Global unemployment to rise in 2024 amid economic woes, warns ILO

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Global unemployment to rise in 2024 amid economic woes, warns ILO
The International Labour Organization (ILO) has released its latest report on the global labour market trends and challenges in 2024. The report paints a bleak picture of the employment situation, as the world faces a slow and uneven recovery from the COVID-19 pandemic and its aftermath.

According to the ILO, the global unemployment rate will increase from 5.1% in 2023 to 5.2% in 2024, as an additional two million workers will be looking for jobs. This means that the number of unemployed people will reach 202 million by the end of 2024, up from 200 million in 2023 and 187 million in 2019.

The report also warns that working poverty, which affects people who earn less than $3.20 per day, will persist and that income inequality will widen due to the pandemic. The report states that disposable incomes have declined in most G20 countries and that inflation is eroding the living standards of workers. The report also points out that the rates of informal work, which lack social protection and decent working conditions, are expected to remain static at around 58% of the global workforce in 2024.

The ILO director-general Gilbert F. Houngbo said that the labour market imbalances pose a threat to both individual livelihoods and businesses, and need to be tackled effectively and fast. He emphasized the need for greater social justice to achieve a sustainable recovery.

“We need to act now to prevent the scarring effects of the crisis from becoming permanent and to ensure that the recovery is inclusive, green and resilient,” he said. “This requires a human-centred approach that puts social justice at the heart of economic and social policies.”

The report also highlights the low level of labour productivity, which has returned to the level seen in the previous decade, despite the technological advances and increased investment during the pandemic. The report explains that one of the reasons for this is that a lot of investment was directed towards less productive sectors, such as services and construction. The report also mentions other barriers, such as skills shortages and the dominance of large digital monopolies, that hinder the faster technological adoption and innovation.

The report calls for more coordinated and coherent policies to address the multiple challenges facing the labour market, such as enhancing social protection, promoting decent work, supporting small and medium enterprises, fostering social dialogue, and ensuring a just transition to a low-carbon and digital economy.

The report is based on data and analysis from various sources, including the ILO’s own statistical databases, national statistical offices, international organizations, and academic research. The report is part of the ILO’s World Employment and Social Outlook series, which provides an annual overview of the state of the world of work.




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