Unemployment in Spain

CONTENTS
1. Financial Crisis definition............................................................................................... 3
2. New poverty ways, unemployment........................................................................... 4
2.1. Redundancy Dismissal Procedure (RDP)..................................................... 5
2.1.1. Long timeunemployment........................................................................ 5
2.1.1.1. Difference between men and women............................... 6
2.1.1.2. Difference between with and without studies.............. 8
3. Interviews
3.1. Unemployed woman, 32 years old................................................................ 10
3.2. Unemployed man, 55 yearsold...................................................................... 12
4. Literature.......................................................................................................................... 14
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1. Financial Crisis definition
Financial crisis is the economic crisis that affects the financial system and makes it loose credibility, strength and power.
What causes financial crisis is the irresponsible attitude of privatebanks that make excessive lends, without considerate the solvent grade of each borrower. Credit applicants of housing sector took advantage of low interest rates.
European Union countries had been the most affected by financial crisis, generated in United States. Analysts sais that those economies, excepting Austria and Germany, are on recession or stagnant. The unemployment and interest rate forliabilities of indebted countries are still increasing. One of the most affected European countries is Greece. This country applies to adjustment programs (2010-2012) that had been decided in Brussels by European Union. This Adjustment Plan recommends reducing salaries and pensions, privatizing public business and paying external debt.
In Spain, as part of adjustment plan measures, PrimeMinister Mariano Rajoy, announced the most aggressive social cuts in recent history in this country, mostly in education and health.
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In the graph, from Eurostat, we can compare the rate of unemployment actually in Spain with other European countries.
The National Institute of Statistics had confirm that for first quarter of 2012, this country had enter on recession, after a low of 0.3% of GrossDomestic Product (GDP), between months of January and March, with a similar situation in October and November of 2011. The unemployment index is now 25.1%.
Some of the consequences that a crisis can generate are: decline in productive investment and higher rate of unemployment. Almost, if the crisis has the origin in a banking crisis, we can add the lost of confidence on financial system, thedestruction of money supply and the possible effect on solvent credit entities through payment systems, where every entity are interrelated.
2. New poverty ways
New poverty ways are promoted by unemployment, which is aggravated by financial crisis.
The unemployment is the situation of people who can and want to work, loose their job or reduce temporary their normal working.
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In this graph, tokenfrom Eurostat, we can see the evolution of the unemployment in Spain during the last 5 years. During 2007 the rate of unemployed people keep stabilized. Since 2008, when Gran Depression started, the unemployment rate starts to be higher. In July 2012 the rate was on 25.1% and it is still increasing.
2.1. Redundancy Dismissal Procedure (RDP)
The Redundancy Dismissal Procedure, abbreviated as RDP,is an administrative procedure contemplated in the Spanish legislation whereby a business in crisis is looking for have an administrative authorization to suspend or dismiss workers.
The RDP is used to reduce the workday, the suspension or extinction of the employment contract.
In the procedure of the RDP, it is requested authorization to the competent Labor Authority to dismiss or suspend...