Slow Growth Widens Global Jobs Gap, Says ILO | Independent Newspapers Limited
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Slow Growth Widens Global Jobs Gap, Says ILO

ILO
Posted: Apr 19, 2016 at 11:41 am   /   by   /   comments (0)

The International Labour Organisation (ILO) has stated that the growth of the global economy has slipped gradually but steadily to the weakest pace since the immediate aftermath of the financial crisis. With the latest downward revisions in growth prospects the jobs gap of people not in work that would have had a job if pre-crisis growth had resumed could rise to over 80 million by 2020.

ILO’s Secretary General, Guy Ryder in his presentation to the International Monetary and Financial Committee at the spring meetings of the World Bank and the IMF also argued that outright unemployment remains high in many advanced countries and is rising in some emerging economies.

He said from the ILO’s report on Women at work: Trends 2016 : “ Participation rates are falling in many countries. Between 1995 and 2015, the global female labour force participation rate decreased from 52.4 to 49.6 percent. The corresponding figures for men are 79.9 and 76.1 per cent, respectively.

“Over 70 million of the 200 million unemployed worldwide are young women and men. Overall, two in five economically active youth are either unemployed or working yet living in poverty”, he added.

According to Ryder, there are over 70 million people not in work today who would have had a job if pre-crisis growth had resumed.

“With the latest downward revisions in growth prospects the jobs gap could rise to over 80 million by 2020”, he said.
He noted that weakening growth has slowed the transformation into better work opportunities of low productivity, poorly remunerated jobs.

“Reductions in the share of working poverty in total employment and the absolute numbers of people living and working in poverty have stalled.

“In 2015, an estimated 327 million employed people were living in extreme poverty and 967 million in moderate and near poverty. The share of own account and unpaid family workers in total employment, which accounts for most of those working in the informal economies of the developing world, has stuck at around 46 per cent and is over 70 per cent in sub-Saharan Africa and South Asia”.
Ryder emphasized that: “ in emerging economies, the size of the middle class defined as having daily consumption levels ranging between US$5 and US$13, in purchasing power parity (PPP) terms) rose from 36 per cent of the total population in 2011 to just under 40 per cent in 2015. However, this trend is projected to slow or even stop unless growth picks up”