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    10 July 2012| last updated at 09:03PM

    OECD: Jobless rate to remain high until 2013-end



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    PARIS: The unemployment rate in advanced world economies will remain high at nearly 8.0 per cent until the end of next year with about 48 million people jobless, the OECD said today.

     

     
    The “joblessness rate is forecast to remain high at 7.7 per cent in the  fourth quarter of 2013, close to the 7.9 per cent rate in May 2012,” a report by  the Organisation for Economic Cooperation and Development said.
       
    “To get employment rates back to pre-crisis levels, about 14 million jobs  need to be created in the OECD area,” it said, adding that 48 million people  were out of work across the 34-nation zone in May.
     
    “In the euro area, unemployment rose further in May to an all-time peak of  11.1 percent,” it said, referring to the 17 nations which share the currency.
     
    “The recent deterioration in the economic outlook is very bad news for the  labour market,” said OECD Secretary General Angel Gurria.
     
    “It is imperative that governments use every possible means at their  disposal to help jobseekers, especially young people, by removing barriers to  job creation and vesting in their education and skills. 
       
    “The young are at most risk of long-term damage to their careers and  livelihoods. Targeting the most cost-effective policies is essential,” it said,  stressing that most employers were only hiring on short-term contracts now.
     
    The report cited variations across the zone with unemployment stable at  8.25 per cent in the United States.
     
    The Spanish jobless rate at 24.6 per cent was the highest in the OECD and  double-digit figures were also reported in Estonia, France, Greece, Hungary,  Ireland, Italy, Portugal and the Slovak Republic.
       
    The OECD said most emerging economies apart from South Africa weathered the  financial crisis well but there has been a slowdown in some rapidly growing  economies, especially Brazil, China and India. -- AFP

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