The Global Unemployment Rate Could Be Crashed by the Ukraine War
The International Labor Organization (ILO) warned on Monday that the impact of monetary policy tightening in the wake of the Ukraine war on consumption and economic uncertainty would lead to a “severe deterioration” in global employment growth.
The U.N. organisation says there are signs that the global increase in hours worked in early 2022 has been reversed in the second quarter and third quarters. Between July and September, there were 40 millions fewer full-time workers than in the fourth trimester of 2019, which is considered the pre-COVID baseline level.
What will the Q3 look like for the job market?
The World of Work report was published by the ILO. It stated that, given current trends, global employment growth will decline markedly in 2022’s fourth quarter. ILO blamed China’s reinstatement of health regulations and the subsequent disruptions to China’s labor markets. It also stated that the Ukraine crisis and inflationary pressures would affect it. Researchers also warned against restrictive regulation, which could lead to lower earnings and less employment in advanced countries and developing ones.
The ILO warned that job openings are shrinking and suggested that there should be increased…