The Confederation of Balearic Business Associations (CAEB) is warning of persistent problems that are now becoming structural, staff shortages being a major one. The employers association's particular focus is on the tourism sector, for which there are also concerns about the two main foreign markets - Germany and the UK.
At the CAEB's Christmas toast with the media on Friday, president Carmen Planas referred to third-quarter results, which indicated a slight moderation in growth - 3.2% compared with 3.3% in the second quarter and 3.6% for July-September 2024.
Planas highlighted growth that has been above the Spanish average, saying: "We are in a good place." "There is some uncertainty because we have a lot of bureaucracy, fiscal uncertainty and pressure, and rising labour costs, but 2026 will be a good year."
"The outlook for 2026 is positive despite the concerns regarding specific tourism markets and their internal problems - Germany and the United Kingdom." Stressing the CAEB commitment to tourism, Planas added: "We don't respect certain groups or individuals who might tell tourists not to come. We need to diversify, but that's not about degrowth, it's about growing better."
She pointed out that despite the levels of full employment achieved for most of 2025, "there are companies and sectors that are demanding workers but can't find them". In this regard, she underlined that "we are committed to training and skills development in order to increase productivity".