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Spain Turns to Immigrants to Boost Its Economy

by Hyacinth

In a conference room of a hotel near León, Spain, a group of Sub-Saharan African men gathers to play bingo. They cheer when their numbers are called. However, many of these asylum seekers carry heavy and painful stories.

One of them is Michael, who escaped from Ghana to avoid a violent conflict that led to the deaths of his sister and father. He traveled overland to Morocco, where he paid a trafficker to put him on an overcrowded inflatable boat bound for the Canary Islands.

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“I was so happy because I knew my troubles and the people trying to kill me were behind me,” Michael shares. “Once you are in Spain, you are safe.”

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In Ghana, he worked as a petrol pump attendant and a storekeeper. He also started studying human resource management and hopes to continue his education in Spain.

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“Spain is one of the most respected countries in the world,” he says. “Being here is an opportunity for me.”

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Currently, around 170 asylum seekers are residing in the hotel, which has been transformed into a migrant center in Villaquilambre. They are part of a larger group of thousands who attempt the dangerous maritime journey from Africa to Spain each year.

This year, over 42,000 undocumented migrants have arrived in Spain, marking a 59% increase from 2023. Most of these migrants make the perilous journey to the Canary Islands.

The influx of asylum seekers has intensified political debates about immigration in Spain, similar to discussions in other European nations. The far-right Vox party often characterizes the situation as an “invasion.”

Despite the political controversy, these arrivals represent a significant potential labor force for Spain, which is facing demographic challenges. Javier Díaz-Giménez, an economics professor at IESE Business School, explains that a baby boom from the mid-1950s to the late 1970s has created a large number of retirees, leaving fewer workers to support them.

“The next 20 years will be critical,” he states. “According to recent projections, 14.1 million people will retire in that time.”

To address this workforce shortage, Díaz-Giménez suggests that Spain could follow Japan’s economic model, which relies heavily on technology and automation. However, he also notes that immigration is a vital alternative.

“If you want to grow GDP and sustain pensions for retiring baby boomers, you need to bring in more people through immigration,” he says.

Spain’s central bank has estimated that the country will require approximately 25 million immigrants over the next 30 years to meet labor demands. Prime Minister Pedro Sánchez has also emphasized the importance of immigrants to the economy, stating they contribute to “wealth, development, and prosperity.” He recently visited Mauritania, Gambia, and Senegal to discuss this issue.

Sánchez’s coalition aims to legalize the status of up to 500,000 undocumented migrants, mainly from Latin America. Spain has a history of mass regularizations, with the last major one occurring in 2005.

However, public opinion about immigration is mixed. A recent poll reveals that 41% of Spaniards are “very worried” about immigration, ranking it as their fifth-biggest concern after inflation, housing, inequality, and unemployment. While only 9% of respondents associate immigrants with economic progress, 30% link them to insecurity, and 57% believe there are too many immigrants.

In Villaquilambre, asylum seekers are beginning to integrate into the local workforce. They can start working six months after their arrival in Spain.

“Before they receive authorization to work, we emphasize learning Spanish and offer training courses,” explains Dolores Queiro from the San Juan de Dios Foundation, which manages the migrant center.

As their eligibility to work approaches, the organization connects asylum seekers with local companies seeking workers.

Makan, an asylum seeker from Mali, recently started working at GraMaLeon, a local business that fabricates marble and granite products. He rides an electric scooter to commute from the hotel to the factory each day.

“I’m happy to be working,” he says in basic Spanish after a shift of hauling heavy slabs of marble.

Ramiro Rodríguez Alaez, co-owner of GraMaLeon, mentions that finding local workers is challenging. “We need a lot of manpower in this profession, but it is tough work. Not many young people want to do it,” he says. “Immigrants provide an important source of manpower for us.”

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