Appalling overall unemployment in Eurozone at 20.6%

László Andor, Member of the EC in charge of Employment, Social Affairs and Inclusion, gave a press conference following the publication of the EC report on industrial relations. According to the report, the ongoing economic crisis poses a serious challenge to the dialogue between workers' and employers' representatives. The report shows that recent government reforms have not always been accompanied by fully effective social dialogue, leading to increasingly conflictual industrial relations in Europe. (EC Audiovisual Services, 11/04/2013).

László Andor, Member of the EC in charge of Employment, Social Affairs and Inclusion, gave a press conference following the publication of the EC report on industrial relations. According to the report, the ongoing economic crisis poses a serious challenge to the dialogue between workers’ and employers’ representatives. The report shows that recent government reforms have not always been accompanied by fully effective social dialogue, leading to increasingly conflictual industrial relations in Europe. (EC Audiovisual Services, 11/04/2013).

As it turns out real total unemployment exceeds by far the already dreadful percentages estimated by the national statistical services of the EU countries. According to a press release issued by Eurostat, the EU statistical service, in the EU of 27 member states apart from the tens of millions of the “normal” unemployed, there is another 43 million people working part-time. Out of them in “2012, 9.2 million (6.2 million in Eurozone) wished to work more hours, were available to do so and can therefore be considered to be underemployed. Since the start of the economic crisis the proportion of part-time workers wishing to work more hours and available to do so, has grown steadily from 18.5% in 2008 to 20.5% in 2011 and 21.4% in 2012”. Mind you those are percentages of part-time workers wishing to work full-time.

The same source reveals that in 2012 the number of people working part-time and wishing to work more but couldn’t find a full-time job was 4.4% of total employment. Unfortunately Eurostat doesn’t tell us what percentage of the total labour force this group of people is. Obviously it will be a bit less than 4.4%. It’s possible however to estimate that.

We know that in 2012 the group of people working part-time but wishing to work more numbered 6.2 million persons in Eurozone. Doing some simple arithmetic calculation one can arrive at the estimate that at that time Eurozone’s labour force was anything around 158 million people. Obviously those 6.2 million persons who wish to work more but can’t find an appropriate job are almost 4% of the total labour force.

Want to work more

Now, the European Sting published an article last week under the title “More unemployment and lower wages to make European workers competitive?” It reported Eurostat’s estimate for February 2013, that in the 17 Eurozone countries 19.071 million people were without a job altogether. That was a round 12% of the labour force. However in order to arrive at an overall unemployment plus underemployment percentage one honest statistician has to add the people who wish to work more, but don’t find a full-time job. That gives us an over-all estimate of unemployment in Eurozone of the order of 16%.

What about the countries with problems? Not to forget that the highest unemployment rates are being recorded in Greece (26.4 % in December 2012), Spain (26.3%) and Portugal (17.5%). Now, Eurostat tells us that “In 2012, the largest proportions of people wishing to work more hours and available to do so among part-time workers were found in … Greece (66%), Spain (55%), Latvia (53%) and Cyprus (50%). On the other hand, the smallest proportion was found in the Netherlands (3%), where part-time working is the most common, followed by Estonia (8%) and the Czech Republic (10%).

Permanently lost

Eurostat takes its present research a step forward by trying to estimate the number of people available to work but belonging to the group of the economically inactive population (those persons neither employed nor unemployed). According to the same source there were 8.8 million persons aged 15 to 74, but not seeking and 2.3 million seeking work, but not available in the EU27 in 2012”. Despite not participating in the economically active population, those persons have a strong attachment to the labour market. Together these two groups constitute a potential additional labour force of 11 million people. In the EU27 these two groups were equivalent to 4.6% of the labour force, a percentage varying between Member States, from 1.5% in the Czech Republic to 12.1% in Italy.

Obviously there exist more people who wish to work but don’t find a job. In reality they must be added to the overall unemployment rate, because all those more millions would take up productive employment, if the labour mark gave them a chance. In short the overall unemployment rate is 16% + 4.6% = 20.6%. Then one can imagine what really happens in Greece and Spain where the standard unemployment rate is 27% (Eurozone average 12%). Reality there must be real truly appalling. Large parts of the younger and the older being unemployed for more than a year, must be counted as permanently lost from labour market. This will be an insurmountable impediment to growth, if and when the good times come again.







the sting Milestone

Featured Stings

Can we feed everyone without unleashing disaster? Read on

These campaigners want to give a quarter of the UK back to nature

How to build a more resilient and inclusive global system

Stopping antimicrobial resistance would cost just USD 2 per person a year

EU Youth Conference in Amsterdam: enabling young people to engage in a diverse, connected and inclusive Europe

China is a renewable energy champion. But it’s time for a new approach

The four top Americans who flew to Europe perplexed things about Trump’s intentions

Wednesday’s Daily Brief: Guterres in Kenya, Prisoners sick in Iran, #GlobalGoals, Myanmar, Ukraine updates, and new space partnership

Iraqis paying an ‘unthinkable price’ to be heard, UN envoy tells politicians in Baghdad

From Russia with love: Brussels and Moscow close to an agreement on Ukraine’s gas supplies

Migration: Better travel safe than sorry

Myanmar military target civilians in deadly helicopter attack, UN rights office issues war crimes warning

European Youth Forum welcomes the European Commission’s proposed revision of the Union Code on Visas, however it does not go far enough

Innovation can transform the way we solve the world’s water challenges

Effective multilateralism the antidote to today’s ‘divisions’, Holy See tells UN Assembly

How building renovations can speed up the electric vehicle revolution

Online shopping across the EU to be easier from 3 December

Key economic forum in Russia: New technology a ‘vector of hope’ but also ‘a source of fear’ says Guterres

Canada has the most comprehensive and elaborate migration system, but some challenges remain

Nuclear non-proliferation treaty an ‘essential pillar’ of international peace, says UN chief

Food safety: more transparency, better risk prevention

Number of members in Parliament’s committees to change after Brexit

Worldwide UN family celebrates enduring universal values of human rights

UN chief hopeful for Libya, after Quartet meeting in Tunis

‘Dangerous nationalism’ seriously threatens efforts to tackle statelessness: UNHCR chief

Why do medical students need to go abroad to become a doctor in 2017?

State aid: France to recover €8.5 million of illegal aid to Ryanair at Montpellier airport

A Sting Exclusive: “Europe needs decisive progress for stronger cybersecurity”, EU Commissioner Gabriel highlights from Brussels

Facility for Refugees in Turkey: €127 million to boost EU’s largest ever humanitarian programme

Employment: Commission proposes €1.6 million from Globalisation Adjustment Fund to help 400 workers made redundant in Carrefour Belgique

Tiny Iceland teaches the West how to treat bankers

Yanis Varoufakis: “Unsustainable debt turns the creditor into Leviathan; Life under it is becoming nasty, brutish and short”

Following the World Cup? Then you’re watching high-performing migrants at work

EU cross-border payments outside Eurozone: MEPs scrap excessive fees

UN urges protection of indigenous peoples’ rights during migration

This incredibly detailed map of Africa could help aid and development

The movement of anti-vaccers: taking humanity back 200 years

The city of Quito just made commuting quicker and safer

Mind control using sound waves? We ask a scientist how it works

Tech companies are changing, for the better

MARKUP initiative to boost market access to Europe for East African SMEs

Tourism offers much to the EU gets a little

Why India can show us how to achieve growth with purpose

Gender equality in STEM is possible. These countries prove it

3 ways to use digital identity systems in global supply chains

Chinese economy to raise speed and help the world grow

How India is harnessing technology to lead the Fourth Industrial Revolution

After swallowing effortlessly the right to be forgotten time for Google Ads now to behave

EU Youth Conference in Riga concludes with recommendations for ministers

Ozone on track to heal completely in our lifetime, UN environment agency declares on World Day.

With half of Somaliland children not in school, UNICEF and partners launch education access programme

Security Council calls for dialogue in Haiti

Spain will soon overtake Japan in life expectancy rankings. Here’s why

Thursday’s Daily Brief: Press Freedom Day, Tuna Day, cultural dialogue, #GlobalGoals awards, updates on Syria, Somalia, Mali

The Irish Presidency bullies the Parliament over EU budget

Multilateralism must weather ‘challenges of today and tomorrow’ Guterres tells Paris Peace Forum

Friday’s Daily Brief: human rights in Sudan, sombre anniversaries for Rwanda and Nigeria, and fears of ‘chaos’ in Libya

European Youth Forum demands immediate action & binding agreement on climate change

Economic sentiment and business climate stagnate in miserable euro area

Climate change recognized as ‘threat multiplier’, UN Security Council debates its impact on peace

Easier Schengen Visas for non-EU holiday makers: A crucial issue for south Eurozone countries

Here’s how to rebut the climate doom-mongers

Backed by UN, Asia-Pacific countries to advance space technology for ‘development transformation’

Rural women a ‘powerful force’ for global climate action: UN Secretary-General

More Stings?

Speak your Mind Here

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s