The varying impact of COVID-19 in the Spanish Labor Market

The unexpected arrival of covid-19 in 2020 stressed the vulnerabilities of the Spanish labor market. In this paper, we analyze the immediate impact of the pandemic on labor market outcomes in Spain. We find that, during the national lockdown period, individuals worked 3 h less per week. Moreover, we associate the pandemic with a 5.7 percentage point’s reduction in labor force participation. Finally, we do not find heterogenous effects across sectors.