Spain loses €45 billion to absenteeism crisis

Absenteeism in the workplace has become a major problem for Spain. New data shows that lost productivity linked to sick leave and other absences cost the country more than €45 billion in 2024 alone.

The figures reveal that absenteeism Now, roughly 7 per cent (or a little more) of all agreed-upon working hours are spent in the home. This proportion continues to increase across most regions, despite a broader economic recovery.

The regional differences in lost working hours

Northern Regions are the leaders in rankings

In the first quarter of the year 2025, the Basque Country and Canary Islands topped the national rankings with absenteeism of about 9.1 per cent. Cantabria comes in second with 8.7%, which indicates an alarming trend for the north of Spain and its island territories. These regional differences are due to a number of factors. In the north, there is a higher proportion of manufacturing and industrial employment. Physical strain and repetitive work can increase health-related absences. Canary Islands seasonality and the reliance on service sector jobs play a part, as do temporary contracts.

Baleares, on the other hand, reported the lowest absenteeism in the country with just 5.6% of lost working hours. Madrid (6.2%) and Andalucia (8.4%) were also relatively good performers. The regions that have a higher concentration of office and service sector roles are also more likely to be absent. Remote working options, flexibility and preventive measures such as health care prevention have all helped reduce absences.

Economic and Social Impact

Loss of Productivity in the Billions

The estimated €45 billion loss reflects not only missed working hours but also the broader economic chain reaction that follows. The cost of hiring temporary substitutes, reducing output and disrupting workflows are all factors that can increase costs for public and private institutions.

Financially, absenteeism now represents roughly 3,5 per cent of Spain’s Gross Domestic Products (GDP), making it one of the biggest labour-market problems in Europe. In comparison, absenteeism rates in the EU are closer to 5 percent, making Spain particularly vulnerable.

Small and medium-sized businesses (SMEs), which account for over 99 percent of Spanish companies, are particularly affected. Many SMEs suffer from lost contracts, delayed deliveries and decreased client satisfaction because they have fewer employees to cover their absences.

Managers report a growing struggle in maintaining staffing levels, especially in industries such as healthcare, logistics, and hospitality. To counter this trend, some companies have adopted attendance-based incentives schemes or invested more heavily in workplace wellbeing programmes.

Why the trend is growing?

Health, Stress, and the Changing Workplace

Experts have identified multiple factors behind Spain’s high absenteeism rate. Stress, mental-health problems, and musculoskeletal conditions are the leading causes of medical leaves. Hybrid working, which has become more popular since the pandemic outbreak, blurs the line between rest and work. Many employees are now experiencing burnout or longer recovery periods.

The generous sick leave policy in Spain, coupled with the relative high protection of permanent employees’ jobs, can inadvertently encourage long absences in some cases. Administrative delays, such as those in medical assessments or renewing sick-leave certifications, can extend the duration of official time off.

A cultural attitude also plays a role. Around 40 percent of Spanish workers think their colleagues abuse sick leave. A similar percentage admits feeling pressured to go to work when ill. This paradox continues to influence workplace culture.

Key Points

• Spain lost over €45 billion to absenteeism in 2024, about 3.5 per cent of GDP.
• Average rate: 7% of total hours agreed.
• Canary Islands, Cantabria and the Basque Country have the highest rates.
• Baleares Madrid and Andalucia reported the lowest.
• Key drivers include health issues, workplace stress, and inefficient bureaucracy.
• Staffing shortages have the greatest impact on SMEs.

A Healthy, Efficient Workforce

To address absenteeism, policy reforms and corporate responsibility will be required. Experts suggest a faster digital processing of leave for medical reasons, greater investments in occupational health and stronger incentives towards prevention and early interventions.

Employers might need to focus on improving employee engagement and wellbeing instead of monitoring attendance. Companies that promote open communication, flexible schedules, and mental health support report lower absenteeism. Absenteeism does not reflect the health of a nation, but rather its social and economic well-being. Tackling its root causes will demand sustained cooperation between government, businesses and workers — an investment that could ultimately return billions to Spain’s economy and strengthen its workforce resilience.