On the other hand, GDP growth in the Philippines continued to remain strong, with the economy growing by 6.8 per cent in 2013, supported by government spending on infrastructure.
In Indonesia, Malaysia, Myanmar, Singapore and the Philippines, strong growth in real gross domestic capital formation led GDP growth in GDP in the post-crisis years (2010-2012).
In the Philippines, despite robust economic growth in excess of 6.8 per cent in the last two years, job growth has been subdued and the unemployment rate has remained at around 7 per cent throughout 2012 and 2013.
Women in the region face slightly higher chances of unemployment than men, at around 4.9 per cent compared to 4.2 per cent for men. On the other hand, in the Philippines, the unemployment rate for women in July 2013, at 7.2 per cent, was almost the same as that for men (7.3 per cent).
A freer flow of labour is envisioned within the ASEAN Community, signalling both new opportunities and challenges for job seekers. In countries such as Cambodia, Lao PDR, Malaysia and the Philippines, the labour force growth will continue to grow relatively fast at well above 1.5 per cent per year, while countries such as Myanmar, Singapore, Thailand, and Viet Nam will face a notable slowdown in labour force growth to less than 1 per cent per year.
Some economies in the South-East Asian region, Philippines and Indonesia have performed remarkably well, growing faster on average in the past six years than in the two decades before.
Download full report: http://www.ilo.org/global/research/global-reports/global-employment-trends/2014/lang–en/index.htm
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For immediate release
21 January 2014
Weak economic recovery does not extend to jobs
Global labour markets still stalled despite slow economic recovery, according to the ILO’s Global Employment Trends 2014 report, which calls for an urgent switch to more employment-friendly policies.
http://www.ilo.org/global/research/global-reports/global-employment-trends/2014/WCMS_233931/lang–en/index.htm
GENEVA – The weak global economic recovery has failed to lead to an improvement in global labour markets, with global unemployment in 2013 reaching almost 202 million, the ILO said in a new report.
The Global Employment Trends 2014 report said employment growth remains weak, unemployment continues to rise, especially among young people, and large numbers of discouraged potential workers are still outside the labour market.
Profits are being made in many sectors, but those are mainly going into asset markets and not the real economy, damaging long-term employment prospects.
On current trends, an additional 200 million jobs will be created by 2018. This is less than what is required to absorb the growing number of new entrants in to the labour market.
“What is urgently needed is a policy re-think. Stronger efforts are needed to accelerate employment creation and to support enterprises that create jobs,” said ILO Director-General Guy Ryder.
Youth unemployment remains a major concern
The report stressed the pressing need to integrate young people into the labour force. At present, some 74.5 million men and women under the age of 25 are unemployed, a global youth unemployment rate of over 13 per cent – over two times more than the overall global unemployment rate.
In developing countries, informal employment remains widespread, and the pace of improvements in job quality is slowing down. That means fewer people are moving out of working poverty. In 2013, the number of workers in extreme poverty – living on less than
$ 1.25 a day – declined by only 2.7 per cent globally, one of the lowest rates over the past decade, with the exception of the immediate crisis years.
Global recovery in labour markets is being held back by a deficit of aggregate demand. In many developed economies, harsh reductions in public spending and hikes in income and consumption taxes weigh heavily on private businesses and households.
In addition, a lack of policy coordination between monetary and fiscal policies has substantially increased labour market uncertainty, with employers often reluctant to hire or make long-term investments.
Unemployment has lengthened considerably, in some countries such as Spain and Greece, jobseekers need twice as much time before landing a new job than before the crisis. And, more and more of those potential workers are discouraged and remain outside the labour force, leading to skills degradation and obsolescence, and rising long-term unemployment, said Ekkehard Ernst, the main author of the report.
“With 23 million people estimated to have dropped out, it is imperative that active labour market policies be implemented more forcefully to address inactivity and skills mismatch,” said Ernst, who heads the Employment Trends Unit at the ILO Research Department.
A switch to more employment-friendly policies and rising labour incomes would boost economic growth and job creation, the report says. In emerging and developing countries, it is crucial to strengthen social protection floors and promote transitions to formal employment. This too would support aggregate demand and global growth.
For further information and to arrange interviews, please contact:
Minette Rimando
ILO Country Office for the Philippines
+63 2 580 9905 or 580 9900
+63 917 5353162