CNN Video: Mortgage crunch in Spain

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This topic contains 13 replies, has 3 voices, and was last updated by Profile photo of Anonymous Anonymous 9 years, 3 months ago.

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  • #53106
    Profile photo of Anonymous
    Anonymous
    Participant

    Another video. This time by CNN USA:

    http://edition.cnn.com/video/#/video/world/2007/08/22/goodman.spain.housing.crunch.cnn

    Low salaries put mortgages out of reach many young Spanish college graduates. CNN’s Al Goodman reports.

  • #74175
    Profile photo of Anonymous
    Anonymous
    Participant

    The majority of Spanish staff is ill trained, unproductive and has no work ethics, the legislations makes it difficult to sack staff. The employers has high social security cost so instead of employing 1.5 staff they will employ 1 only.

    The system makes it very unproductive e.g Banks have different hours to Civil service to self employed etc. As in Spain everything has to be stamped/paper chased take an example where a self employed leaves in the morning has to see somebody cant see because the person has gone for his coffee, so he waits until the person turns up, when he comes sees him he is told that a certain paper is missing so he goes back to one of the many councils offices dotted around by the time he returns officces are shutting for lunch and the whole day is wasted.

    Another e.g leave in the morning through traffic get work talk about football etc go for coffee come back do an hours of work and think about lunch etc. Drive home for lunch, have lunch go out on the road get to work for probebly another hour or two. Leave work for home. Total time spent out of home/work related almost 10 hours. Productivty around an hour or two as stop, starts break all rythem of producvity.

    The above is just as example. Can any one tell me why should the staff be paid more by the person taking the risk and all that goes with creating enterprise.

    Finally, you all who live in Andalusia, knows that there was a holiday in the middle of the week this means that nothing could get done a week before or after. Again why should the stsaff be paid if no wealth is being created by the staff.

    No, matter what one says you have to create wealth before you can distribute. Sponging off EU and tourist is not a long term solution to a country that has nearly 50 million population.

  • #74178
    Profile photo of Anonymous
    Anonymous
    Participant

    I agree you with the bad productivity in Spain. I have visited UK for business and there you realice how bad we are with this issue.

    But the problem is not about wage. I agree that you should not earn more that you produce. The real problem here is the housing. It should not be more about the 30% monthly income but we are about the 50% or even in some cases the 70% of the monthy income.

  • #74180
    Profile photo of Anonymous
    Anonymous
    Participant

    peterparra

    In any economy demand and supply works. The goverment policy let this area free for all as it gave them VAT and other Taxes.

    The Spanish can be very aware where it suits them. The Goverment was aware of the units that were comming on to the market in each region of Spain. They did not interfere. It made Spaniards beleive that they were getting rich as their properties went up. New Merc, BMW, Rangerovers, additional properties were bought in Spain, Hungry, Morocco etc, expensive holidays were taken.

    Let me remind you what Aznar use to say “Espana va bien ” How was it going well ? on the back of what ????? VAT from properties and EU.

    On prices, as you are Spanish, you will know certain areas of Madrid e.g Bario Salamanca, Arturo Soria, El Viso, Most Spaniard could not buy there either irrespective of their salary. Here you cant blame non Spainards for pushing up the prices as they did not buy in this area.

    The fact is Salaries in Spain are low as there is no productivty to justify higher salary. I love Spain and would like to do business with the Country and its institutions. My experience quality products, marketing etc is not availble, information is incomplete, staff not trained, phone calls not replied, e.mails not replied, registered letters not acknowledged.

    Where do you want me to finish. In my experince the Spanish people are hard working, enterprising, creative, tenacious. The system and the Civil service lets them down and the the zest is lost.

    The Spanish should get out of thinking that wealth creation is something evil and should not be looked at something vulgar

  • #74182
    Profile photo of Anonymous
    Anonymous
    Participant

    I totally agree with you with bad productivity. In fact legions of young graduates are moving overseas (UK, Belgium, Germany and USA) in order to get a wage according to their preparation and skills because is frustrating here in Spain to see how a graduate can earn 4 times less than a construction worker.

    But we cannot disagree with the reality that the spanish property market is very weak and a is very probably to see a severe correption.

  • #74188
    Profile photo of Anonymous
    Anonymous
    Participant

    This is a comman problem in Spain, France, Italy, Portugal, Greece etc.

    Why, they all have the same problem ?

    1) Civil Service.

    2) Infexible labour laws.

    3) Higher employment cost such as 13 months salary, social security.

    4) Lack of training.

    This is now showing at other levels Ferrovial has made a mess of BAA. Rafeal del Pino, the chief executive does a typical Spanish and hides. In Spain he would hide and send a young staff to deal with the irate staff.
    (Yes the same staff who is paid a very low salary)

    Ferrovial, had the contract for Warsaw Airport, they and delayed and cost over run. It was taken out of their hands and given to a German Comany to Complete.

    Abbey, bought by Santander has a similar story and has earned the name of Shabby.

    Fadesa, has created a mess and you know Aifos, these companies have offices in London.

    It is a shame that the youth of a country is its biggest asset and other Countries are benefiting from this training/skills. The talent will leave and the incompetant will become civil servents.

    Spaniards, have travelled for work after or befor the Civil War. But to see this happening today is heart breaking. All because the Politicians lack
    vision and guts to take the short term difficult decesions for a better future.

  • #74190
    Profile photo of mariadecastro
    mariadecastro
    Participant

    Shakeel:

    It is interesting! Can you see how wealth creation in Spain is still seen as something vulgar? non for educated families? I am interested about knowing more on your perspective as a foreigner, becuase I think that thinking habit it is much hidden in the cultural and work tendencies of my country.

    Please tell me more of that.

    It is maybe related to our old señorito/a culture..?

    Maria

  • #74196
    Profile photo of Anonymous
    Anonymous
    Participant

    Hi Maria,
    I am happy to give you my perspective. Unfortunalety if I post on the forum. It will impossible to cover all the tanticles of the culture fabric.

    I have a profund interest in the Country, its people and have friends from all walks of life including the “Senoritos”.

    My observation are that the “Senoritos” are definately in that catogery. Whilst they live of the acheivments of their ancestors. The upper middle class is trying to become Senoritos. The other middle class are so called professionals trying to progress in life and out of frustration and lack of opportunities leaving the country. The one below are trying to keep their head above water and suffers from all insecurities/complexes where the differences are so blatantly obvious.

    If you really want see/know my prospective. I am happy to see you on my next visit. Please convey my kind regards to your father and his lovely dog.

  • #74412
    Profile photo of mariadecastro
    mariadecastro
    Participant

    Yes, We would be happy to see you again.
    M.

  • #74226
    Profile photo of mariadecastro
    mariadecastro
    Participant

    Yes, We would be happy to see you again.
    M.

  • #74414
    Profile photo of mariadecastro
    mariadecastro
    Participant

    And I am also very interested in my country and the perspective of foreigners as I am always dealing with foreigners in my country.

    M.

  • #74227
    Profile photo of mariadecastro
    mariadecastro
    Participant

    And I am also very interested in my country and the perspective of foreigners as I am always dealing with foreigners in my country.

    M.

  • #74416
    Profile photo of Anonymous
    Anonymous
    Participant

    Will let you, when I am there next.

  • #74228
    Profile photo of Anonymous
    Anonymous
    Participant

    Will let you, when I am there next.

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