Global economic turbulence could increase unemployment by 5m in 2008 - ILO

GENEVA (ILO News) - Economic turbulence largely due to credit market turmoil and rising oil prices could spur an increase in global unemployment by an estimated five million persons in 2008, the International Labour Office (ILO) said in its annual Global Employment Trends (GET) report.

The new projection for 2008 is in contrast to 2007, a watershed year in which sound global GDP growth of more than 5 per cent, led to a "stabilisation" of global labour markets with more people in work, a net increase of 45 million new jobs and only a slight increase in the number of people unemployed, to 189.9 million persons worldwide.

"This year's global jobs picture is one of contrasts and uncertainty," said ILO Director-General Juan Somavia.

"While global growth is annually producing millions of new jobs, unemployment remains unacceptably high and may go to levels not seen before this year. What's more, though more people are in work than ever before, this doesn't mean that these jobs are decent jobs.