May 15, 2023 | Ibiza Blog | 0 comments

Workers Accommodation Crisis Hits Ibiza.

Ibiza Blog | 0 comments

Written by Dan Kirwan

Businesses on the island of Ibiza are experiencing severe staffing issues due to the accommodation crisis on the island this summer. Both Spanish and non-national job seekers are being forced to sleep on the beach, in cars and tents due to the lack of rooms available to rent on an island with the highest property prices in Spain. Landlords offer rooms for floating days or broken weeks depending on occupancy, and this is the only option available to many.

Traditionally, local landlords would rent out rooms to workers on a Bed and Breakfast basis for a three or 4-month lease, charging an average of 500 a month. However, with the advent of Airbnb, those rooms can now be easily rented out to tourists happy to pay 500 to 800 a week. This has wiped out the worker’s 3 to 4-month lease, and only those who reside on the island all year round can secure accommodation. The problem mainly affects the tourist bars and restaurants recruiting seasonal staff as the local sector relies on returning staff residing on the island. Ibiza now has some of the highest property prices in Spain, and the market is red hot.

When I worked on the island in 2016, finding a room was challenging; it was even worse in 2021. The problem is only growing in size judging by the number of staff desperately searching and advertising for rooms on whats app and telegram groups. Spaces that do appear for rent are snapped up within minutes. Many staff are now saying Ibiza is not a viable place to come to work the summer, as wages in the service industry are, on average, 1500 a month and with rent now accounting for 50% of income, it’s difficult to save money.

It’s an exciting time for the old venue

Employers are now requesting that all employees must have secured accommodation before the offer of employment is made due to the unreliability of staff who do not have a place to stay. Those employers who can offer accommodation attract the best quality staff, and many use this to lure staff back to Ibiza each summer. Local politicians are aware of the crisis, but there is no quick fix to this problem, and I expect it to roll on for several years as life in Ibiza moves slowly. 

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