The International Labour Organisation (ILO) has sounded the alarm, projecting that approximately two million workers worldwide could lose their jobs in 2024, with the global unemployment rate expected to rise to 5.2 per cent from 5.1 per cent in 2023. These findings were revealed in the ILO’s latest report, titled “World Employment and Social Outlook: Trends 2024”.
While the report acknowledged a decrease in joblessness and the jobs gap relative to pre-pandemic levels, it also raised concerns about growing inequalities and stagnant productivity. Although the global unemployment rate had seen a steady decline over the past three years, dropping from 6.9 per cent in 2019 to 5.1 per cent in 2023, the ILO highlighted that recovery from the pandemic has been uneven. The organization warned that new vulnerabilities and multiple crises were undermining prospects for greater social justice.
In 2023, the global unemployment rate slightly improved to 5.1 per cent from 5.3 per cent in 2022, and both the global jobs gap and labor market participation rates showed positive signs. However, the report noted that the number of workers living in extreme poverty, as well as moderate poverty, increased in 2023, painting a concerning picture of the economic landscape.
The ILO’s Director-General, Gilbert Houngbo, emphasized the severity of the findings, expressing deep concern about the implications behind the labor market figures. He suggested that the imbalances observed might be indicative of deep-seated structural issues rather than simply a part of the pandemic recovery. Furthermore, Houngbo stressed that addressing these workforce challenges effectively and promptly is critical, as they pose a threat to individual livelihoods and businesses alike.
The report also highlighted a decline in disposable incomes across the majority of G20 countries and warned that the erosion of living standards resulting from inflation is unlikely to be swiftly compensated. This underscores the urgency of taking strategic and immediate action to mitigate the impending global unemployment crisis.
The ILO’s sobering projections serve as a poignant reminder of the far-reaching impacts of economic instability and the pressing need for concerted efforts to safeguard the livelihoods of millions facing potential job losses in the coming year.
