Hostelry sector jobs escape side-effects of new tobacco law

Spain's new anti-tobacco laws do not seem to be having the adverse effect that the hostelry industry had feared — at least as far as employment is concerned.

At the close of February, 21,443 more hostelry workers had registered with Social Security, while the year-on-year figure was also up by 6,882, a 0.78-percent rise. December and January also saw year-on-year increases in employee numbers (1.24 percent and 1.05 percent, respectively).

The industry predicted a loss of 20,000 employees after the January introduction of the legislation, which banned smoking in all enclosed public spaces. Insiders claimed it was still too early to see the repercussions of the law as the fall in sales did not have an immediate nor automatic impact on employment. "If economic activity figures continue like this, it will certainly be noticed in the medium or long term," said José Luis Guerra, deputy president of the Spanish Hostelry and Restaurant Federation.

According to the sector's own surveys, bars are recording a 16-percent drop in sales and nightclubs a decline of 20 percent. However, it does recognize that 20 percent of restaurants are continuing at the same levels as before. The other 80 percent or so talk of a sales fall of 14 percent.

(Published by El País - March 22, 2011)