reconversión industrial

   The Reconversion and Industrialization Law of 1984 was one of many attempts by the socialist PSOE government to tackle structural problems in the economy in order to prepare Spain for membership of the European Community (see also European Union). In particular, the traditional industries, shipbuilding, textiles and especially steel, were out of step with those of other industrialized countries, and were increasing output just at the time when demand elsewhere was falling off. Greater liberalization of these industries included the introduction of increased flexibility in the labour market, which did little to improve the high unemployment figures. This was a controversial issue in industry as a whole, but in the sectors in which reconversión was most urgent, there was the added difficulty that the programme had to be carried out in areas which were politically sensitive for other reasons, such as the Basque country.

   See also: industrial development; industrial relations; labour law; trade unions

   Further reading

   - Heywood, P. (1995) The Government and Politics of Spain, London: Macmillan (pp. 220–5 give a clear and succinct account of the issues posed by restructuring).

   EAMONN RODGERS