Tourism sector faces scrutiny over productivity and social impacts

The tourism sector is facing increasing scrutiny regarding its economic benefits versus its negative externalities. In regions like Menorca, while tourism remains the primary economic driver providing jobs and investment, there is a growing debate about its impact on territory, housing accessibility, public services, and environmental degradation.

Data from the OECD 2026 report highlights the sector's significant economic weight, noting that across OECD members, tourism directly generates 4% of GDP and 6.3% of employment. In Spain, the impact is even more pronounced, accounting for 6% of GDP, 13.4% of employment, and 48.4% of service exports. However, the sector faces challenges regarding low productivity. In Spain, the ratio of employees to GDP generated is 2.2, significantly higher than in larger economies like Germany or the United States, where the ratio is 1.3, indicating that more labor is required to generate the same level of income.