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The slowdown in growth is boosting the development of precarious and poorly paid jobs, indicates the International Labor Organization in its latest report on employment and social issues in the world.
The current slowdown in global growth risks pushing more workers into low-quality, low-paying jobs lacking social protection, says the report by the International Labor Organization (ILO) on Monday 16 January. In addition, the rise in prices is greater than the rise in income, which risks pushing more workers into poverty, worries the International Labor Organization. This trend comes on top of the significant revenue declines seen during the Covid-19 crisis.
The Organization also warns about the deterioration of the labor market. Job growth should indeed slow down significantly this year, it should increase by 1%, less than half of the level of 2022.
Our new WESO Trends report shows the global economic slowdown will increase inequalities.
It’s forcing more workers to take lower quality, poorly paid jobs, which lack job security & social protection.
At #WEF23 I’ll be calling for policy measures that increase #socialjustice. pic.twitter.com/iGqoaK1knd
— Gilbert F. Houngbo (@GilbertFHoungbo) January 16, 2023
New geopolitical tensions, the conflict in Ukraine, the uneven recovery from the pandemic and the persistence of bottlenecks in global supply chains “ created the conditions for an episode of stagflation, combining simultaneously high inflation and weak growth, for the first time since the 1970s “, notes the report. “ Forecasts of slower economic and employment growth in 2023 imply that most countries will not fully recover to pre-pandemic levels says the Director General of the ILO, Gilbert Houngbo, in the preface.
Slower job growth
Africa and the Arab states fare better. They should experience job growth of around 3%. On the other hand, employment is expected to decline in Europe and Central Asia, two regions particularly affected by the economic repercussions of the conflict in Ukraine.
Despite this general slowdown, some countries and sectors remain exposed to the risk of a shortage of skilled labour. To overcome this problem, the ILO recommends increased investment in education and training, especially for young people. Two-thirds of working young people around the world lack basic skills, the organization points out.
(With AFP)