Global Employment Trends 2004: record joblessness, but relief may be on the way

By ILO

The ILO reports that global unemployment continued its relentless climb, hitting an estimated 189.9 million in 2003, with the number of working poor estimated at 550 million.

On a regional basis, the see industrialised regions as recovering in the second half of 2003. Latin America and the Caribbean were most affected by the global economic slowdown in 2001, in terms of output growth as well as employment losses, with some recovery in 2003.

In South East Asia, unemployment increased despite GDP growth rates of 7%. In South-East Asia, unemployment declined significantly. The Middle East and North Africa also experienced increasing unemployment with an unemployment rate of 12.2%. An additional factor is the replacement of foreign workers by nationals in many gulf states.

Sub-Saharan Africa has neither reduced its unemployment rate not its high rate of workplace poverty. The impact of HIV-AIDS on labour markets and the "brain drain" deprives the region of much valuable "human capital".

The ILO suggests the following for job creation:

· adopting pro-poor policies.

· Promoting growth AND job creation. Jobless growth now threatens future growth. No country can sustain growing unemployment in the long run, despite what appear to be positive economic statistics in the short term

· Think about young people. Reduce youth unemployment and think about the great potential of young, educated people

· seek development solutions. Increased international assistance aimed at improving access to developed-country markets and reducing external debt servicing requirements

(ILO World of Work. no 50, March 2004)