Canary Islands workers continue to lose purchasing power, especially in construction

The energy crisis derived from the conflict in the Middle East continues to impact the Canary Islands with particular intensity and the measures adopted so far are not capable of adequately protecting the working population from the rising cost of living.

This is one of the main conclusions of the report prepared by CCOO Canarias on the impact of the energy crisis and the effectiveness of the compensation measures promoted by public administrations.

The data compiled by the CCOO Technical Office reflects that the loss of purchasing power continues to worsen. The average gross salary in the Canary Islands stood at 1,746 euros per month at the end of 2025, and the accumulated loss of purchasing power compared to 2019 has already reached 2.21%. In sectors such as construction, this deterioration exceeds 10%.

The union considers that the aid approved by the Government of the Canary Islands through Decree-Law 3/2026 has been "insufficient" to contain inflation and prevent the purchasing power of salaries in the archipelago from continuing to deteriorate.

The study highlights that the Canary Islands face this situation from a position of special vulnerability due to their energy dependence, insularity, and the weight of economic activities particularly exposed to rising costs, such as transport, tourism, commerce, agriculture, livestock farming, and fishing.

Likewise, CCOO questions one of the arguments put forward by the regional Executive to justify the need for specific measures. The report concludes that most of the actions included in the Comprehensive Plan for Response to the Crisis in the Middle East approved by the Government of Spain are directly applicable in the Canary Islands, although some fiscal measures require adaptations derived from the Archipelago's Economic and Fiscal Regime.

The trade union organization warns that the actions promoted by the regional government have a limited scope and a too short validity. A large part of these measures expire on June 30, and, according to the analysis carried out, there is no evidence to suggest that they have had a significant effect in containing the prices borne by Canary Islands households.

Added to this is the fact that year-on-year inflation stood at 3% in April 2026, above the average salary increase agreed in collective bargaining agreements, causing a new reduction in the real income of workers.

The report also highlights that the biggest price increases are concentrated in essential goods, such as meat, fruits and vegetables, fish or personal transport, which affects lower-income families more intensely.

CCOO Canarias also denounces the "absence of monitoring mechanisms" and evaluation that allow us to know if tax reductions and public aid are really being passed on to consumers or if, on the contrary, a part of these benefits is being absorbed by business margins.

The organization also calls for a review of instruments such as the Specific Supply Regime (REA) and the Levy on Imports and Deliveries of Goods (AIEM), whose impact on price evolution continues to be debated.

Given this situation, CCOO Canarias urges the regional government to open a dialogue process with social agents to design new measures adapted to the economic and social reality of the islands. Among the proposals put forward are direct aid for households with lower incomes, the extension of tax reductions on essential products, and specific actions to compensate for the loss of purchasing power of wages.

"The Canary Islands population perceives with increasing intensity that their salary buys less and less. The institutional response must be more ambitious, more stable over time, and subject to evaluation and transparency mechanisms," the report concludes.