Spanish Population, Industry, and Wages in the 20th Century
1. Why Did the Active Population Increase During the 20th Century?
The active population increased from approximately 5 million in 1900 to 13 million in 2001, nearly tripling. This increase is primarily due to overall population growth, although the activity rate did not increase at the same pace. Factors contributing to this include compulsory schooling, structural changes, and the development of social services.
Various factors and situations influenced employment development, such as political and institutional conditions, and technological advances. Different periods saw the active population increase, conditioned by events. At the beginning of the 20th century, the working population grew steadily. However, as the years passed and different political states succeeded one another, unemployment began to gain prominence.
The active population increased concurrently with the overall population. When massive migration decreased, the general population had access to more jobs. Similarly, when women retired from work, men could access those positions. Progress in the secondary and tertiary sectors, as well as investment in human capital, promoted the emergence of new jobs, increasing both the supply of labor and demand from companies.
2. Evolution of Industry in the 20th Century
Following the agricultural revolution, industry began to gain prominence, especially during the first third of the century and again during the 1950s and 1960s, coinciding with the implementation of protectionist policies. The industrial sector boomed with the establishment of the factory system, adopted by most industries.
Advances in technology and organizational systems required labor, creating many jobs. Taylorism and Fordism were not introduced in Spain until after the early Franco period. These systems were characterized by the division of labor, monotony in work, and establishing time per function. These methods did not have much impact.
Later, a system based on paternalism, authoritarianism, and state interventionism emerged. Industry lost its leading role due to mechanization and the loss of jobs to the tertiary sector, which captured the entire market.
3. Evolution of Wages in the 20th Century
From 1900 to the present, real wages have increased progressively. The country’s economic, political, and institutional circumstances have allowed for this significant growth. An important factor to consider is the interference of unions and collective bargaining.
The imposition of a minimum wage and steady progress in all sectors have contributed to higher real wages. Wages in kind have transitioned to monetary wages, initially based on partial payment with improved benefits (dining, insurance, etc.) and eventually to full monetary payment.
Another factor to note is the improvement of human capital, leading to more specialized and better-paid jobs. A significant development in the last third of the century was the alignment of Spanish wages with European standards due to Spain’s entry into the EEC, coupled with the country’s economic growth, which allowed for a higher standard of living.