Unemployment rate in the world will remain high in 2018

According to a recent report by the International Labour Organization (ILO), the world’s number of unemployed last year rose to 192.7 million people, which means that the world’s unemployment rate has reached a breaking record 5.6 percent. Compared to 2016, the number of people without a job globally increased by 2.6 million people and reached a record.

As for the evolution of unemployment in 2018, ILO experts claim that its level will decline by 0.1 percentage points, even if the number of unemployed people will remain the same, there will be some increase in global employment. ILO representatives see a direct connection with the high efficiency of labour markets in developed countries, which, according to their estimates, could see a 0.2 percentage point decrease in unemployment this year.

For 2019, ILO analysts expect an increase in the number of the unemployed in the world, up to 193.6 million people. Despite such grim prospects, they believe that the number of young people without jobs will drop globally. Representatives of this international institution have also highlighted other trends in the evolution of world-wide unemployment, such as the industrial workforce flow in services, “early deindustrialisation” both in the Latin American and African countries and in developed countries, increasing pressure on pension systems.

On the country’s labour market, we have similar trends to the global ones. Although the unemployment rate, according to the 9-month data of last year, presented by the National Bureau of Statistics, is below the level of the world, this indicator is 3.4 percent, ie 0.5 percentage points higher than the corresponding period of the previous year. The number of unemployed increased to 44.6 thousand persons, by almost 6 percentage points compared to the 9 months of 2016. By implication, the employed population decreased by 2.6 percent compared to the third quarter of the previous year and constituted 1264.1 thousands of people.

In 2018, the scale of unemployment in the Republic of Moldova should narrow. This after Chiril Gaburici, Minister of Economy and Infrastructure, said today that the Ministry’s priorities are: rehabilitation of roads in the country and investments, measures that require massive employment.

Next, it should be remembered that at the end of last year, the Government of Moldova approved the Regulation on subsidizing job creation, which stipulates that enterprises, companies, which have an increase in the number of employees of at least 100 persons, to receive a state subsidy of 40,000 lei for a job created.

During the recent meeting of the CNSM Confederal Committee with Pavel Filip, Prime Minister of the Republic of Moldova, Oleg Budza, CNSM president, stressed that the most important issue of the trade unions is the creation of jobs, the maintenance, motivation and quality of the work force. He mentioned that the CNSM supported the decision of the Government of Moldova on subsidizing jobs from the state budget. Moreover, Oleg Budza suggested to increase the number of enterprises, companies benefiting from state subsidies for job creation. In this respect, it is proposed that budget subsidies should receive not only the economic units that create 100 jobs, but also the enterprises that create 20 jobs.

Department of mass media and international relations of CNSM