Migrants drive 67% of new jobs in Europe
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Europe’s labour market is undergoing a significant, if largely understated, transformation. Foreign-born workers now represent 67% of newly created jobs across the continent, reflecting a structural shift in how employment growth is distributed.
A recent report by BBVA Research highlights a widening gap between demographic trends and job creation. In many European countries, the native working-age population is either stagnating or declining, while employment growth is increasingly driven by foreign labour.
A demographic shift driving employment trends
Since 2020, the number of immigrants living in the European Union has risen by 11 million people, marking a 13% increase. Spain and Germany have been at the forefront of this trend, together accounting for nearly half of the total rise in foreign population.
This demographic evolution is reshaping the labour market’s balance. Over the past decade, the native working-age population has declined by 6.4%, yet overall employment has not fallen at the same pace, largely due to the growing participation of foreign workers.
Spain at the centre of the trend
The impact is particularly visible in Spain. In 2025, 41% of all newly created jobs were filled by foreign nationals, who now make up around 14% of total social security contributors.
Foreign employment is also expanding at a much faster rate than the broader labour market. Without this contribution, overall job growth would be significantly weaker, underlining the extent to which employment gains rely on international labour.
Sectoral data further illustrates the trend. Foreign workers represent nearly 29% of employment in hospitality, 26.8% in agriculture, 24% in construction, and over 42% in domestic work.
At the same time, the profile of these workers is evolving. Migrants tend to be younger and increasingly qualified, strengthening their position within the labour market and intensifying competition across a wider range of occupations.
