The International Labour Organization (ILO) has said that global labour market performance may struggle to return to pre-pandemic levels in the coming years. In its report, World Economic and Social Outlook – Trends to 2022, the UN agency forecasts that total global hours worked this year will be nearly 2% below pre-pandemic levels, equivalent to a shortfall of 52 million full-time jobs .
The report shows that by 2022, the number of unemployed worldwide will be as high as 207 million, which is about 21 million higher than the level in 2019.
“While this figure represents a considerable improvement from 2021, when hours worked adjusted for population growth were lower than in the fourth quarter of 2019, equivalent to 125 million full-time jobs (assuming a 48-hour work week), it remains extremely high,” the ILO report said.
ILO projections suggest that a full recovery remains elusive in all regions – Africa, the Americas, the Arab States, Asia and the Pacific, and Europe and Central Asia – with Europe and the Pacific coming the closest. The economic outlook is most negative in Latin America, the Caribbean and Southeast Asia. “Developing economies that rely on labor-intensive goods or commodity exports are especially struggling to adapt to demand fluctuations due to pandemic-related changes in economic growth. Economies that rely on tourism are suffering severely from border closures and lost revenue,” The report added.
Financial stress is further compounded by loss of income due to unemployment and reduced working hours due to the lack of social protection programs in developing economies. It has a knock-on effect on health and nutrition. According to the report, an additional 30 million adults will be pushed into extreme poverty without pay in 2020. With a slow and uncertain recovery in the global labor market, inflation has significantly reduced disposable income, adding to the cost of the crisis.
Complete News Source : Hindustan Times
