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 Milestones

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

Logo Mania: A call to action to our crisis of connection

ECB embarks on the risky trip to Eurozone banking universe

Here are three ways Africa’s youth are defeating corruption

Afghanistan: UN ‘unequivocally condemns’ attack in Kabul

Why developing new antibiotics is a matter of life and death

New UN Global Climate report ‘another strong wake-up call’ over global warming: Guterres

FROM THE FIELD: Niger supporting the most vulnerable, as crises mount

4 steps towards wiping out cervical cancer

MWC 2016 LIVE: Orange targets VoLTE and Voice over Wi-Fi; strikes Google partnership

The deforestation risks lurking in the banking sector

COP21 Breaking News_03 December: Unprecedented Global Alliance for Buildings and Construction to Combat Climate Change

UN General Assembly President upholds value of multilateralism in speech closing annual debate

Trump’s withdrawal from the Paris climate deal is bad for US business. Here’s why.

OECD joins with Japan to fight financial crime by establishing new academy

Governments can fight corruption by joining the digital payment revolution

The recipe for creativity involves a lot of ideas, and a short break

Vaccine hesitancy: a pregnancy related issue?

How smart tech helps cities fight terrorism and crime

Latin America’s cities are ready to take off. But their infrastructure is failing them

These rules could save humanity from the threat of rogue AI

Beyond 2020: How the world might recover and rebuild, according to experts

UN mission welcomes Afghan government’s announcement of Eid holiday ceasefire

COVID-19 vaccination: MEPs call for EU and global solidarity

Coronavirus: Commission unveils EU vaccines strategy

Trump ostracized by his party and world elites but still remains in course; how can he do it?

Mergers: Commission clears acquisition of Refinitiv by London Stock Exchange Group, subject to conditions

Everybody for himself in G20 and IMF

Coronavirus: the truth against the myths

China is picking up the fight against rare diseases

Antitrust: Commission sends Statement of Objections to O2 CZ, CETIN and T-Mobile CZ for their network sharing agreement

Doctors vs. Industry 4.0: who will win?

European Citizens’ Initiative: Commission decides to register two citizens’ initiatives

5 ways you can personally fight the climate crisis

Climate crisis could see ‘collapse’ of some economies without diversification, warns UN trade chief

The EU launches € 1 billion plan on supercomputers and tries to catch-up with competitors

An electric motorbike could help tackle big game poaching. Here’s how

Brexit: visa-free access to the EU for UK nationals and to the UK for Europeans

Educational disadvantage starts from age 10

It’s 100 years since US women got the right to vote, but how has gender equality changed?

Refugees in Greece: MEPs demand solidarity, warn about impact of health crisis

The West definitively cuts Russia off from the developed world

ISIL continues to pose a ‘serious challenge’ worldwide – UN counter-terror chief

Shinzō Abe, on the right, and Jean-Claude Juncker at EU-Japan Summit in Tokyo last week. (Copyright: European Union, 2018 / Photo: Etienne Ansotte)

EU and Japan ratify first FTA ever to include Paris Climate Agreement provision

UN chief and senior officials show solidarity with DR Congo during three-day visit

How to outsmart bias when you’re recruiting

How technology helped Serbia save 180 million sheets of paper in less than 4 years

China’s Ambassador to the EU Zhang Ming wishes to Brussels a Happy 2019 Year of the Pig

IQ scores have been falling for decades, new study finds

COVID-19: MEPs call for measures to close the digital gap in education

Tuesday’s Daily Brief: prizewinning journalists freed in Myanmar, new tracking tool for suspected terrorists, and a global bid to stop snakebite deaths

Climate Change Revolution: by-laws for the world

Here are 5 new green laws coming into force in 2020

Mental health and suicide: from the 19th century to present

These 5 start-ups are shaping the future of Africa’s cities

Skills, not job titles, are the new metric for the labour market

Africa’s Sahel must be a top priority for UN peacebuilding efforts, says commission

Monsoon rains turn millions of children’s lives ‘upside down’ across South Asia

Early detection of chronic kidney disease can save lives and cut costs

Consumers to be better protected against misleading and unfair practices

Rule of law: First Annual Report on the Rule of Law situation across the European Union

More Stings?

Advertising

Speak your Mind Here

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

WordPress.com Logo

You are commenting using your WordPress.com 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