They cannot take on a home worth more than 100,000 euros or rent more than 320 euros a month without being over-indebted
MADRID, August 11 (EUROPA PRESS) –
15.6% of young Spaniards between 16 and 29 years old lived emancipated at the end of 2021, a figure that represents a 0.7% growth compared to last year’s data (14.9%), but more than three points less than the percentage processed before the pandemic (18.7%).
This is reflected in the report of the Observatory for Emancipation of the Spanish Youth Council (CJE), requested this Thursday, which corresponds to the data for the second half of 2021.
Despite the fact that the President of the Council, Elena Rúiz, has celebrated this slight growth registered in the second half of last year because, in her opinion, it represents the exit towards “recovery” after Covid-19, she has also indicated it He’s doing this out of “caution” because, as he explained, we have to wait until it’s verified that it’s a trend leading to more rather than specific data.
Therefore, he reminded that this increase of 0.7% comes after the lowest point of the century was reached in the first half of 2021.
According to sociologist Joffre López’s report, this improvement was aided by “an intense revival of employment devastated as a result of the restrictions imposed by the pandemic”, which, moreover, as already mentioned, resulted in a six-month drop in the youth unemployment rate of 5, 2 points to 23.6%, the lowest since 2008.
TIME AND PARTIALITY
Nevertheless, he warns of the ECJ against the “precariousness” in which he believes “this growth is cemented”. The report therefore denounces that half of young people in work were on a temporary contract and puts the temporary rate at 55.4%, the same level as in 2019. Similarly, the Observatory warns that 25.4% of youth contracts are associated with bias these, 14.8%, are associated with unwanted bias.
Regarding the young inactive population, which according to the study accounts for 47.8%, it is highlighted that 89.7% are in this situation because they are studying, which is the highest figure in this aspect of the entire historical series. In this way, the so-called “Ninis” accounted for only 2.4% of the country’s non-working youth at the end of 2021.
Similarly, the ECJ points out that the “sisis” who study and work at the same time have grown to 32.5% of the young population with employment, which is six percentage points more than in the last quarter of 2019.
On the other hand, the observatory has focused on the housing market, saying that while the general situation has improved – 2021 ended with interest rates at historic lows and the average rental price fell by 8.5% – the data shows that a young person needs to Spend 3.8 times their net annual salary to cover a mortgage to buy an average house on the market (170,000 euros).
By the end of 2021, young people could just take over a house worth 100,000 euros without going into debt, i.e. devoting 30% of net salary to paying for the house, as recommended by the Bank of Spain.
That is why, as López explains, rent, or more precisely shared rent, predominates in the emancipation of young Spaniards. As the author of the work states, this is also due to the increase in the average rental cost to 848 euros; while a young person could only pay a fee of 320 euros without becoming over-indebted.
Thus, according to the study, an individual hire would require that person to spend 79.2% of the salary; while sharing the home would bring that percentage down to 25%. Therefore, according to López, 34.5 percent of emancipated young people share an apartment.
With this scenario, the President of the ECJ has called for putting youth at the “centre” of the political agenda and implementing measures that are “more long-term oriented”. In this sense, he has defended the possibility of initiating a state pact on this matter.
“We can’t pretend that youth is a disease that’s cured when you’re over 30,” Ruiz said.
Likewise, he regretted that the leaders did not take advantage of other initiatives carried out in favor of young people and in this sense Ruiz gave as an example the Minimum Lifetime Income (IMV) in which, as he has announced, young people between 18 and 23 not enter for years.
He also criticized the fact that people under the age of 30 who had access to this benefit were subject to “tougher requirements” than people over that age.
Finally, she also pointed out that in order to reduce the inequality of this group, the interannual minimum wage should be increased by 60% compared to the average wage in the country.