors with less than one year of seniority in their position, the average salary falls to around 19.558 euros per year, a figure slightly lower than that of workers aged 25 to 54 in the same situation (around 19.837 Euros) and far from 40.520 euros that is received, on average, by older people who have developed a career without interruption for three decades.
This difference points to a clear phenomenon: When a senior worker loses their stable job, the "price" of returning to the labor market is very high.Not only is contractual stability reduced, but The remuneration drops sharplyto the point of being lower than that received by younger people with much shorter work histories.
Combining More unemployment, more temporary work, and lower wages Among those who have to re-enter the workforce, the situation paints a complex picture. In addition to the financial strain, there is the psychological impact of going, in just a few years, from a stable career to a situation of uncertainty and professional devaluation.
The experts at Ivie insist that this reality It hinders strategies for extending active life as a way to ensure the financial sustainability of the pension systemIf a large proportion of older people are forced to accept lower-paying jobs or leave the labor market prematurely, The goal of working longer becomes much more difficult to achieve. in practice.
Training, ageism and the challenge of harnessing senior talent
Given this scenario, the study points to the Continuing education as one of the most effective tools to improve the employability of older people. Among people aged 55 and over with college, the unemployment rate drops significantly, settling at around 5,4%That is, slightly more than half the average for the senior group.
Furthermore, among those with higher academic qualifications, The quality of new jobs tends to be betterThere is less temporary employment (about six percentage points less), a lower proportion of precarious employment (around 4,2 points less), and a significant increase in highly skilled occupations, which now represent nearly 49,1%At the same time, elementary occupations are reduced to around 9%.
In terms of salary, training also makes a difference. The report indicates that, among older employees starting a new position who have University degreeRemuneration can be around 34.000 euros per year, clearly above the average of newly hired seniors without that level of education.
However, the authors of the study clarify that Training alone does not guarantee Neither access to employment nor the quality of employment. A portion of the older age cohorts He did not have the same educational opportunities in his youth. than later generations, and this translates into initial disadvantages that cannot always be compensated solely with late refresher courses.
Hence, the report makes an explicit appeal to overcoming age-based stereotypes as companies themselves become more involved in updating the skills of their senior staff. In a context where Young candidates will become increasingly scarce.With more frequent retirements and more intense difficulties in filling vacancies, taking advantage of the human capital of older workers ceases to be an option and becomes a necessity.
In a strained labor market, with an aging population and a pension system under pressure, the reality depicted by the data is clear: People over 55 have gone from being the group with the lowest unemployment to becoming one of the most vulnerable.The rise in unemployment, the concentration of long-term cases, the decline in the quality of new jobs, and the wage gap between those who maintain their careers and those who have to start over are forcing a rethink of how senior talent is managed in Spain. Strengthening lifelong learning, combating ageism in recruitment processes, and promoting more stable career paths are emerging as essential pillars if working longer is to become not just a theoretical goal, but a real and dignified possibility for those approaching the end of their professional lives.
